Cantwell preserves the future of Tech Hubs, centerpiece of CHIPS and Science Law

Without senator’s efforts to fund “rip and replace,” smaller providers could reduce or end service, leaving millions of Americans without access to broadband

U.S. Senator Maria Cantwell (D-Wash.), Chair of the Senate Commerce Committee and key architect of the CHIPS and Science Law, secured up to $500 million in federal investments to preserve and expand the Regional Tech Hubs program. She also secured just over $3 billion to ensure communities across the country can remove and replace Chinese-owned telecommunication equipment from U.S. networks. Together, these strategic investments will accelerate American technological innovation and create jobs, while strengthening national security and our global economic competitiveness. Sen. Cantwell secured the funding as part of the National Defense Authorization Act (NDAA), which is set to pass before the end of the year. 

“Protecting both our infrastructure from foreign threats and maintaining our economic and military competitiveness is critical. Agreeing to keep U.S. innovation a high priority by investing in both Rip and Replace and Tech Hubs helps us do just that,” said Sen. Cantwell.

The Regional Technology and Innovation Hubs (Tech Hubs) program was established by the CHIPS and Science Law. While Congress authorized $12.9 billion for Tech Hubs over five years under the law, only 10 percent of authorized funding for the first two years has been appropriated. As a result, 19 of the 31 designated Tech Hubs remain without sufficient implementation funding. By securing up to $500 million, these hubs will have the opportunity to be awarded funds to implement the programs that the Department of Commerce has approved.

Designated Tech Hubs in Each Region

View map from EDA

At the same time, our telecommunications networks—that we use daily for cell phones and internet—remain vulnerable to foreign threats. Right now, there are roughly 24,000 pieces of unsecure Chinese-made equipment in our networks across the country, with most located in rural communities or near military bases. Congress created the Secure and Trusted Communications Networks Reimbursement (Rip and Replace) program to help small telecom companies remove and replace this unsecured equipment, yet failed to approve enough funding.

For American households, without funding to “rip and replace” this equipment, many providers may be forced to cut off service to residents. And as many rural providers are often the sole providers in their region, local residents and any travelers through that area would be unable to contact 911 in case of an emergency, causing significant public safety issues. In Washington state, there are 63 sites across the state in urgent need of network replacement.

This just over $3 billion will put small providers back on track to securing their networks and preserving service to residents.

Number of Sites in Each State
Needing Equipment Replacement and Depending on Program Funding 

Download the map here

Funding for these investments will be generated from spectrum auction proceeds. The spectrum provisions secured in the package will allow the Federal Communications Commission’s (FCC) to conduct a one-time auction for the AWS-3 spectrum band to help meet the surging spectrum demands of wireless consumers.