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The biggest Internet service providers will dominate a $42.45 billion broadband grant program unless the Biden administration changes a rule requiring grant recipients to obtain a letter of credit from a bank, according to a joint statement from consumer advocacy groups, local government officials, and advocates for small ISPs.

The letter sent today to US government officials argues that "by establishing capital barriers too steep for all but the best-funded ISPs, the LOC [letter-of-credit requirement] shuts out the vast majority of entities the program claims to prioritize: small and community-centered ISPs, minority and women-owned ISPs, nonprofits, and municipalities."

The rule is part of the Broadband Equity Access and Deployment (BEAD) program that's being administered by the National Telecommunications and Information Administration (NTIA).

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[-] UltraMagnus0001@lemmy.world 51 points 1 year ago

well, I was optimistic but now we might still have the monopolies using the grants to line their pockets off the consumers by using our govt money.

[-] Fredselfish@lemmy.world 30 points 1 year ago

Exactly what will happen and they won't use to the grant money towards what it meant for.

It big grift and Biden gave it to them. Remember he is a centrist who caters to the rich.

[-] captainlezbian@lemmy.world 37 points 1 year ago

Remember we paid for every home in America to have fiber optic internet in the 90s. They took the money, ran, and faced no consequences.

[-] bobman@unilem.org -1 points 1 year ago

On the contrary, I bet they got their dicks sucked real hard while going on an extra-long vacation.

[-] kiranraine@reddthat.com 16 points 1 year ago

I mean he's always been considered a moderate. The voting system encouraged him through since we can't get voting reforms to pass. What I wouldn't give for ranked elimination style voting or something.... I'm so tired of being continually screwed by the system and it encouraging the gerrymandering that happened in my state despite our own laws against it

[-] inclementimmigrant@lemmy.world 16 points 1 year ago

No different from the last time the government gave them billions of dollars for nothing.

[-] Rapidcreek@reddthat.com 12 points 1 year ago

Having been in the broadband delivery business at all levels, I sadly report that small ISPs can't compete in this marketplace to begin with. Reason being they don't have the investments needed for last mile delivery. If they had the money needed to install landlines, or buy frequency leases, or fly a global satellite network then they wouldn't be a small ISP. The best that they can do is develop resell relationships.

[-] greenskye@lemm.ee 2 points 1 year ago

Part of the reason they can't compete is cause of all the bullshit roadblocks the existing players put in their way. This was made readily apparent anywhere Google fiber tried to rollout and all of the crap they had to deal with to just roll out fiber.

It's not that they don't have the money to install the infrastructure, it's that they don't have enough money to fight all the legal battles just to do their jobs.

[-] Rapidcreek@reddthat.com 0 points 1 year ago* (last edited 1 year ago)

Not the existing players, your government. Telephone companies gained right of way from your state because everybody wanted a telephone. Cable companies made a deal with your municipality for right of way by paying for it with a non-compete clauses. Power companies did the same thing. Why would they put millions of dollars worth of infrastructure in the ground for anything less? Your state and local government, and by extension you, sold it to them.

[-] PalmTreeIsBestTree@lemmy.world 1 points 1 year ago

The only ISPs that can compete are ones using existing power line infrastructure, so utility companies and cooperatives.

[-] Rapidcreek@reddthat.com 0 points 1 year ago

Tried that. You get a lot of errors in power line delivery.

[-] PalmTreeIsBestTree@lemmy.world 3 points 1 year ago

My grandmother lives in a very rural area and gets gigabit because of her cooperative. They do work in some places at least.

[-] Rapidcreek@reddthat.com -1 points 1 year ago

If it worked well at scale, the power companies would be in with both feet. It doesn't

[-] BlinkerFluid@lemmy.one 5 points 1 year ago
[-] bobs_monkey@lemm.ee 3 points 1 year ago

🎶 Tale as old as time 🎶

this post was submitted on 07 Sep 2023
596 points (99.2% liked)

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