FCC votes to subsidize broadband connections for low-income households

Today the FCC voted in favor of updating its Lifeline program to include broadband. This would mean that households surviving on low incomes would be able to receive help paying for a broadband connection. It might not be as important as electricity or water, but having a broadband connection is seen as being all but essential these days.

From helping with education and job hunting, to allowing for home working, the ability to get online is seen as so vital by some that there have been calls for it to be classed as a utility. The Lifeline program has been running since the 80s, and originally provided financial help to those struggling to pay for a phone line. It was expanded in 2008 to include wireless providers, and it is hoped that this third expansion will help more people to get online.

Announcing the decision to modernize the program, the FCC points out that less than half (48 percent) of households with an income under $25,000 had an internet connection at home. While it could be argued that internet access is possible through smartphones, the commission reveals that half of low income consumers have their mobile connections suspended or cancelled due to financial difficulties.

Broadband has become essential to participation in modern society, offering access to jobs, education, health care, government services and opportunity. Unfortunately, income remains a significant barrier to broadband adoption.

The broadband subsidy would remain at $9.25 and there are plans to "reduce waste, fraud and abuse". A third party would be used to verify the eligibility of households, and it would be required to retain documentation to allow for easier auditing. This would help to take pressure off ISPs, something that could be improved further by the use of subsidies being delivered directly to customers through the use of vouchers.

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