“We have never had a situation where the leading shareholder of a communications company has both a position – both in terms of influencing the president, but also having an assignment to drive efficiency in government – with so many government contracts,” said Blair Levin, a telecommunications industry analyst with New Street Research and the Brookings Institution. “That is an extraordinary situation. That is unprecedented.”
Musk has long been a critic of the 🔸Broadband Equity, Access, and Deployment Program🔸( #BEAD ) ,
👉which provides nearly $42.5 billion through the Bipartisan Infrastructure Bill
to expand high-speed internet access in rural areas
-- but his Starlink satellite internet service has been shut out of that funding after government agencies determined it was too slow to qualify
Musk raged on X:
"the companies that lobbied for this massive earmark (not us) thought they would win,
but instead were outperformed by Starlink,
so now they’re changing the rules to prevent SpaceX from competing.”
Musk described the program as “an outrageous waste of taxpayer money" in June,
and he endorsed Trump a month later and became an influential adviser
after pouring hundreds of millions into his campaign,
-- and soon the president-elect was echoing his language on rural broadband.
Trump's newly named FCC chair Brendan Carr has also argued that subsidizing Starlink terminals instead of fiber optic broadband was a better use of public funding,
-- and incoming Senate telecommunications committee chair Ted Cruz (R-TX) sent a letter last week to the National Telecommunications and Information Administration administrator complaining about waste in the BEAD program.
Congress has authorized BEAD funding,
but Levin suggested that Trump could order that money to be withheld indefinitely,
-- as Musk and Ramaswamy argued he should do in a Wall Street Journal op-ed,
⚠️although that would violate the 1974 Impoundment Control Act
– the law that the former president violated in his first term ultimately resulted in his first impeachment.
“While there are other technology options for high-speed connectivity, the most reliable, efficient and future-proof solution is fiber optic technology to the home or business,” said Tom Dailey, head of regulatory and government affairs at Brightspeed, an internet service provider competing for BEAD funds.
“Satellite broadband is a costly option that does not provide the same level of reliability or speed that fiber optic technology provides."
https://www.rawstory.com/unprecedented-2670238566/