USF Reform Could Put Hyperscalers, Data Centers on the Hook
AI companies could help reshape how broadband subsidies are funded.
AI companies could help reshape how broadband subsidies are funded.
WASHINGTON, Oct. 8, 2026 – A federal broadband subsidy program under financial duress could get bailed out by AI-related companies, as policymakers consider making major users of broadband infrastructure contribute to universal service.
Universal service reform could expand the pool of companies that help finance broadband networks to include hyperscalers, cloud providers and other major users of internet infrastructure, according to former FCC officials and broadband advocates.
Louisiana has begun construction on a BEAD-funded fiber project
About 58 percent of the program’s fiber will be buried
The Republican-led FCC advanced the request for public comment and could rule on it as soon as late October
President Franklin D. Roosevelt created the Rural Electrification Administration by executive order on May 11, 1935. Congress made the agency permanent in 1936