GCI Calls for Reform of FCC's Alaska Broadband Fund

GCI suggested adjusting support to account for a rise in inflation

GCI Calls for Reform of FCC's Alaska Broadband Fund
Photo of John Nakahata, chair of HWG LLP, counsel for GCI Communication Corp., used with permission.

WASHINGTON, August 15, 2024 – In an effort to enhance broadband connectivity in one of the world’s most remote regions, a major telecommunications company has called for updates to a program supporting high-cost broadband deployment in Alaska.

Representatives from GCI Communication Corp., a leading telecom provider in Alaska, met with Federal Communications Commission staff Monday to discuss the Alaska Connect Fund. They advocated for revisions that would better support the expansion of broadband services in Alaska’s remote and underserved areas.

The Alaska Connect Fund is the FCC’s proposed program to provide high-cost support for fixed and mobile carriers in Alaska. GCI is pushing for a new framework that builds on its predecessor, the $1.5 billion Alaska Plan, which aimed to address the distinctive challenges of deploying broadband in the state.

Alaska’s remote and demanding environment can present unique challenges for broadband deployment, making it difficult for providers to plan and commit to long-term investments.

Extreme weather conditions, prolonged periods of darkness, and the isolated nature of many areas complicate the logistics of deploying and maintaining infrastructure. Federal, protected, and Tribal lands further restrict access, and supply chain issues add to the difficulties. 

Given these obstacles, GCI’s proposal suggested extending the Alaska Connect Fund into a ten-year framework and adjusting support levels for inflation. When the ACF was first proposed in October 2023, it was indicated that the program would be based on frozen support set at a fixed amount, though the FCC did not specify the exact funding amount.

“Alaska providers must have certainty years in advance to commit to long-term investments to deploy and maintain next-generation wireless services like 5G,” GCI’s filing to the FCC stated.

GCI also recommended the FCC set clear performance goals, with a target of 5G wireless service for mobile providers and at least 100/20 megabit per second for fixed broadband.

The telecom provider recommended the FCC review and adjust the fund based on the results of ongoing federal programs, including those of the Broadband Equity, Access, and Deployment Program, with the goal of issuing a final order by 2028.

GCI maintained that adopting this revised framework would be crucial to bridging the digital divide in Alaska, providing its remote and underserved communities with the advanced connectivity they desperately need.

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