News Update – Broadband & Telecom – December 2025
FCC Announces 2026 Reasonable Comparability Benchmarks For Fixed Voice And Broadband Services
December 19, 2025 – The FCC’s Wireline Competition Bureau and Office of Economics and Analytics have announced the 2026 reasonable comparability benchmarks for fixed voice and broadband services for eligible telecommunications carriers (ETCs) that are subject to broadband public interest obligations.
Basic Residential Voice Service Rate – $61.29. The 2026 urban average monthly rate is $33.99. Therefore, the reasonable comparability benchmark for voice services, two standard deviations above the urban average, is $61.29. Each ETC, including competitive ETCs providing fixed voice services, must certify in the FCC Form 481 filed no later than July 1, 2027, that the pricing of its basic residential voice services is no more than $61.29.
Broadband Rates. The reasonable comparability broadband benchmark varies, depending upon the supported service’s download and upload bandwidths and usage allowance. Recipients of high-cost or Connect America Fund support that are subject to broadband performance obligations are required to offer broadband service at rates that are at or below the relevant reasonable comparability benchmark. Carriers subject to the Alaska Plan and Alaska Communication Systems are required to meet Alaska-specific benchmarks. To facilitate benchmark calculations, the FCC will post an Excel file online containing a tool in which providers can enter the relevant variables to determine the benchmark for specific service characteristics.
Minimum Usage Allowance – 800 GB. For 2026, the minimum monthly usage allowance is 800 GB. The minimum usage allowance for carriers receiving support from the Rural Digital Opportunity Fund (RDOF) is either (i) the greater of 250 GB or the average usage calculated by the Bureau for the Minimum and Baseline tiers, or (ii) 2 Terabytes (TB) for the Above-Baseline and Gigabit tiers.
Congressional Universal Service Fund Working Group Asks FCC To Provide Staff-Level Briefing On USF Issues
December 17, 2025 – Members of the Senate’s Universal Service Fund Working Group have asked the Federal Communications Commission (FCC) to give them a briefing on universal service issues. Senators Deb Fischer (R-NE) and Ben Ray Luján (D-NM), and U.S. Representatives Richard Hudson (R-NC9) and Doris Matsui (D-CA7), made the request in a letter to the FCC. They want an FCC staff-level briefing that will “provide insight on the implementation of Congress’ universal service directives and help inform the Working Group’s leadership to modernize the Fund.” The Universal Service Fund Working Group have requested that the FCC have the appropriate personnel coordinate a convenient time for the briefing no later than January 30, 2026, and cover the following topics:
The most recent program outlays and cost projections across each USF program;
Assessment of the USF contribution factor and recent fluctuations;
Rulemakings or reforms of USF programs under consideration by the Commission; and
Any administrative challenges, program integrity concerns, or operational updates pertinent to congressional oversight of the Fund.
USF Contribution Factor Dips To 37.6% For First Quarter Of 2026
December 15, 2025 – The FCC’s Office of Managing Director (OMD) has announced that the proposed universal service fund (USF) contribution factor for the first quarter of 2026 will be 37.6 percent. If the FCC takes no action on the proposed USF contribution factor within 14 days, it will be declared approved.
The 37.6% contribution factor for 1Q 2026 is a slight decrease from 38.1% which was used for 4Q 2025 and which was an all-time high. Historical information on quarterly universal service fund contribution factors is available online from the FCC.
