A major shift in the BEAD program now allows for flexible, hybrid network designs – blending fiber, fixed wireless, and satellite to accelerate broadband deployment. This change opens new opportunities for ISPs to reach rural communities faster, while laying a scalable foundation for the AI-powered future. Here’s what the updates mean, and how JLA Advisors can help ISPs succeed.

 

Understanding the BEAD Program

The Broadband Equity, Access, and Deployment (BEAD) program is a $42.45 billion federal initiative designed to bring high-speed internet to unserved and underserved communities across the U.S., with a strong focus on rural America. Administered by the National Telecommunications and Information Administration (NTIA), BEAD funds are distributed to states to be awarded to ISPs and infrastructure providers committed to closing the digital divide.

Until recently, BEAD leaned heavily on a “fiber-first” philosophy, prioritizing future-proof infrastructure. However, a major policy shift announced on June 6, 2025, has redefined the rules of the game and carries long-term implications for rural communities, especially in the context of AI readiness.

 

Key Changes to BEAD (as of June 2025)

The latest update introduces significant changes intended to speed up awards and reduce program complexity, but they also come with tradeoffs:

Technology Neutrality

States must now adopt a technology-neutral stance – meaning no preference for fiber, fixed wireless, satellite, or other solutions. The only requirement is that networks must deliver 100/20 Mbps speeds, 100ms latency, and support for advanced services like 5G and future technologies.

Cost is Now the Primary Scoring Criterion

The Minimum BEAD Outlay – the total grant amount requested by the bidder, is now the sole primary scoring factor. Other factors like deployment speed and past performance only apply if bids fall within 15% of the lowest-cost submission. In short: cost is king.

Flexible Coverage & Hybrid Designs Allowed

Bidders can now exclude high-cost Broadband Serviceable Locations (BSLs) to keep proposals competitive. Also, hybrid network designs combining fiber, FWA, and LEO satellite are now explicitly permitted and encouraged when they enhance both coverage and cost-effectiveness.

Plan Pricing Flexibility

Affordability and plan pricing are no longer scored criteria. Bidders must offer at least one low-cost option, but there’s far more room to tailor pricing strategies based on business case viability and customer adoption expectations.

The Impact on Rural Communities

While these changes may streamline deployments and reduce grant complexity in the short term, they could have unintended consequences for rural America’s digital future, particularly in the age of AI.

 

Here’s why:

AI Demands High Bandwidth, Low Latency Networks

As AI applications move from the cloud to the edge, the demands on rural infrastructure will intensify:

• High Bandwidth Needs: AI models (e.g., in healthcare, smart agriculture, autonomous transport) require massive real-time data flows.
• Low Latency: AI-driven decisions must often happen in milliseconds, especially in mission-critical systems.
• Reliability & Resilience: AI tools in sectors like public safety or energy must run on stable, consistent networks.
• Scalability: Future-ready bandwidth for growing AI workloads without costly overhauls is key to drive innovation and new applications.

 

Hybrid Networks: The Smart Path Forward

The most effective broadband strategy isn’t choosing between fiber, FWA, or LEO—but combining them into a hybrid architecture that plays to the strengths of each. By prioritizing fiber deployment where economically viable and leveraging Fixed Wireless and LEO satellite for faster rollout and high-cost or remote areas, providers can deliver cost-effective, scalable broadband that meets both today’s needs and tomorrow’s demands.

• Speed to Deploy: FWA and LEO can quickly extend service to rural homes, accelerating early connectivity.
• Cost Efficiency: In geographies where fiber is cost-prohibitive, wireless technologies offer practical coverage alternatives.
• Future-Ready Design: Fiber forms the backbone for long-term AI applications, while FWA and LEO complement coverage and support faster deployment.

A well-designed hybrid network ensures that rural communities don’t have to wait years for high-speed access and positions them for long-term success in the AI-driven economy.

 

What ISPs Need to Win Under BEAD 2.0

With compressed timelines, evolving rules, and multi-state bidding pressures, ISPs face a new set of challenges and opportunities.

To succeed, providers must:

• Geographic Prioritization: Identifying which states and locations offer the best cost-benefit alignment
• Hybrid Network Design Expertise: Balancing technology mix to optimize coverage, cost, and long-term value
• Bid Calibration & Competitive Analysis: Optimize cost without compromising long-term value.
• Model Real-World Impact: Build business cases that show both near-term feasibility and long-term sustainability.
• AI Readiness Strategy: Future-proofing infrastructure choices to enable AI-driven services and smart community investments

How JLA Advisors Can Help

At JLA Advisors, we specialize in helping ISPs navigate the complexity of BEAD with a blend of policy insight, technical design, and strategic advisory. Our services include:

• Multi-technology network planning (Fiber, FWA, LEO)
• Geospatial data modeling to identify high-ROI service areas
• Business case development with AI-readiness built in
• Competitive analysis & bid strategy
• Grant writing and submission support

 

We’re already working with providers across the country to build hybrid-ready, AI-scalable solutions that meet BEAD scoring criteria—and future-proof rural communities in the process.

Ready to Build Smarter, Faster, and for the Future?

If you’re building your BEAD strategy and want to discuss hybrid designs, AI-readiness, or how to position your bid for maximum impact, we’re here to help.

📅 Schedule a call with our BEAD and AI advisory team today.

Let’s make rural broadband not just accessible—but transformational.

 

Jorge Fuenzalida- Managing Partner | Sangit Rawlley- Sr. Partner and AI Practice Lead