The FCC adopted new rules on Thursday to move forward with targeted investments in the deployment of advanced, 5G mobile wireless broadband services in rural communities. Officials believe the bipartisan vote “reignites” the 5G Fund for Rural America using the agency’s new and improved broadband coverage maps. Those show millions of homes and businesses lack mobile 5G coverage, according to the agency.
For Phase I of the 5G Fund, the Commission will use a multi-round reverse auction to distribute up to $9 billion to bring voice and 5G mobile broadband service to rural areas of the country unlikely to otherwise see unsubsidized deployment of 5G-capable networks. The Commission will announce the expected start of the auction at a later date.
The 5G Fund Phase I auction will rely on the mobile coverage data obtained in the Broadband Data Collection – including through the FCC’s Mobile Speed Test app – and reflected on the FCC’s broadband maps.
Additionally, to promote the deployment of O-RAN technology and its benefits for competition, national security, and supply chain reliability, the 5G Fund now includes up to $900 million in incentives for incorporating O-RAN in 5G Fund-supported networks.
“With the progress we’ve made in mapping broadband service availability, there is no reason to wait to put the 5G Fund to work connecting households and businesses in rural communities across the country,” said Chairwoman Jessica Rosenworcel. “We are ready to use every tool available to make sure that those who live, work, and travel in rural America have access to advanced, 5G mobile wireless broadband services.”
Telecom associations had mixed reviews. “We have serious concerns about the FCC new 5G Fund Order, particularly related to its eligibility parameters, the readiness and adequacy of mobile broadband maps, and the failure to leverage BEAD to make the 5G Fund go farther,” said Competitive Carriers Association President/CEO Tim Donovan. “The 5G Fund and USF support to preserve towers that rely on it are extremely important to many CCA members and their customers, and we are worried that, as is, the 5G Fund could ultimately leave the country worse off in terms of 5G connectivity.”
“Spreading the benefits of 5G everywhere Americans live, work, and travel is critical. A successfully implemented 5G Fund will be an important step towards achieving WIA’s Connectivity Everywhere vision,” said WIA President/CEO Patrick Halley. “WIA appreciates the FCC’s recognition that the BEAD program will enable 5G deployment and the importance of the interplay between the two programs. Today’s action is yet another example of why it is so important to remove unnecessary barriers to wireless infrastructure deployment, which we know will only add delay and costs at a time when we have neither a minute nor a dollar to spare.”
By Leslie Stimson, Inside Towers Washington Bureau Chief
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