On Wednesday, as the Affordable Connectivity Program (ACP) reduced broadband subsidies due to a funding shortfall, Chamber of Progress released new research by Senior Economist Kaitlyn Harger exploring the economic impact of the program’s stoppage. 

Totaling the cost of higher internet bills and lost access to job opportunities, telehealth, and education, the research finds that low-income households will take a $20 billion hit with the end of the ACP. Over the course of its two-year run, the ACP helped over 23 million US households afford broadband internet access.

Read the full study here.

“More than 23 million low-income American households will soon see a new line item in monthly expense statements: prohibitively expensive internet bills,” said report author Kaitlyn Harger. “For some, the new cost will eat into other essential areas of their budget. For others, it will mean losing access to a world of opportunity – from essential telehealth services to remote job markets and quality online education.”

According to the new research, low-income families stand to lose $8 billion in direct annual internet subsidies. Former ACP beneficiaries who lose internet access will also lose $1.4 billion in telehealth savings, $627 million in student benefits, and $10 billion in work opportunities.

###

Chamber of Progress (progresschamber.org) is a center-left tech industry policy coalition promoting technology’s progressive future. We work to ensure that all Americans benefit from technological leaps and that the tech industry operates responsibly and fairly.  

Our corporate partners do not have a vote on or veto over our positions. We do not speak for individual partner companies and remain true to our stated principles even when our partners disagree.