Policymakers Push Broadband in Stimulus Package
TLDR: As the House readies to approve a stimulus package that would provide billions of dollars for Americans and small businesses, policymakers are continuing to prioritize funding for broadband in order to narrow the nation’s digital divide. Efforts to improve Internet connectivity in rural and underserved communities across the country will not only benefit all Americans, but will also help lead to the creation of new and innovative startups needed to drive the nation’s economic recovery moving forward.
What’s Happening This Week: House Democrats are planning to vote on the Senate’s $1.9 trillion pandemic relief package as soon as today after the Senate passed the economic recovery plan over the weekend. As the relief package moves closer to congressional approval, policymakers are continuing to prioritize funding for broadband infrastructure as part of the stimulus plan. The Senate version of the stimulus includes a $10 billion fund for state-level broadband infrastructure projects, and allocates more than $7 billion for the creation of an Emergency Connectivity Fund. The fund, which would be managed by the Federal Communications Commission, would reimburse schools and libraries for Internet access and related devices as a result of the pandemic.
With the pandemic exacerbating disparities in broadband access across the country, policymakers are continuing to take steps to narrow the nation’s digital divide. Last month, acting FCC Chairwoman Jessica Rosenworcel announced that the agency is launching a new task force to more accurately map the number of U.S. households that do not have access to high-speed Internet services. And the House Energy and Commerce Committee—which pushed for the creation of the Emergency Connectivity Fund in its stimulus funding proposal—held a recent hearing to discuss ways of expanding broadband access in rural and underserved communities in response to the pandemic.
Why it Matters to Startups: The pandemic has underscored the nation’s digital divide—the growing imbalance between those who have reliable Internet services and those who do not. This lack of reliable and consistent broadband access across the U.S. harms all Americans—including entrepreneurs looking to launch their own startups—and must be addressed if policymakers truly hope to drive the nation’s long-term economic recovery.
Internet companies, including those offering video conferencing tools and online shopping services, have stepped in to provide consumers with the technologies needed to conduct their daily lives during the pandemic. But the increased reliance on Internet services has also highlighted the many flaws with the nation’s broadband infrastructure. The lack of consistent Internet connectivity means that some Americans cannot access the resources they need to navigate life online during the ongoing pandemic.
For entrepreneurs living in underserved communities, the lack of reliable Internet access presents a very real challenge when it comes to launching and growing a company. By increasing access to broadband across the country, policymakers can boost the opportunity for new and innovative companies and ecosystems to take root in more communities. Simply by having access to high-speed Internet services, U.S. entrepreneurs—regardless of where they’re based—can create companies and offer services to users across the world.
Increasing broadband funding in the pandemic relief package and identifying Americans who lack access to reliable Internet services will go a long way towards narrowing the nation’s digital divide. But policymakers need to build upon their latest broadband funding efforts to truly provide all Americans with equal Internet services. While concerns about the nation’s broadband infrastructure are not new, policymakers must treat the pandemic as a wake-up call when it comes to taking the steps needed to close the digital divide.
On the Horizon.
The Senate antitrust subcommittee is holding a hearing at 10 a.m. tomorrow on competition policy in the 21st century and “the case for antitrust reform.”
The Wall Street Journal is holding a virtual discussion tomorrow at 1 p.m. on the future of Privacy Shield.
Join Engine on March 24th at 4 p.m. for a virtual policy seminar on Section 512 of the DMCA. We’ll discuss how Section 512 impacts startups and how entrepreneurs can get involved in the policy debate. You can RSVP here.
