The Trump government said on Wednesday that it would revise a federal subsidy program of $ 42 billion to expand fast internet to the nation, including alleviating some rules that can benefit the satellite internet service of Elon Musk, Starlink.
The program will be renewed to “follow a technically neutral approach” in his distribution of funds into states, said trade secretary Howard Lutnick in a statement. The rules of the program, which were made during the Biden administration, beneficiary formerly broadband lines made from fiber-optic cables attached to houses.
“The department tears out the meaningless requirements of the Biden administration,” said Mr. Lutnick. The Commerce department will also remove the regulatory and other barriers that delay the construction and connection with households, he added.
The congress created the broadband equality, the access and implementation program in 2021 to extend broadband to the most remote areas of the nation. The Commerce department devised norms and rules for states and areas that apply for the money-included preference for fiber-optic broadband, which offers the fastest internet service speeds.
Mr. Musk, who is a close adviser of President Trump and helps a government efficiency initiative in Leiden, is Chief Executive of SpaceX, the Rocket Company that makes Starlink. Starlink uses satellites at a low height to shine an internet service to dishes everywhere on the planet and then to devices. It serves almost five million subscribers worldwide and was used by care providers in North Carolina at the end of last year when communication networks were closed after a hurricane.
The Internet program of the Commerce department has not yet paid funds and Republicans have used it as an example of a program delayed by bureaucracy.
Some have accused the Biden administration of the unfair blocking of Starlink of the subsidies and say that the satellite service can immediately serve some of the most remote areas of the nation.
In 2023, the Federal Communications Commission rejected Starlink's application for nearly $ 900 million in subsidies in a separate national broadband program, and said that the company could not show that it could meet the financing service requirements.
Brendan Carr, then a Republican FCC Commissioner and now chairman of the Agency, opposed the decision and said that the action had set the FCC on a “growing list of administrative agencies taking action against Elon Musk's companies.”
The business interests of Mr. Musk-Die also the electric car maker Tesla and the social media company X include cause for concern about possible conflicts of interest while making important decisions in Washington.
On Wednesday, some public interest groups expressed their concern that Mr. Lutnick's plans to change the broadband program could go directly to Mr Musk.
“Broadband of fiber is generally considered better than other internet options- such as the Satellites from Starlink- because it provides considerably higher speeds,” said Drew Garner, a director of policy involvement for the non-profit Benton Institute for Broadband & Society.
The Commerce department did not immediately respond to requests for details about the plan. Mr. Musk did not respond to a request for comment.
