The US Broadband Equity, Access, and Deployment (BEAD) program is set to be revamped.

Late last week, the Department of Commerce's National Telecommunications & Information Administration (NTIA) published proposals to reform the $42.5 billion scheme.

Pressure has mounted on BEAD since President Donald Trump returned to office, with many government officials critical of the program.

As such, the NTIA stated that the reforms aim to "remove rules favoring particular technologies and eliminate unnecessary regulatory burdens."

The initial purpose of BEAD was to push the rollout of fiber across the US, however, the latest reforms have put this on an equal with other technologies, such as satellites.

BEAD, which was set up by the Biden administration and confirmed by Congress in November 2021, has been implemented by the NTIA. The federal grant program was designed to fund projects dedicated to providing Internet infrastructure in unserved locations across the US and its territories.

The new rules mean that all broadband technologies that meet statutory performance standards, such as 100/20 Mbps are able to qualify, regardless of whether it's fiber or satellite.

"Today we proudly announce a new direction for the BEAD program that will deliver high-speed Internet access efficiently on a technology-neutral basis, and at the right price," said US Secretary of Commerce Howard Lutnick.

"President Trump promised to put an end to wasteful spending, and thanks to his leadership, the American people will get the benefit of the bargain, with connectivity delivered around the country at a fraction of the cost of the original program."

The amendments seek to cut costs, speed up the deployment of fiber, and consider a variety of technologies, not just fiber. The NTIA noted that states and territories have 90 days to comply with the notice.

So far, BEAD has yet to connect a single household to broadband.

Only three states, Louisiana, Delaware, and Nevada, had received approval to get on with their broadband buildout. However, the new rules have mooted such plans, meaning each state must re-do the bidding process.

“Thanks to today’s reforms, the BEAD program can focus on what Congress intended: broadband deployment," added Adam Cassady, acting assistant Secretary of Commerce for communications and information and acting NTIA administrator.

"Shelving the previous Administration’s unnecessary burdens, and opening access to all technology types, connects more Americans to broadband more quickly, and at a lower cost to the American taxpayer.”

The fallout from the changes

Unsurprisingly, the changes have not been welcomed by all quarters.

Back in March, Evan Feinman departed from his role as the director of BEAD after failing to be re-appointed. At the time, he warned that rural America could be left behind if satellite-based alternatives are prioritized over fiber broadband.

"The new administration seems to want to make changes that ignore the clear direction laid out by Congress, reduce the number of American homes and businesses that get fiber connections, and increase the number that get satellite connections," wrote Feinman in March.

"The degree of that shift remains unknown, but regardless of size, it will be a disservice to rural and small-town America."

And in the more immediate reaction this week, Benton Institute for Broadband & Society slammed Lutnick, saying he has "betrayed rural America."

“Secretary Lutnick’s actions will cement the digital divide for decades,” said director of policy engagement Drew Garner. “He is hurting our economic competitiveness, our healthcare and education, and our ability to work and stay connected with loved ones. He is denying rural Americans access to the modern economy and our increasingly connected world.

“Secretary Lutnick wants to invest in the “cheapest” broadband infrastructure, not the best broadband infrastructure. It’s a self-inflicted wound to American competitiveness. China and Europe are going all in on fiber to position themselves for AI. Under Secretary Lutnick, America is getting cheap, unreliable networks. That’s the definition of penny-wise, pound-foolish."