Alaska Communications Secures Long-Term Funding for Expanding Broadband

Rhea-AI Summary

Alaska Communications has secured long-term funding through the newly established Alaska Connect Fund (ACF), as per a Nov. 4 order from the Federal Communications Commission (FCC). The ACF will provide increased federal Universal Service Fund support from January 1, 2025, to December 31, 2028, to facilitate the deployment and operation of broadband across Alaska. From January 1, 2029, to the end of 2034, the ACF will continue to support the operation and maintenance of broadband and voice networks. The funding amount and eligible locations for the second phase will be determined by the FCC, considering the Broadband Equity Access and Deployment (BEAD) Program, which has allocated over $1 billion to Alaska. Alaska Communications has already deployed high-speed internet to nearly 30,000 locations, including Coffman Cove, Delta Junction, Homer, Hope, Hoonah, Kake, Kasilof, Kenai, Klawock, Larsen Bay, Ninilchik, North Kenai, North Pole, Seldovia, Soldotna, and Sterling.

Positive

• Alaska Communications secured long-term funding through the Alaska Connect Fund.
• Increased federal Universal Service Fund support starts January 1, 2025, through December 31, 2028.
• Ongoing support from January 1, 2029, to the end of 2034 for broadband and voice networks.
• The State of Alaska received over $1 billion in BEAD funding for broadband deployment.

Negative

• None.

ANCHORAGE, Alaska--(BUSINESS WIRE)-- Rural Alaskans will continue to have access to affordable, reliable, high-speed internet thanks to a Nov. 4 order issued by the Federal Communications Commission (FCC).

Alaska Communications Field Technician Kristine Barber prepares for a broadband installation on the Kenai Peninsula, a rural part of Alaska that will benefit from the Alaska Connect Fund. (Photo: Business Wire)

The order establishes the Alaska Connect Fund (“ACF”), which will provide Alaska Communications with increased federal Universal Service Fund support starting January 1, 2025, through Dec. 31, 2028. The Fund will allow Alaska Communications to continue deployment and operation of broadband across its service areas. Beginning January 1, 2029, the Alaska Connect Fund will provide ongoing support through the end of 2034 for the operation and maintenance of deployed broadband and voice networks throughout the state. The amount of support and eligible locations for the second phase of funding will be determined by FCC staff and will take into consideration broadband deployment funded through the Broadband Equity Access and Deployment (“BEAD”) Program in Alaska. The State of Alaska received over $1 billion in BEAD funding, which will be distributed by the Alaska Broadband Office.

“Alaska Communications is pleased to reach this important milestone with the FCC, setting the stage for continued deployment of affordable, reliable, high-speed broadband in our rural communities. We know how critical broadband is for education, healthcare, economic development and quality of life,” said Matt McConnell, Alaska Communications president and CEO. “We thank the FCC, along with Senator Murkowski, Senator Sullivan and Congresswoman Peltola for their support in bringing this much-needed financial support to our state.”

In 2017, Alaska Communications started participating in the FCC’s Connect America Fund Phase II High Cost universal service program in Alaska. Since that time, the company has deployed affordable, reliable, high-speed internet to nearly 30,000 locations in Alaska, including Coffman Cove, Delta Junction, Homer, Hope, Hoonah, Kake, Kasilof, Kenai, Klawock, Larsen Bay, Ninilchik, North Kenai, North Pole, Seldovia, Soldotna and Sterling.

The ACF is the next phase of the High Cost program and will support upgraded speeds and continued broadband deployment in these communities.

About Alaska Communications

Alaska Communications, an affiliate of ATN International, Inc. (NASDAQ: ATNI), is the leading provider of mission and life-critical communications infrastructure in Alaska. The company operates a robust and advanced statewide fiber network and a highly diverse undersea fiber optic system that connects Alaska to the contiguous U.S. For additional information, visit www.AlaskaCommunications.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241107792614/en/

Media Contact

Heather Marron

Manager, Corporate Communications

Heather.Marron@acsalaska.com

Source: Alaska Communications

FAQ

What is the Alaska Connect Fund (ACF)?

The Alaska Connect Fund (ACF) is a funding initiative established by the FCC to provide increased federal Universal Service Fund support for Alaska Communications, facilitating broadband deployment and operation from January 1, 2025, to December 31, 2028.

When will the Alaska Connect Fund provide support to Alaska Communications?

The Alaska Connect Fund will provide support from January 1, 2025, to December 31, 2028, and continue from January 1, 2029, to the end of 2034 for the operation and maintenance of broadband and voice networks.

How much funding did Alaska receive through the BEAD Program?

The State of Alaska received over $1 billion in funding through the Broadband Equity Access and Deployment (BEAD) Program.

Which areas in Alaska have benefited from Alaska Communications' broadband deployment?

Alaska Communications has deployed high-speed internet to nearly 30,000 locations, including Coffman Cove, Delta Junction, Homer, Hope, Hoonah, Kake, Kasilof, Kenai, Klawock, Larsen Bay, Ninilchik, North Kenai, North Pole, Seldovia, Soldotna, and Sterling.