Trump Admin Blocking Billions In Already Awarded Broadband Grants To States That Enforce Net Neutrality Or Engage In Telecom Oversight

from the so-much-for-states’-rights dept

The Trump administration is promising to block billions in already-awarded infrastructure bill broadband grants to any states that enforce net neutrality or try to impose any sort of meaningful oversight on the country’s unpopular, predatory broadband monopolies.

That was the promise of Commerce Department official Arielle Roth, a former Ted Cruz staffer now in charge of the National Telecommunications and Information Administration (NTIA). Roth made the comments about the Broadband, Equity, Access, and Deployment grants (BEAD) at a recent speech at the Hudson Institute, a far right wing think tank:

“Specifically, any state receiving BEAD funds must exempt BEAD providers throughout their state footprint from broadband-specific economic regulations, such as price regulation and net neutrality.”

The infrastructure bill set aside $42.5 billion in BEAD broadband grants to be doled out and managed by individual states. It took several years to get this money rolling out, in part, because state and federal governments had to remap the entirety of broadband access in the United States in a bid to avoid repeating past subsidy scandals and make sure the money was spent semi-wisely.

Again, this money was already awarded, and states were just about to start deploying broadband using this money when Republicans began retooling the whole program earlier this year. By both stripping out requirements that the resulting taxpayer-funded broadband be affordable, and redirecting as much of the money as possible to billionaire Elon Musk for expensive satellite broadband he already planned to deploy.

This introduced all manner of new delays to the program, ironically after Republicans (with Ezra Klein’s help) spent much of last election season whining very loudly about the fact this BEAD program was taking too long to deliver broadband.

Again, this money had already been awarded after years of expensive planning. States have already been forced to spend even more money to revamp plans to make Trump officials happy. Yet the Trump administration keeps fiddling with the rules and weakening core definitions (for stuff like “broadband” and “unserved,”) ensuring that fewer and fewer locations qualify for assistance and states are left constantly on their heels trying to please our mad king and his army of weird zealots.

Now, the Trump administration is also trying to leverage the funding to bully states away from engaging in even basic oversight of companies like Comcast, AT&T, Charter, or Verizon.

If you recall, the Trump administration destroyed net neutrality (some modest rules trying to keep telecom monopolies from abusing their market power to harm competitors and consumers). And they’re destroying whatever was left of FCC oversight of telecom monopolies. With federal oversight gutted, now they’re taking aim at the handful of states that have tried to fill the consumer protection void.

The original Trump net neutrality repeal also tried to ban states from imposing net neutrality rules. But even our broken-ass courts repeatedly found that to be patently illegal (the federal government can’t abdicate its responsibility on consumer protection, then tell states what to do). You know, the very sort of “state rights” Republicans and Libertarian “free market” think tankers used to pretend to support.

But while a handful of states do have net neutrality rules, nobody has bothered to enforce them. In part because states — already facing a cavalcade of legal battles in the Trump era — aren’t keen to pick yet another major fight with big corporations they might lose. And they’re even less likely to do so now, with billions in potential infrastructure funding on the line.

But the key point I’ve always made is that this goes well beyond net neutrality. ISPs don’t want to just kill “net neutrality,” they want zero oversight whatsoever. So they can rip off U.S. consumers with impunity and face absolutely zero meaningful federal or state repercussion. And it’s a fight the telecom lobby is most certainly winning. Trump 2.0 is delivering the killing blow.

The United States is, it cannot be overstated, literally too corrupt to do the absolute bare minimum on corporate oversight, consumer protection, antitrust reform, or health market protection. This fact gets buried by a lot of bluster and bullshit about how fabulously innovative we are.

And because there’s so much other terrible shit going on, and because the press and public generally find infrastructure boring, this sort of rank corruption and regulatory capture is allowed to fly under the radar. But the long term impact, like most Trump policies, will be decidedly ugly.

Filed Under: arielle roth, bead, broadband, donald trump, elon musk, grants, high speed internet, infrastructure bill, net neutrality, ntia, telecom