The FCC recently announced plans to spend hundreds of millions of dollars to bring high-speed Internet to rural America. This raised the question from our readers on why this is so hard and why does the government have to spend tax dollars to bring internet to rural America.
One of the main issues with offering high speed Internet to rural America is the expense. In an average city, you can run cable a mile and have dozens or even hundreds of possible customers. In a rural areas, Internet companies may have to run cable for miles just to sign up a couple of customers.
Compared to many countries America has huge rural areas with nothing between farms and communities for miles, making it far more experience to bring high speed Internet to rural America.
This same issue came up when home phone service was rolling out. To address this, the Universal Service Fund was created. This fund was used to help offset the cost to help make it profitable to offer home phone to rural America. That fund is still showing up on your phone bill long after home phone service has become available to the vast majority of rural America.
Now the FCC has decided to use the Universal Service Fund to help roll out and make rural high speed Internet profitable.
The FCC is not alone in working to offset the cost of rural Internet. Microsoft, SpaceX, and Amazon all have efforts underway to bring high speed Internet to rural America. Yet many of these efforts are still far off. For now, the FCC is trying to speed up the process by helping to offset costs to attract companies to build out their networks.
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