What Happened to the ACP? The Complete History and What Comes Next

The ACP: A Brief History

The Affordable Connectivity Program was established by the Infrastructure Investment and Jobs Act (Bipartisan Infrastructure Law) of November 2021, expanding on the Emergency Broadband Benefit (EBB) program created during the COVID-19 pandemic. The ACP was designed as a permanent(ish) program to address the digital divide — the gap between Americans who have reliable internet access and those who don't.

What ACP Offered

At its peak, the ACP provided:

• $30/month off internet service for qualifying households
• $75/month for households on qualifying Tribal lands
• A one-time $100 discount toward a laptop, desktop, or tablet (with a $10–$50 co-pay)
• Eligibility for households up to 200% of the Federal Poverty Level — significantly broader than Lifeline's 135%
• Additional qualifying programs including WIC, National School Lunch Program, school breakfast programs, and Federal Pell Grants

Peak Enrollment

The ACP reached peak enrollment of approximately 23 million households by late 2023, representing roughly 20% of all U.S. households. It was the largest broadband assistance program in U.S. history.

Why Did the ACP End?

The ACP was funded with $14.2 billion from the Bipartisan Infrastructure Law. This was a one-time appropriation — unlike Lifeline, which is funded by the ongoing Universal Service Fund, the ACP had no automatic replenishment mechanism.

By early 2024, the FCC warned that the fund was nearly depleted. The FCC began winding down the program in February 2024, announcing that the last full month of benefits would be April 2024, with a partial benefit in May 2024 for enrolled households, and the complete shutdown occurring June 1, 2024.

Congressional Attempts to Save ACP

The ACP Extension Act, which would have appropriated an additional $7 billion to continue the program, was introduced in Congress but never passed. Despite bipartisan support and heavy lobbying from consumer advocacy groups and telecommunications companies, the bill stalled in the Senate due to disagreements over funding mechanisms and other legislative priorities.

The Impact of ACP's End

The closure of ACP had significant real-world consequences:

• Approximately 23 million households lost their internet subsidies
• An estimated 3–5 million households cancelled their internet service entirely after losing ACP
• Internet service providers reported significant churn in their low-income subscriber bases
• Telehealth usage among low-income households declined as connectivity decreased
• Educational outcomes for students in low-income households were negatively impacted

What's Available Now: Lifeline in 2026

The FCC Lifeline program is the primary federal alternative remaining. While significantly smaller than ACP ($9.25/month vs. $30/month), it remains active and provides meaningful support for qualifying households. Key differences:

What Comes Next: Looking Ahead

Several developments may expand broadband assistance in the coming years:

• BEAD Program: The $42.45 billion Broadband Equity, Access, and Deployment program is in state planning phases and will expand infrastructure and may include device/affordability components
• State programs: California, New York, Oregon, and others have launched state-level supplements to partially fill the gap
• Future legislation: Consumer advocates continue to push for ACP restoration or a successor program
• Provider competition: Increased competition for Lifeline customers has led some providers to offer more generous device packages to attract enrollees

ACP Program Overview → Current Lifeline Program →