For the first quarter of 2026, the Universal Service Administrative Company (USAC) projects $7.604471 billion in total interstate and international end-user telecommunications revenues will be collected. USAC estimates that $2.060770 billion is needed to cover the total demand and expenses for all Federal universal service support mechanisms (revenue requirement) in the first quarter of 2026. Total first quarter 2026 demand includes projected program support, administrative expenses, and true-ups and adjustments, which breaks out among the USF support mechanisms as follows:
E-Rate Schools & Libraries: $648.93 million
Rural Health Care: $181.11 million
High-Cost: $1.00545 billion
Lifeline: $225.28 million
Executive Order Attempts To Prevent State Regulation Of Artificial Intelligence; States Must Eliminate “Onerous” AI Laws To Receive Any Remaining BEAD Funding
December 11, 2025 – President Trump has issued an Executive Order which is aimed preventing states from regulating artificial intelligence (AI). The EO announces that “it is the policy of the United States to sustain and enhance the United States’ global AI dominance through a minimally burdensome national policy framework for AI.” To implement this policy, the EO announces that “within 30 days of the date of this order, the Attorney General shall establish an AI Litigation Task Force (Task Force) whose sole responsibility shall be to challenge State AI laws inconsistent with the policy set forth in section 2 of this order, including on grounds that such laws unconstitutionally regulate interstate commerce, are preempted by existing Federal regulations, or are otherwise unlawful in the Attorney General’s judgment, including, if appropriate, those laws identified pursuant to section 4 of this order.” Among other things, the EO restricts states’ eligibility to receive any remaining BEAD program non-deployment funding on the condition that they pledge to eliminate “onerous” AI laws:
Sec. 5. Restrictions on State Funding. (a) Within 90 days of the date of this order, the Secretary of Commerce, through the Assistant Secretary of Commerce for Communications and Information, shall issue a Policy Notice specifying the conditions under which States may be eligible for remaining funding under the Broadband Equity Access and Deployment (BEAD) Program that was saved through my Administration’s “Benefit of the Bargain” reforms, consistent with 47 U.S.C. 1702(e)-(f). That Policy Notice must provide that States with onerous AI laws identified pursuant to section 4 of this order are ineligible for non-deployment funds, to the maximum extent allowed by Federal law. The Policy Notice must also describe how a fragmented State regulatory landscape for AI threatens to undermine BEAD-funded deployments, the growth of AI applications reliant on high-speed networks, and BEAD’s mission of delivering universal, high-speed connectivity.
Mergers & Acquisitions: Oak Hill Capital Acquiring Hunter Communications (Oregon)
December 10, 2025 – Private equity firm Oak Hill Capital has announced that it has entered into an agreement to acquire Hunter Communications, the largest privately owned fiber-optic internet provider in the state of Oregon. Hunter Communications was founded in 1994 and is headquartered in Medford, Oregon. According to the press release, the company’s fiber network spans more than 3,000 route miles and passes approximately 100,000 locations. It provides multi-gig symmetrical speeds, low latency, and high network availability to more than 25,000 customers across the Pacific Northwest. Oak Hill’s acquisition is expected to help Hunter Communications’ fiber-to-the-premises (FTTP) network expansion plan around its existing fiber footprint in Oregon and Northern California. The transaction is subject to customary closing conditions and regulatory approvals. Financial terms have not been publicly disclosed.
FCC Issues Guidance On RDOF Third-Year & Fourth-Year Service Milestones
December 9, 2025 – The FCC’s Wireline Competition Bureau (Bureau) has released a Public Notice that provides guidance to Rural Digital Opportunity Fund (RDOF) support recipients regarding the requirement to meet the upcoming third-year or fourth-year service milestones.
For those RDOF carriers authorized to receive RDOF funding in 2021, the fourth-year service milestone requires building out to at least 60% of that support recipient’s RDOF locations.
For those RDOF carriers authorized to receive RDOF funding in 2022 and 2023, the third-year service milestone requires building out to at least 40% of that support recipient’s RDOF locations.
RDOF support recipients must report the locations where they offer service by submitting the Broadband Serviceable Location Fabric (Fabric) Location IDs associated with these locations based on a list of eligible Location IDs for each RDOF carrier. RDOF recipients will be required to submit and certify Location IDs by March 2, 2026 for all locations where they offered service pursuant to their high-cost obligations as of December 31, 2025.
