SpaceX is seeking $60 million in grant money from the state of Virginia for its satellite internet service, Starlink. However, the company claims that the grant should go entirely to Starlink rather than being split with other providers. This move comes as the Trump administration has rewritten rules for the $42 billion Broadband Equity, Access, and Deployment (BEAD) grant program.
According to SpaceX, states are now required to adopt a “tech-neutral approach” when awarding grants, which means that all providers should be treated equally. The company argues that this change allows Starlink to compete with fiber-based internet services on a level playing field.
However, the Biden administration had previously prioritized fiber-based solutions as the most effective way to build future-proof networks. The Trump administration’s new rules aim to accelerate broadband deployment and reduce spending by allowing satellite technology like Starlink to be considered as equally viable options.
SpaceX has filed comments opposing Virginia’s final proposal for its BEAD grant, which includes significant investments in fiber infrastructure. The company claims that the state’s plan represents a “massive waste of federal taxpayer money” and is biased towards expensive, slow-to-build fiber solutions.
Source: https://arstechnica.com/tech-policy/2025/08/starlink-tries-to-block-virginias-plan-to-bring-fiber-internet-to-residents