Executive Summary
The Broadband Equity, Access, and Deployment (BEAD) Program, created through the Infrastructure Investment and Jobs Act (IIJA), is set to provide $42.45 billion in federal grants to states and territories to expand broadband infrastructure in unserved and underserved communities. Since its launch in 2021, BEAD has experienced delays and restructuring, raising the stakes for its effective implementation.
Today, 96% of Americans use the internet to access healthcare, education, jobs, and community life, yet millions remain offline. Nationwide, one in six households lack broadband, with the greatest disparities in rural communities, Tribal lands, communities of color, and low-income neighborhoods. Broadband access is no longer a luxury, it is a prerequisite for economic participation and America’s global competitiveness.
Background
BEAD, administered by the National Telecommunications and Information Administration (NTIA), represents the largest federal broadband deployment initiative in U.S. history. The program directs states and territories to develop deployment plans that address persistent gaps in digital access. With the confirmation of NTIA Administrator Arielle Roth in 2025 and ongoing state-level application revisions, communities may soon see expanded buildouts that will bring broadband to areas historically left behind.
In states like North Carolina, 95% of those living without broadband reside in rural areas, where lack of connectivity compounds existing challenges—population decline, job scarcity, health disparities, and limited educational opportunities. Broadband is not only essential for basic services, but also the foundation of economic growth and community vitality.
Challenges
BEAD is under pressure to succeed as the nation’s primary broadband program, but several barriers remain. Inaccurate FCC broadband maps, as documented by BroadbandNow and raised in ZETA’s congressional meetings, threaten to misdirect resources away from the areas most in need.
Rural communities remain at the heart of the digital divide. As emphasized in ZETA’s conversation with Representative Don Davis’s office (NC-1), lack of connectivity fuels economic deserts, hinders workforce development, and deepens inequities. Without effective deployment, millions of Americans will remain disconnected, weakening national economic resilience and competitiveness.
Financial sustainability is also a concern. Broadband buildouts in difficult-to-reach areas are costly, and without reforms to the Universal Service Fund (USF) and better alignment across federal programs, deployment risks becoming fragmented and slow. Meanwhile, other nations are moving aggressively to scale broadband, placing the U.S. at risk of falling behind.
Solutions
BEAD provides an unprecedented opportunity to close the digital divide, but it requires complementary reforms and safeguards to succeed. Congress should move quickly to advance bipartisan legislation such as the Stopping the Theft and Destruction of Broadband Act, which addresses infrastructure sabotage, and the Modernization, Accountability, and Planning for Broadband Funding Act, which ensures accurate broadband maps and effective planning.
Reforms to the Universal Service Fund can help streamline program delivery and create sustainable financing for broadband in hard-to-reach areas. NTIA’s recent restructuring notices emphasize the importance of aligning state-level plans with long-term economic sustainability, and partnerships with industry will be central to achieving this.
Finally, with the FCC’s Auction Authority restored through the July 2025 Budget Reconciliation Bill, Congress has the opportunity to dedicate spectrum auction revenues directly to BEAD and similar programs. Linking industry growth to connectivity expansion ensures a sustainable funding stream for bridging remaining access gaps.
Policy Recommendations
ZETA urges Congress and federal agencies to:
Accelerate BEAD implementation by ensuring timely state applications and deployments prioritize rural and underserved communities.
Modernize the Universal Service Fund, aligning its resources with BEAD and streamlining program delivery.
Dedicate auction revenues to broadband deployment, maximizing the impact of restored FCC authority.
Advance bipartisan safeguards through legislation that protects infrastructure, improves broadband mapping, and strengthens accountability.
