As part of the Infrastructure Investment and Jobs Act, Congress allocated $42 billion to the Broadband Equity, Access and Deployment, or BEAD, program, intended to expand broadband internet access to rural, unserved and underserved areas. While the initiative has bipartisan support and will fund broadband development in all 50 states, Washington, D.C., and the territories, there has been debate about how to accomplish its goals. The debate ranges from balancing permitting regulations with efficient deployment to which broadband technologies to use.
Recently, the U.S. Department of Commerce announced a review of the program. According to Commerce Secretary Howard Lutnick, the department is “revamping the BEAD program to take a tech-neutral approach that is rigorously driven by outcomes, so states can provide internet access for the lowest cost.” In June 2025, the Commerce Department issued a policy notice with updated program guidance. In addition to guidance on labor and climate resilience, it revises project scoring criteria and changes the definition of priority broadband projects to make the program more technologically neutral, rather than the fiber-centric program specified in the original notice of funding opportunity from May 2022.
The debate around technology modes has been particularly relevant in 2025, with research showing that broadband access can help reduce the unemployment and poverty rates. This resource will discuss the various modes of broadband technology being considered for BEAD, including how they work and their potential benefits and drawbacks.
Fiber-Optics
Fiber-optic internet is a technology in which cables filled with thin glass and plastic fibers transmit data through beams of light that are flashed in patterns of zeroes and ones to translate the data.
Fiber has many benefits, notably speed. Most fiber plans deliver speeds of around 1 gigabit per second (Gbps), although some providers can deliver speeds two to five times faster. One Gbps is anywhere from 10 to 20 times faster than traditional technologies, meaning that it can take only 40 seconds to download a two-hour HD movie. Another perk of fiber is its ability to accommodate new internet applications. Its fast speeds mean that connections are more robust. These speeds enable connections that handle data-intensive applications such as artificial intelligence, virtual learning, telehealth and video conferencing. Along these lines, fiber is also more straightforward to upgrade speed compared with other technologies, as only the transmitting and receiving equipment need to be upgraded rather than the full cable lines. Finally, fiber internet also is resilient. Fiber cables have a lifespan of up to 35 years with minimal maintenance. They are also more protected from natural disasters and other physical disruptions when they are buried underground, and are less susceptible to power outages due to their glass and plastic construction.
Fiber has high upfront costs, however. Delivering fiber to unserved areas requires specialized labor to lay cable over long distances. Labor costs vary by state, and geographic variance can also affect costs. Rough terrain makes deployment of fiber more technically difficult and expensive, and cold winters can limit fiber installation. Fiber's higher upfront costs mean lower return on investment if the project serves a smaller number of customers. Another downside to fiber: Cables that cannot be buried underground must be attached to utility poles, which is a complicated process. According to the The Pew Charitable Trusts, the process of utility pole owners granting broadband providers permission to attach wires or cables to the poles involves application, permitting, making room for the attachment and attaching the fiber. This can add months or even years to broadband projects. These regulations vary significantly, as 23 states and Washington, D.C., manage pole attachments separately from federal regulations.
Hybrid Fiber-Coaxial
Hybrid fiber-coaxial, or HFC, combines fiber-optic cables with traditional coaxial cables. Fiber-optic lines transmit data to local nodes, from which coaxial cables carry the signal to residences. This architecture eliminates the need for fiber connections directly to every home.
HFC internet has some key advantages. Unlike fiber, which requires building out entirely new infrastructure, HFC uses existing cables, reducing the overall construction cost. Like many fiber projects, HFC systems also often must go through the pole attachment process. Another important advantage is scalability. Where other technologies may require more fundamental replacement of infrastructure for upgrades, HFC can be upgraded incrementally to accommodate increased bandwidth and new technologies.
However, HFC also has limitations. Download speeds are often faster than upload speeds. A recent iteration of this technology has speeds of 10 Gbps when downloading and 6 Gbps when uploading, an asymmetry that could pose challenges for applications such as videoconferencing and livestreaming, which require more upload bandwidth capability. If speeds are asymmetrical, some functions may work better than others. And, unlike fiber, which doesn’t need energized power lines, HFC systems require power to run the nodes and amplifiers. This makes them more vulnerable to power outages.