FCC Ups CAF Speed Requirement, E-rate Cap

The FCC has revamped its rules for the Connect America Fund and its E-rate program. The commission now requires companies receiving ...
Dec. 12, 2014

The commission now requires companies receiving Connect America funding for rural fixed broadband to provide speeds of at least 10 Mbps downstream and 1 Mbps upstream. The previous requirement, set in 2011, was 4 Mbps downstream and 1 Mbps upstream.

To make more E-rate funding available for libraries and schools to purchase broadband connectivity capable of delivering gigabit service over the next five years, the FCC has raised the spending cap on the E-rate program from the current $2.4 billion to $3.9 billion. The order is also intended to let schools and libraries build high-speed broadband facilities themselves when that is the most cost-effective option, subject to certain requirements.

The NCTA applauded the intent of both orders, but expressed misgivings about spending oversight.

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