Broadband deployment a costly use of tax dollars

Politicians (both federal and here in New Mexico) LOVE spending our tax dollars on broadband deployment. Check out the following recent article from the Santa Fe New Mexican. Of course the market largely handles broadband deployment in heavily-populated areas, but New Mexico is a rural state with many small towns and wide open spaces. While government CAN spend literally billions of dollars to deploy broadband with the existence of a wide variety of satellite internet services (Elon Musk’s Starlink being a prime example) it is hard to see why it should fall to federal and state taxpayers to pick up the tab for broadband.

For starters, here are some details from the article:

In 2021, Congress (through the Bipartisan Infrastructure Law) set aside $42.5 billion for broadband investments, with New Mexico set to receive a $675 million chunk. Nearly four years later, though, that money hasn’t moved much.

“In 2021, state lawmakers set aside $70 million as an initial investment in the Connect New Mexico Fund, with the money designated to plan, design and construct broadband networks in unserved and underserved areas statewide. Related legislation established the state broadband office and required a statewide broadband plan.”

“The Legislature doubled down in 2023, adding another $124 million to the fund.”

“The New Mexico Office of Broadband Access and Expansion announced the launch of the Connect New Mexico Fund in December 2023, offering up $70 million in grants. The state executed 22 such grants in 2024 totaling nearly $57 million in state money, with internet service providers ranging from giants like Comcast to local cooperatives. Progress reports from the state broadband office show those projects are now underway in various stages of planning, approval, design and construction across a dozen counties and five pueblos.”

“The projects are set to connect more than 17,000 homes, businesses, farms and community institutions.” That’s approximately $3,353 in state spending per home connected.

Connecting ALL New Mexicans via broadband is a silly policy. Living in rural areas means forgoing some level of government services. Yes, internet access is important, but there are services available to connect people to the Internet at FAR lower cost than what is being done. But, it’s not the government’s money, so prioritization and efficiency aren’t really a focus.