RDOF recipients should notify the Bureau in accordance with sections 54.806(c)(2) or 54.320(d) of the FCC’s rules if they believe they cannot meet the third-year or fourth-year service milestone, as applicable. Any RDOF support recipient that will not meet its 40% buildout requirement by the end of its third year of support or its 60% buildout requirement by the end of its fourth year of support must notify the Bureau within 10 business days of the third-year service milestone deadline – by Thursday, January 15, 2026 – and provide information explaining this expected deficiency. Notifications under 54.806(c)(2) or 54.320(d) should be made by filing a notification through the FCC’s Electronic Comment Filing System (ECFS) in the RDOF docket, WC Docket 19-126. An RDOF support recipient that does not meet its third-year or fourth-year service milestone will be subject to quarterly reporting and have its support withheld if warranted in accordance with the FCC’s rules.
If a 2022 or 2023-authorized RDOF support recipient has not made a notification that it cannot meet its 40% service milestone by March 1, 2026 and has deployed to fewer than 20 percent of the required number of locations by the end of 2025, the RDOF recipient will immediately be in default and subject to support recovery. The Tier 4 status six-month grace period as set forth in section 54.320(d)(iv) of the FCC’s rules will not be applicable.
FCC Resolves Outstanding Enhanced A-CAM Support Recalculations Issues & Releases Updated Interim List Of Eligible Locations
December 8, 2025 – The FCC’s Wireline Competition Bureau (Bureau) has released an Order that resolves several outstanding issues relating to the Enhanced Alternative Connect America Cost Model (E-ACAM or Enhanced A-CAM) support program. Primarily, the Order explains how support recalculations will work for carriers whose total number of obligated locations has changed between the initial E-ACAM authorization and the current updated location list. Also, in the Order, the Bureau responds to several comments from interested parties proposing modifications to E-ACAM funding, and sets forth the timeline when the E-ACAM support recalculations will occur. In a concurrent Public Notice, the Bureau has released an updated interim list of locations that are eligible for E-ACAM support, along with a tentative list of support amounts for E-ACAM carriers which reflects the updated interim list of locations.
Robocall Further Notice Of Proposed Rulemaking Comments Due January 5, 2026
December 5, 2025 – The Federal Communications Commission’s (FCC) robocall Further Notice Of Proposed Rulemaking (FNPRM) has been published in the Federal Register. As a result, comments are due on or before January 5, 2026. Reply comments are due on or before February 3, 2026. In the FNPRM, the FCC proposes, among other things, the following changes to its robocall rules:
The FCC proposes to enhance the effectiveness of STIR/SHAKEN by requiring terminating voice service providers to transmit verified caller name for presentation on consumers’ handsets whenever they transmit call authentication information indicating that the originating number is unlikely to be spoofed (i.e., a call has received an A-level attestation).
The FCC further proposes ways for originating voice service providers to verify that the caller name and other information about the caller that they transmit is accurate and secure so that consumers can trust it.
The FCC seeks comment on requiring providers to use Rich Call Data (RCD) to transmit verified caller name on IP networks, whether to permit or require use of other solutions, and an alternative option to require that providers implement RCD in their IP networks for all calls.
Because many unlawful robocalls originate from outside the United States, the FCC proposes to ensure that consumers know which calls originate from a foreign country and to improve call blocking analytics by considering whether a call originated from outside of the United States.
The FCC also seeks comment on whether some of its calling-related rules can be simplified, streamlined, or eliminated, perhaps because they are outdated or have not been enforced for a substantial amount of time.
C-Band Auction Notice Of Proposed Rulemaking Comments Due January 5, 2026
December 5, 2025 – The Federal Communications Commission’s (FCC) C-Band spectrum auction Notice Of Proposed Rulemaking (NPRM) has been published in the Federal Register. As a result, comments are due on or before January 5, 2026. Reply comments are due on or before February 3, 2026. In the NPRM, the FCC proposes “to further expand the ecosystem for next generation wireless services in the 3.7–4.2 GHz band (C-band) by making as much as 180, and at least 100, megahertz of the 3.98–4.2 GHz band (Upper C-band) available for terrestrial wireless flexible use via a system of competitive bidding.” Comment is sought on, among other things, the following details and proposals:
The FCC proposes to make additional spectrum in the Upper C-band available for new terrestrial wireless operations within the congressionally mandated timeframe.
