Meredith Baker, CTIA President & CEO of CTIA, says, "Wireless providers invest billions of dollars each year to rapidly expand and fortify their networks across the country"

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Meredith Atwell Baker | CTIA.org

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The Lifeline and Affordable Connectivity Act are FCC initiatives that help low-income households afford the broadband they may need. According to Baker, these important programs faced challenges which threaten to destroy their effect on the communities they serve. Meredith Baker's warning about these challenges comes in light of the significant role these initiatives play in promoting digital inclusion among all Americans.

"The wireless industry is proud of the role it plays in connecting all Americans. Wireless providers invest billions of dollars each year to rapidly expand and fortify their networks across the country and play a leading role in the Lifeline and Affordable Connectivity programs, putting them at the forefront of closing the digital divide. Unfortunately, today’s action upends Congress’s carefully balanced framework, pursuing an approach that far exceeds the agency’s authority. Regulatory second-guessing of business plans puts at risk the investment, innovation and competition that benefit wireless consumers today. This approach risks casting a cloud of uncertainty around nearly every aspect of broadband service and slowing progress on our shared goal of equal access and digital inclusion.", said Meredith Baker.

Let us delve deeper into what these two initiatives entail. According to an article from the FCC, Lifeline, an initiative under the FCC, strives to enhance the affordability of communication services for low-income consumers. Through Lifeline, eligible subscribers receive discounts on qualifying monthly telephone service, broadband Internet service, or bundled voice-broadband packages from participating wireline or wireless providers. This discount plays a crucial role in ensuring that individuals with limited financial means can access 21st-century connectivity services, facilitating their access to employment opportunities, healthcare, and educational resources.

Moving forward, let's examine some specific provisions included within this program. According to an article from the FCC, Lifeline offers a monthly discount of up to $9.25 for eligible low-income subscribers and up to $34.25 for those on Tribal lands. Available for wireline or wireless services, Lifeline supports broadband and broadband-voice bundles, with FCC rules limiting one Lifeline service per household. Administered by the Universal Service Administrative Company (USAC), Lifeline is accessible to qualifying low-income consumers across states, territories, and Tribal lands. Eligibility is based on income or participation in federal assistance programs, with USAC facilitating applications, explaining requirements, and overseeing annual recertification.

Alongside the Lifeline initiative, there's another crucial program called the Affordable Connectivity Program. According to an article from the FCC, The Infrastructure Act allocated $14.2 billion to transform the Emergency Broadband Benefit Program (EBB Program) into a more enduring broadband affordability initiative known as the Affordable Connectivity Program (ACP). The Act mandated the Federal Communications Commission (Commission) to initiate proceedings for the finalization of ACP rules. Additionally, it instructed the Commission to implement specific alterations to the ACP, including eligibility criteria and benefit amounts, by the determined effective date of December 31, 2021, as established by the Bureau.

Here are some details about how this program provides aid specifically. According to an article from the FCC, The Affordable Connectivity Program offers a monthly discount of up to $30 for eligible households towards internet service, with a higher subsidy of up to $75 for households residing on qualifying Tribal lands. Moreover, qualifying households have the opportunity to obtain a one-time discount of up to $100 for purchasing a laptop, desktop computer or tablet from participating providers. This applies if they contribute more than $10 but less than $50 towards the purchase price.

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