U.S. Broadband Program Overhauled to Favor Elon Musk’s Starlink
Commerce Secretary Howard Lutnick directs rural broadband funds toward satellite internet, sidelining fiber-optic projects and raising concerns over service quality and job losses.
- The BEAD Program, originally designed to prioritize fiber-optic broadband for rural areas, has been restructured under the Trump administration to favor satellite internet providers like Starlink.
- Commerce Secretary Howard Lutnick explicitly endorsed Starlink, citing a shift to a 'technology-neutral' approach, despite concerns over the long-term reliability of satellite internet compared to fiber-optic broadband.
- Former BEAD Program director Evan Feinman resigned in protest, warning that the changes will leave rural communities with inferior internet service and fewer economic opportunities.
- Critics argue the policy shift will divert billions in public subsidies to Elon Musk's Starlink, undermining the program's original goals of creating union jobs and sustainable infrastructure.
- The program's overhaul has stalled fiber-optic projects in several states, with labor advocates and rural development experts voicing strong opposition to the new direction.