Based on a study by New York Law School’s ACLP, billions of dollars in BEAD funds may go unspent, creating a significant opportunity for wireless infrastructure contractors as states have the chance to adopt cost-effective tower-based solutions to meet their broadband deployment goals.
A new analysis by researchers at New York Law School suggests a significant shift in the federal government’s $42.45 billion broadband deployment program, which could substantially benefit companies that build and maintain communications towers. As the number of BEAD-eligible locations declines and the National Telecommunications and Information Administration (NTIA) shifts to a cost-first grant model, states are expected to increasingly rely on fixed wireless technologies — many of which rely on tower infrastructure — to reach the remaining hard-to-serve areas.
NTIA’s once fiber-centric BEAD program may be trimmed back, as a new study supports allowing fixed wireless towers to serve unserved areas, potentially reshaping how billions in broadband funds are deployed.
The study, authored by Alex Karras and Michael Santorelli of the Advanced Communications Law & Policy Institute (ACLP), finds that BEAD-eligible locations have decreased by up to 65% nationally due to updated broadband maps, new deployments, and the recent inclusion of unlicensed fixed wireless (ULFW) in eligibility criteria.
As a result, states will be sitting on large amounts of funding with fewer locations to serve, and will be under pressure to spend those dollars on low-cost, scalable solutions. Fiber, while ideal, is often cost-prohibitive in remote areas. Wireless deployments, including those requiring new towers or upgrades to existing ones, offer a faster and more economical path to meeting coverage targets.
The NTIA’s revised scoring rubric, which now prioritizes the lowest cost per location, only strengthens the business case for fixed wireless. This means increased demand for new tower builds, collocations, microwave links, backhaul, and system upgrades — all of which require the tower construction and maintenance workforce.
Even after deployments are complete, long-term maintenance, site reinforcement, and performance upgrades will create a sustained pipeline of tower work for years to come.
What began as a fiber-centric funding program is now poised to deliver a significant boost to the wireless infrastructure industry — a shift that contractors and tower developers alike are closely watching.
The ACLP study estimates that due to the sharp reduction in BEAD-eligible locations and the cost-focused funding strategy, states could be left with between $11 billion and $34 billion in unspent BEAD funds. The researchers modeled different deployment cost scenarios — ranging from low-cost wireless to high-cost fiber — and found that in most cases, the amount allocated to each state will far exceed what is needed to meet deployment goals.
While fiber is still on the table, the economic realities now tilt heavily in favor of wireless solutions. The study also raises key policy questions about what will happen to the billions in leftover BEAD funds—whether the NTIA will recoup them, return them to the Treasury, or allow states to repurpose them for other digital equity initiatives.
Regardless of the outcome, one thing is sure: BEAD’s shifting framework offers a critical lifeline for the wireless infrastructure sector at a time when many contractors are being pushed to the brink by unsustainable carrier-imposed construction pricing models.
