20 September, 2025
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Pennsylvania is set to invest $793 million to expand high-speed internet access to homes and businesses in a major federal initiative. This funding aims to connect 130,000 locations across the state that currently lack broadband service. The initiative comes as part of a broader effort to enhance connectivity in even the most remote areas of the United States.

Concerns have emerged regarding the allocation of these funds, particularly the shift towards low Earth orbit satellite internet providers. Critics warn that this trend could compromise the reliability of service for rural residents. Recent results indicate that approximately two-thirds of eligible locations in Pennsylvania will receive internet via fiber-optic cables, while 18% will be served by satellite providers and 13% will receive wireless internet.

Todd Eachus, president of the Broadband Communications Association of Pennsylvania, commented on the funding distribution. “Pennsylvania struck a relatively reasonable balance here, but the proof will be in the pudding once these get built,” he stated. The funding strategy reflects changes made during the Trump administration to the original program established by the bipartisan infrastructure law passed in 2021, which represented the largest investment in U.S. broadband to date.

Under the Biden administration, states were encouraged to prioritize projects that utilize fiber-optic cables, known for their speed and reliability, albeit at a higher installation cost. However, new rules introduced in June shifted focus towards projects with lower up-front costs, making satellite options from companies like SpaceX and Amazon’s Project Kuiper more viable.

The approach to broadband funding has varied significantly across states. For instance, while West Virginia and Louisiana continue to prioritize fiber projects for over 80% of eligible locations, Pennsylvania’s strategy lies in between. Critics argue that funding satellite providers could be a short-sighted move as these technologies may struggle to evolve with future demands for faster internet speeds.

Pennsylvania’s broadband officials appear to share these concerns. According to state records, the infrastructure law requires that states prioritize projects capable of scaling speeds over time. Notably, the broadband authority did not classify any satellite projects in this category. Despite this, Amazon’s Project Kuiper secured funding for more than 18,000 locations, including large areas in Beaver, Greene, and Washington Counties, while SpaceX will cover approximately 4,800 locations.

Local residents have expressed skepticism about the funding awarded to Project Kuiper. One individual criticized the choice, pointing out that the service is not fully functional, calling it a “step in the wrong direction just to ensure that ‘internet for all’ is achieved on paper.” Project Kuiper has announced plans to start delivering service to customers later this year.

Labor unions have also voiced their discontent, arguing that neither SpaceX nor Project Kuiper contributes to local infrastructure, job creation, or cost-effective long-term solutions compared to fiber broadband. In a public comment, SpaceX urged the federal government to mandate that Pennsylvania rebids certain locations, claiming that the state did not always select the most cost-effective options.

The potential reliability of satellite internet technology remains a concern. An analysis by Ookla revealed that during the first quarter of the year, only 17.4% of SpaceX users consistently achieved speeds that meet the federal broadband definition. Despite this, Ookla noted significant improvements in median upload and download speeds over the past few years, although increased customer numbers could lead to congestion and slower speeds.

Sascha Meinrath, a professor at Penn State, raised critical questions about whether SpaceX could meet the program’s requirements, stating, “If four out of five subscribers aren’t getting broadband speeds today, what do people think is going to happen when you add in hundreds of thousands of new users?”

A representative from SpaceX responded, asserting that median download speeds, even during peak usage, exceeded federal requirements as of July 2025. They emphasized the company’s commitment to improving service quality for both new and existing customers.

The plan put forth by Pennsylvania now awaits approval from the U.S. Department of Commerce, which has pledged to review state proposals within 90 days. The agency has cautioned that it could reject specific grant awards deemed excessive, and reports suggest it has begun requesting states to quickly rebid certain awards.

This funding initiative has sparked a vital conversation about the future of internet access in rural Pennsylvania, highlighting both the opportunities and challenges posed by the evolving landscape of broadband technology.