NTCA Members Warn of $1 Billion in Canceled Projects in 2025 Absent USF
A total of 68% of NTCA members said in a recent survey they would need to cancel deployment projects next year, equaling more than $1 billion, if the USF program goes away following the 5th U.S. Circuit Court of Appeals'…
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recent ruling (see 2408140055), which found that the USF contribution factor is a "misbegotten tax.” Also, 71% said “they would need to cancel 2026 deployment projects, equaling nearly $900 million and representing nearly 83% of these companies’ planned investments for 2026,” without USF support, NTCA said. “If USF support were eliminated, there is substantial potential for default on outstanding network construction loans, including many held by the federal government,” the group said. NTCA members reported receiving an average of $72 monthly per broadband subscriber in USF support. The survey results were released last week. “As this survey highlights, without USF support, not only could consumers who currently have broadband see the cost of their bills skyrocket, but rural providers will find it harder or even impossible to make the further investments needed to connect those still waiting for service or to repay loans for deployments already made,” said NTCA CEO Shirley Bloomfield.