President Biden plans to announce a sweeping infrastructure plan on Wednesday that includes $ 100 billion to connect every American to super-fast broadband internet for the next eight years.
Biden is scheduled to reveal its $ 2 trillion “American Jobs Plan” later Wednesday in Pittsburgh. The highly anticipated infrastructure and jobs package includes funding for broadband expansion, semiconductor manufacturing and a host of other interests, such as public transportation and helping consumers purchase electric vehicles. During a phone call with reporters Tuesday, an administrative official said the package would be paid for by changes to the corporate tax rate.
Biden’s $ 100 billion for broadband expansion trumps most other efforts to complete every US household’s connection to the Internet. Earlier this month, Senator Amy Klobuchar (D-MN) and Rep. James E. Clyburn (D-SC) announced their own account that would invest $ 94 billion to close the digital divide. In previous years, the Federal Communications Commission has raised more than $ 20 billion to reward cooperatives, satellite operators and other telecom companies launching broadband projects in unmanned areas.
Biden’s package also calls for 100 percent broadband coverage by the end of the decade, prioritizing networks affiliated with local governments, nonprofits, and cooperatives, and promises funding for projects on tribal lands. Biden’s broadband plan also aims to encourage adoption by lowering the cost of internet services in the long run.
While the President acknowledges that individual grants to cover internet costs may be needed in the short term, he believes that continuously providing grants to cover the costs of overpriced internet services is not the right long-term solution for consumers or taxpayers, according to a fact sheet because the package reads.
The package also offers tax incentives and rebates to encourage consumers to buy electric vehicles, along with a plan to electrify the federal fleet, including trucks from the United States Postal Service. More than $ 50 billion has been earmarked for investments in semiconductor manufacturing domestically, a particularly important issue in light of the recent shortages. In February, Biden signed an executive order calling for government overhauls to the semiconductor supply chain following a massive chip shortage caused by the coronavirus pandemic.