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US begins handing out broadband stimulus funds

by Staff Writers
Washington (AFP) Dec 17, 2009
US Vice President Joe Biden began dishing out the first installment Thursday of more than seven billion dollars set aside in the stimulus package to expand access to high-speed Internet broadband.

Biden, at an event in the southern state of Georgia, announced 183 million dollars in investment in 18 broadband projects in 17 states.

The spending is the first of two billion dollars in grants and loans to be made available for broadband projects by the administration of President Barack Obama over the next 75 days.

The Obama administration designated a total of 7.2 billion dollars in the Recovery Act for expanding broadband access in underserved communities.

Obama has pledged to put broadband in every home and the Federal Communications Commission has embarked on an ambitious project to bring high-speed Internet access to every corner of the United States.

"New broadband access means more capacity and better reliability in rural areas and underserved urban communities around the country," Biden said, according to a transcript of his remarks supplied by the White House.

"Businesses will be able to improve their customer service and better compete around the world," Biden said.

"This is what the Recovery Act is all about -- sparking new growth, tapping into the ingenuity of the American people and giving folks the tools they need to help build a new economy in the 21st century," he said.

Speaking at the event with Biden, Georgia Governor Sonny Perdue described broadband as the "new dial tone of the 21st century.

"Internet access is as important to our communications infrastructure today as reliable telephone service was a century ago," Perdue said.

"Creating an advanced network will promote economic development, expand educational opportunities and improve the availability and efficiency of government services," he said.

The United States was ranked 20th in broadband penetration in a survey of 58 countries released earlier this year by Boston-based Strategy Analytics.

South Korea, Singapore, the Netherlands, Denmark and Taiwan were the top five countries listed in terms of access to high-speed Internet.

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