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Broadband stimulus applications come from smaller broadband providers

August 26, 2009

Some of the biggest broadband internet providers refused to submit applications for federal funding in the broadband stimulus plan, but lots of smaller and regional broadband providers are competing for the roughly $7 billion in available grants.

So many companies, states and municipalities were applying for the grants that the government extended the original deadline from August 18 to August 20. The number of requests coming in slowed down U.S. government servers, according to CNN.

KeyOn Communications Holdings, a provider of wireless broadband, satellite and voice over internet protocol (VoIP) services in mostly rural markets, said it has applied for $150 million in rural broadband grants.

A wholesale provider of VoIP and fiber-optic network communications, 360communications, said it has applied for funding for a proposed "middle-mile" project that would access seventeen rural markets and a surrounding ten-mile radius along its existing 1,011 mile fiber-optic route from Chicago to New Orleans.

States also filed requests for broadband stimulus funds. Pennsylvania requested $108 million to expand high speed internet service to rural parts of the state to boost economic development and education systems.

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