White House seeks funds for internet subsidies, Chinese equipment removal
Reuters
Published Oct 25, 2023 04:01PM ET
Updated Oct 25, 2023 04:56PM ET
By David Shepardson
WASHINGTON (Reuters) -The White House is asking Congress for $6 billion for a government broadband internet subsidy program used by 21 million American households that is set to run out of money next year.
The Biden administration also wants $3.1 billion to further fund removal of equipment made by Chinese telecoms giants Huawei and ZTE (HK:0763) from U.S. telecom networks.
The Federal Communications Commission (FCC) previously said removing the equipment, which it says poses national security risks, would cost $4.98 billion. Congress has only approved $1.9 billion. In 2019, Congress told the FCC to require U.S. telecoms carriers that receive federal subsidies to purge their networks of Chinese telecoms equipment.
Congress previously allocated $17 billion to help lower-income families and people impacted by COVID-19 to gain internet access through a $30 per month voucher to use toward paying for internet service.
The White House says the program known as the Affordable Connectivity Program, helps current users save over $500 million per month on their internet bills. The $6 billion in additional government funding would extend the program through December 2024.
"Congress should act swiftly to fund the Affordable Connectivity Program and prevent more than 21 million households from losing access to affordable, high-speed internet," said White House National Economic Council director Lael Brainard.
Internet service providers say there are about 27 million additional U.S. households that are eligible but are not yet enrolled.
Verizon (NYSE:VZ), Comcast (NASDAQ:CMCSA) and AT&T (NYSE:T) have all called for Congress to extend the program that could run out of money by March.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.