FCC fronting carriers $4.5B for 10Mbps speeds in rural areas, T-Mobile's 5Mbps offer shot down

We are not persuaded that the minimum baseline performance requirement for median data speeds should be reduced to 5/1 Mbps, as T-Mobile urges. The Commission seeks to ensure that the performance of broadband service in rural and high-cost areas is reasonably comparable to that in urban areas, and the Commission’s own analysis at the time the MF-II Report & Order was adopted indicated that customers of nationwide carriers were receiving data at median speeds of around 10/1 Mbps or faster. 

Furthermore, in our more recent MF-II Order on Reconsideration, we explained that, in contrast to the 5 Mbps eligibility benchmark in the challenge process, which serves to target support where it is currently needed most, the 10 Mbps minimum baseline performance requirement ‘assure[s] that service in eligible areas is reasonably comparable to urban offerings in the future.’ This forward-looking approach is consistent with past Commission decisions in the universal service context and recognizes that consumer demand for faster mobile wireless services is growing.