As with the earlier 3.7–3.98 GHz (Lower C-band) transition, the FCC seeks to expeditiously transition incumbent operations in the Upper C-band in keeping with its Emerging Technologies precedent.
The FCC seeks to reinforce a successful coexistence environment by facilitating the timely introduction of new, high-powered terrestrial wireless operations in the Upper C-band alongside a generational upgrade to radio altimeters that facilitates aviation safety through operations in the adjacent 4.2–4.4 GHz band that can safely coexist with wireless services.
The FCC seeks comment on proposals to enable terrestrial wireless operations in a segment of the Upper C-band in the contiguous United States, to reserve no more than 20 megahertz as a guard band between those wireless operations and Fixed Satellite Services (FSS), and to generally apply the part 27 licensing and operating rules that presently govern wireless operations in the Lower C-band to new full-power commercial operations in the Upper C-band.
The FCC requests that commenters provide specifics on the costs and benefits of the FCC’s proposals, and of potential alternatives, in addition to detailed technical analyses and other studies in support of commenters’ positions.
Comments Dates Announced For Second FNPRM Proposing To Eliminate Six FCC Broadband Label Requirements (January 2, 2026 & February 2, 2026)
December 3, 2025 – The Federal Communications Commission’s (FCC) Second Further Notice Of Proposed Rulemaking (FNPRM) on broadband labels has been published in the Federal Register. As a result, comments in response to the FNPRM are due on or before January 2, 2026. Reply comments are due on or before February 2, 2026.
In the FNPRM, the FCC proposes to eliminate requirements that providers: (1) read the label to consumers over the phone; (2) itemize state and local passthrough fees that vary by location; (3) provide information about the now-concluded Affordable Connectivity Program (ACP); (4) display labels in customer account portals; (5) make labels available in machine readable format; and (6) archive labels for at least two years after a service is no longer offered to new customers. The FCC also is seeking comment on streamlining and eliminating any other consumer broadband label requirement, such as the multilingual display requirement, that may be unduly burdensome and costly. The FCC also proposes to end our inquiry into new requirements that would take the labels out of alignment with the authorizing statute.
In a November 2022 Report And Order, the FCC adopted rules requiring internet service providers (ISPs) to display, at the point of sale, labels that disclose certain information about broadband service prices, introductory rates, data allowances, and broadband speeds, and to include links to information about their network management practices, privacy policies, and the FCC’s Affordable Connectivity Program (ACP). Broadband consumer labels resemble nutrition labels that appear on food products. The FCC adopted one label requiring the same information and in the same format for both fixed and mobile broadband service offerings. In October 2023, the FCC announced the compliance dates for the its broadband consumer label rules. Broadband providers with 100,000 or fewer subscribers were required to comply with the requirements to display broadband labels as of October 10, 2024. All other broadband providers were required to display broadband labels as of April 10, 2024. Compliance with the requirement in Section 8.1(a)(2) to make labels accessible in online account portals were required for all broadband providers as of October 10, 2024. Compliance with the requirement in Section 8.1(a)(3) to make information in broadband labels available in a machine-readable format was required for all providers as of October 10, 2024.
FCC Terminates 2,048 Dormant Proceedings; Keeps Nine Alive
December 3, 2025 – The FCC’s Consumer & Governmental Affairs Bureau (Bureau) has issued an Order that terminates, as dormant, 2,048 FCC proceedings. According to the Bureau, terminating the dormant proceedings “furthers the Commission’s goals of increasing decision-making efficiency, modernizing agency processes in the digital age, and enhancing openness and transparency for both practitioners and the public.” Nine proceedings that were listed to be terminated were kept alive. When the Order is published in the Federal Register, the dormant proceedings will be terminated in the FCC’s Electronic Comment Filing System (ECFS).
In May 2025 the Bureau released a Public Notice that sought public comment on whether 2,057 docketed FCC proceedings should be terminated as dormant. The Bureau asked commenters to provide reasons why specific dockets should not be terminated as inactive or moot. The May 2025 Public Notice contains a list of the dockets identified for termination which are sorted by responsible Bureau or Office and Proceeding Number.
