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FCC Sets New CAF Price Benchmarks

The FCC's Wireline Competition Bureau has released its 2015 broadband pricing benchmarks for incumbent eligible telecommunications carriers receiving Universal Service Fund high-cost CAF (Connect America Fund) support.

The high-cost fund subsidizes incumbent telecommunications carrier phone, and increasingly broadband, service to hard-to-reach areas—rural, in particular—for which there is no business case.

The new benchmarks range from $72.40 for 10 Mbps downstream/1 Mbps upstream service with a 100 gig allowance, to $96.89 for 25/5 unlimited service. High-cost fund recipients that are subject to broadband performance obligations are required to offer service at or below the benchmark rates to qualify for the subsidies.

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