INDIANAPOLIS (WISH) – Nearly 23 million U.S. households could see their monthly internet bills rise significantly, according to the Federal Communications Commission.
Congressional funding for the Affordable Connectivity Initiative will begin in May. These cuts could have a huge impact on low-income and rural Hoosier families. Telecommunications expert Hugh Odom, founder and president of Vertical Consultants, joins Daybreak’s Jeremy Jenkins to explain.
What is an Affordable Connectivity Plan?
“The Affordable Connectivity Initiative was launched as early as early 2022. The reason is, as we learned during COVID-19, we rely heavily on business applications, education applications, and especially telemedicine applications to connect to the Internet Wireless service, etc.,” Odom said.
Through the program, low-income, mostly elderly U.S. customers can receive a $30 discount on Internet service. In Indiana, 425,968 households (1 in 6 households in the state) have saved money on their Internet bills through Affordable Connect plans, according to White House data.
“In about a month or so, you’re going to lose that funding. As a result, a lot of people are not going to be able to connect to the internet,” Odom said.
Keep your funds safe
Odom said with millions of people relying on the program, there are two ways to get funding to continue the program.
“First, a bipartisan push to extend this funding by $7 billion will help and sustain subsidies for low-income and senior citizens across the United States,” Odom said.
The second path, Odom said, is through the Federal Communications Commission’s efforts to push carriers to lower rates and provide gap coverage.
“I don’t know if that’s going to happen… What’s probably going to happen is you’re going to see a lot of these carriers, wireless carriers, etc. go out and offer discounted service. But with discounted service, some of the Internet that you have now Availability may be significantly reduced,” Odom said.
For the full conversation, watch the full interview here.