- NTIA published its final rules on alternative BEAD technologies just weeks before the start of Trump’s second term
- Providers using unlicensed fixed wireless spectrum can apply for BEAD – as long as they use licensed spectrum as well
- Low-earth orbit satellite, which grapples with capacity constraints, still isn’t considered ‘reliable’ broadband
The clock is ticking until Donald Trump returns to the White House and appoints a new NTIA chief to oversee the $42.5 billion BEAD program. But instead of just waiting for the changing of the guard, the current NTIA crew wanted to set the record straight on the broadband technologies poised to play a larger role in the new administration.
The agency on Thursday unveiled its final guidance on the use of “alternative technology” for BEAD deployments. In this case, alternative tech includes low-earth orbit (LEO) satellite broadband and unlicensed fixed wireless access (FWA).
When NTIA first introduced the idea of allowing unlicensed spectrum for FWA deployments in July 2024, wireless internet service providers (WISPs) were thrilled. Providers that use licensed spectrum, like the Citizens Broadband Radio Service (CBRS), were already eligible to apply for BEAD but their unlicensed spectrum counterparts (aka a large portion of WISPs) were previously barred. Now, the NTIA has officially opened the doors for more WISPs to join the party.
Per the new guidance, the BEAD program’s definition of “reliable” broadband service now encompasses FWA tech that uses not only licensed spectrum but also “a hybrid of licensed and unlicensed spectrum.”
Notably, the NTIA didn’t classify fully unlicensed spectrum deployments as reliable (neither is LEO satellite, but we’ll get to that in a second). This left industry group WISPA wanting more.
“We believe [unlicensed fixed wireless] that otherwise meets baseline standards should not remain sidelined from the definition of Reliable Broadband Service,” said WISPA President and CEO David Zumwalt.
Despite that caveat, he still considers the guidance “a big win” for unlicensed FWA providers and states. It will help pave the way for “greater participation and competition” and make “finite BEAD dollars go further,” Zumwalt said.
The LEO lowdown
On the satellite front, states will now be able to award “LEO Capacity Subgrants,” which are basically BEAD dollars that can be put toward reserving capacity on LEO satellite networks. States and territories also have the option to reimburse LEO providers when they hit a subscriber milestone or a certain number of locations in a project area.
However, satellite still doesn’t fit the bill for the NTIA’s definition of “reliable broadband” technologies, which applies to fiber optic, cable/HFC, DSL and terrestrial FWA.
The most common criticism of satellite broadband is its capacity constraints. According to a study from the Fiber Broadband Association and Cartesian, Elon Musk’s Starlink service can currently support 1.7 million U.S. subscribers. Starlink now has 1.4 million customers in the country and 215,000 of these locations are BEAD-eligible, said FBA.
FBA chief Gary Bolton hasn’t been the biggest fan of Starlink receiving BEAD funds. He noted in his Q4 update that while Starlink “will have a larger, more capable fleet” by 2030, it will still face spectrum constraints even if the FCC grants additional allocations.
But satellite broadband’s issues haven’t stopped states from factoring the technology into their BEAD plans.
Louisiana, the first to announce BEAD grant winners, has allocated $28.7 million for an unnamed alternative technology provider (most likely Starlink or Amazon’s Project Kuiper) to cover nearly 2,900 locations. Nevada meanwhile will dole out nearly $14.5 million to Project Kuiper to connect around 4,900 locations in the state.
The only other state that’s posted its list of BEAD recipients is Delaware, which will award funds to Comcast and Verizon to cover its remaining underserved locations.
Others, like Maine and New Mexico, see satellite as a short-term solution that can get people online faster while they wait for BEAD money to flow – and for fiber to be deployed.
NTIA’s updated guidance still makes it crystal clear that “priority broadband projects” should deploy end-to-end fiber. But its insistence today could end up a moot point tomorrow if the Trump administration axes BEAD’s fiber preference.
More on why analysts think that could happen here.
