Monday, December 09, 2019

FCC to scrap 4G LTE rural program, create $9 billion subsidy to bring fifth-generation wireless to rural areas

"The Federal Communications Commission said Wednesday that it plans to ditch a $4.5 billion subsidy program for 4G LTE in rural areas and instead launch a $9 billion fund to bring 5G wireless to hard-to-reach parts of the country," Marguerite Reardon reports for Cnet. "FCC Chairman Ajit Pai said the new fund will help carriers pay for 5G deployments in sparsely populated, hard-to-reach areas of the US, or areas in the states with rugged terrain."

One reason the 4G LTE plan, called the Mobility Fund II program, was scrapped: a recently released FCC investigation found that the self-reported carrier data, meant to help the agency figure out where to send funding, was inaccurate.

Rural areas would benefit greatly from improved wireless speed. "One of the key applications for 5G in rural parts of the country is to provide connectivity for precision agriculture or technologies that improve the accuracy and control involved in growing crops and raising livestock," Reardon reports. "The FCC said it'll set aside at least $1 billion from the fund specifically for 5G deployments focused on precision agriculture needs."

Rural 5G networks could help ameliorate some of the pain from lack of broadband access. Despite billions in private and public investment for decades, about 39 percent of rural Americans lack access to high-speed broadband. Low population density, difficult terrain, and higher expenses make rural broadband buildout a daunting prospect.

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