USF Contribution Factor to Hit Record 38.1 Percent

Trade groups submitted comments Monday to lawmakers working on modernizing the fund.

USF Contribution Factor to Hit Record 38.1 Percent
Photo of the main entrance to the FCC headquarters in Washington from the agency

WASHINGTON, Sept. 17, 2025 – The Universal Service Fund’s contribution factor will likely be 38.1 percent in the fourth quarter, a record high.

The contribution factor is the amount of interstate and international voice revenue telecoms will pay into the roughly $8 billion-per-year fund. The program has been funded this way with few major changes since the 1990s, but now focuses much more on supporting broadband than voice services. 

The USF buoys four programs that subsidize building and maintaining rural broadband networks and internet discounts for low-income households, schools and libraries, and healthcare centers.

Member discussion

Popular Tags