1. Comment
  2. Comment
December 23, 2021

Playbook aims to offer assistance to US broadband buildouts

By GlobalData Technology

With visions of government funding dancing in their heads, two US fiber advocacy groups announced plans in December to publish a “Broadband Infrastructure Playbook” next month. The playbook is designed to help educate state governments spending some of the $65 billion in deployment funds allocated in the infrastructure bill passed by the US Congress and signed by President Biden in November.

The two groups – the Fiber Broadband Association (FBA) and the NTCA-The Rural Broadband Association – are preparing the playbook to help demystify the complex and convoluted funding mechanisms laid out by the newly-formed “Broadband, Equity, Access, and Deployment” (BEAD) program that will require each state to implement its own plan. While final awards will vary widely, each state will receive a minimum of $100 million in funding for broadband infrastructure development. The near-term catch is that every state is required to coordinate with local governments and submit a five-year action plan in order to qualify for funding.

The devil is in the playbook detail

The playbook will provide a detailed overview of the statutory requirements associated with the new broadband infrastructure law and offer recommendations for how states should structure their broadband programs. Templates will also be provided to help accelerate the process of creating state funding applications and competitive bidding evaluations.

Specifically, the FBA and NTCA have indicated the playbook will provide recommendations in the following areas:

  • Overall program plan, sequencing and timing of activities
  • Recommendations on how states can best incorporate federal grant programs
  • Key process and information requirements (e.g., in the mapping of underserved areas, the management of the award process and post-award monitoring)
  • Organizational structure, scale and distribution of responsibilities
  • Interfaces with other state government departments and external bodies

The FBA and NTCA are also calling for both states and broadband network providers to participate in the research for the playbook and share lessons learned from earlier funding programs. The two associations plan to issue the playbook in early 2022 in order to give states the opportunity to have systems in place in tie for the announcement of final funding awards, expected in May 2022.

While the playbook should provide an important tool in addressing the digital divide, the motives of the FBA and NTCA are of course not entirely altruistic. The FBA in particular represents dozens of telecommunications infrastructure vendors eager to break ground on a host of government-funded rural broadband contracts that are likely to extend well through the remainder of this decade. Rural broadband can come in many flavors, notably fixed wireless, and the two groups are keen to steer many of those investment decisions to fiber. The to-be-released playbook can play a vital role in that regard.

Verdict deals analysis methodology

This analysis considers only announced and completed artificial intelligence deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term ‘acquisition’ refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.

Topics in this article: ,