Mississippi $1.2 Billion Broadband Expansion Advances Despite BEAD Changes

State’s $1.2B Internet Buildout Continues

Mississippi is forging ahead in its mission to bring reliable broadband to more residents, even as major adjustments to federal guidelines spark fresh worries about pricing and connection quality.

Internet providers across the state have recently filed more than 300 applications for grants targeting areas that lack adequate internet. The Office of Broadband Expansion and Accessibility of Mississippi (BEAM) is managing $1.2 billion in federal funds allocated through the Broadband Equity Access and Deployment (BEAD) initiative—a $42 billion nationwide effort launched by Congress in 2021 as part of the Infrastructure Investment and Jobs Act.

A turning point came June 6, when the National Telecommunications and Information Administration (NTIA) updated its rules. The changes eliminated previous requirements that prioritized fiber internet, labor standards, affordable pricing, climate resilience, and community engagement. The overall amount earmarked for Mississippi remains the same.

“By removing unnecessary restrictions from the prior Administration and allowing a wider range of technology options, we’re connecting more Americans to broadband faster and at a better value,” said Secretary of Commerce Howard Lutnick at the time.

To pinpoint areas most in need, the state relied on service maps created from provider data. BEAM’s current focus is to distribute grants to companies able to fill these gaps. As of June, no contracts have been finalized.

Mississippi Presses On with High-Speed Internet Expansion Despite Federal Program Changes

In 2022, Mississippi ranked last in the country for broadband coverage, with only 80% of residents connected. Improved access is vital for unlocking new opportunities in healthcare, education, jobs, and economic development—especially in the state’s rural communities.

The grant selection process is based on which applicants can deliver the fastest deployment, at the lowest price, while still hitting technical benchmarks for internet speeds. With the program’s new technology-neutral rules, satellite providers like SpaceX and Amazon’s Kuiper could see more contracts—even though these options are often less robust and more expensive than fiber.

Removing Preference for Fiber

Advocates caution that removing the preference for fiber and dropping affordability requirements could leave many with subpar service and steeper bills. “We continue to believe fiber is the gold standard, especially in rural parts of Mississippi,” said Kyra Roby of the Children’s Defense Fund. Fiber optic connections offer greater speed and reliability over time, though they come with a higher up-front investment.

Previously, Mississippi could favor applicants that promised lower rates or offered affordable service tiers, but those criteria have now been set aside. “With the current costs of internet, many families simply won’t be able to pay market prices,” said Oleta Fitzgerald, who heads the Southern Regional Office of the Children’s Defense Fund.

BEAD funds remain untouched, but in May the federal government discontinued its Digital Equity Program, removing $10 million in support for digital literacy and accessibility efforts across the state. This move, along with the new rules, has cast doubt on whether BEAD alone can deliver universal, affordable broadband.

Moving Forward

BEAM is now reviewing the submitted grant applications and will soon publish its final recommendations for public comment, before sending them on to the Department of Commerce. Community advocates stress the need for continued local input to make sure broadband access in Mississippi is both reliable and within reach for everyone.

More on BEAD and Broadband

• More of our recent stories about BEAD and public broadband programs
• For up-to-date information on the $42 billion BEAD Program, check Brander Group’s BEAD funding progress dashboard