In 2025, with the Affordable Connectivity Program (ACP) ended, low‑income households must turn to alternative affordability options.
This article explores the Lifeline program, post‑ACP status, and state-level broadband affordability options, providing practical tips for reducing phone & internet costs.
The Lifeline Program: Still Active & Evolving
The Lifeline program, managed through the Universal Service Fund (USF), offers a monthly discount of up to $9.25 on phone, broadband, or bundled services for eligible low‑income households .
Residents of Tribal lands may receive enhanced support—up to an additional $25 per month .
In 2025, the program’s funding increased to $2.9 billion, helping maintain access to basic communication services.
To qualify, households must earn at or below 135% of the Federal Poverty Guidelines, with precise thresholds varying by household size and state.
Post‑ACP Reality: Broadband Subsidy Void
The Affordable Connectivity Program (ACP), offering $30/month (or $75 on Tribal lands) subsidies, ended on June 1, 2024.Over 23 million households relied on ACP during its operation.
Since its conclusion, approximately 5 million households have disconnected from internet service, citing cost concerns .
Despite congressional proposals, as of mid‑2025, no federal replacement has been enacted.
State-Level and Nonprofit Affordability Programs
With ACP gone, some states and nonprofits are stepping in: e.g., Kansas City’s KC Digital Drive offered $75/month for six months, though funds are dwindling.
Programs like the NTIA’s Digital Equity Grant also support community facilities and digital skill-building, indirectly easing access costs.
However, for many states, the affordability gap remains—17 million households can access broadband but can’t afford it, representing the largest chunk of the digital divide.
Broadband Deployment vs. Affordability Focus
Private sector ISPs have invested over $90 billion annually, reducing unserved broadband households by 65%—often ahead of public programs like BEAD .
Still, affordability remains elusive for many low‑income communities. Recent commentary urges policy to shift from infrastructure to targeted subsidies and digital literacy, where ACP proved effective.
Summary
Program / Option | Monthly Benefit / Action | Coverage & Reach | Challenges & Considerations |
---|---|---|---|
Lifeline | Up to $9.25 (plus $25 on Tribal lands) | Ongoing federal program; $2.9B funding (2025) | Limited support; remains only active federal option |
ACP (ended) | $30/month ($75 Tribal lands) | Covered 23M households | Terminated June 2024; no direct replacement |
State / Nonprofit Initiatives | Varies (e.g., $75/month for limited term) | Localized support (e.g., KC Digital Drive) | Funding limited; not universally available |
Digital Equity & Grant Programs | Community tech access & skill support | NTIA and state-run projects | Indirect benefits; infrastructure-focused |
Private ISP Expansion | Infrastructure improvements | Significant broadband deployment coverage | Doesn’t address cost barrier for low-income households |
The end of the Affordable Connectivity Program (ACP) in mid-2024 left a major gap in support for low-income households across the United States.
With more than 23 million families having relied on ACP’s $30–$75 monthly subsidy, the program’s termination has sparked concern about how seniors, students, and working families will continue to afford essential broadband access in 2025.
But while ACP has ended, support has not completely disappeared.
Programs like Lifeline, select state-level initiatives, and nonprofit-backed affordability plans are still available, though their reach and funding are far more limited.
This article explores what remains, what’s changed since ACP, and practical steps households can take today to reduce their internet and phone costs.
The Lifeline Program: Still Active and Expanding in 2025
The Lifeline program, operated through the Universal Service Fund (USF), remains the federal government’s only ongoing direct broadband and phone affordability subsidy in 2025.
How much does Lifeline provide?
- $9.25 per month off qualifying phone, internet, or bundled services.
- Up to an additional $25 per month for residents living on Tribal lands, bringing their total potential benefit to $34.25 monthly.
Funding levels in 2025
- In 2025, Lifeline funding increased to $2.9 billion, reflecting the federal commitment to keep this core support option active.
Who qualifies?
Households are eligible if their income is at or below 135% of the Federal Poverty Guidelines.
Eligibility thresholds vary by household size and state. For example:
- A single individual generally qualifies at an annual income around $20,000 or less.
- A family of four may qualify if their annual income is under $41,000.
In addition, participation in federal assistance programs such as SNAP, Medicaid, SSI, or Federal Public Housing Assistance also makes a household automatically eligible.
Bottom line: Lifeline remains a lifeline—literally—for millions, but its monthly benefit is modest compared to ACP’s now-defunct $30–$75 monthly subsidy.
Post-ACP Reality: Broadband Subsidy Void
The Affordable Connectivity Program was one of the most impactful affordability measures in U.S. broadband history.
- ACP provided: $30/month off broadband bills for most households, and up to $75/month for households on Tribal lands.
- Reach: More than 23 million households enrolled nationwide.
- End date: The program officially ended on June 1, 2024, when funds ran out.
Impact since ACP’s termination
- Roughly 5 million households have already disconnected from home internet service, citing cost as the primary reason.
- Millions more are scaling down, relying on limited mobile data instead of home broadband.
Legislative status
As of mid-2025, Congress has introduced multiple proposals to replace ACP, but no federal successor has passed into law.
This has created an affordability vacuum, leaving Lifeline as the only consistent federal safety net.
State-Level and Nonprofit Affordability Programs
With the ACP gone, the spotlight has shifted to states, cities, and nonprofit organizations to help fill the gap. While these programs are far smaller in scale, they provide important stop-gaps for households most at risk of digital disconnection.
Examples of state and local action
- Kansas City – KC Digital Drive: Provided up to $75/month for six months for eligible households. However, funding is limited, and many applicants have already been wait-listed.
- New York City Internet Master Plan: Partnered with providers to expand low-cost $15–$20 broadband plans in targeted neighborhoods.
- California’s Broadband for All: Includes digital equity grants and targeted subsidies for rural and low-income communities.
Federal digital equity initiatives
While not direct subsidies, federal investments such as the NTIA’s Digital Equity Grant Program support:
- Community digital literacy training
- Public access facilities (like libraries and community centers)
- Equipment lending (e.g., Wi-Fi hotspots and tablets)
These programs help reduce barriers to access, but they don’t directly offset household internet bills.
Broadband Deployment vs. Affordability: The Real Divide
Over the last decade, the U.S. has made significant strides in broadband deployment.
- Private internet service providers (ISPs) are investing more than $90 billion annually in new infrastructure.
- The number of unserved households (with no broadband available) has fallen by 65%, outpacing government-funded programs like the BEAD initiative.
Yet, availability is not the same as affordability.
- Roughly 17 million households in 2025 technically have broadband access at their address but cannot afford it.
- This group now represents the largest share of the digital divide—a challenge that infrastructure alone cannot solve.
Experts argue that federal and state efforts should now shift focus from deployment to affordability and adoption, where ACP had shown strong results.
Practical Tips to Reduce Phone & Internet Costs in 2025
While households can’t fully replace ACP’s subsidy, there are still ways to save:
Apply for Lifeline
Even though it’s modest, $9.25/month (or $34.25 on Tribal lands) can make a difference.
Combine with low-income provider discounts where possible.
Check for state and local programs
Contact your local city government, library, or nonprofit organizations.
Many cities run short-term subsidy programs funded by federal digital equity grants.
Explore low-income ISP plans
Several ISPs still offer discounted broadband options ($10–$20/month) for qualifying households.
Examples: Comcast’s Internet Essentials, AT&T’s Access, and Spectrum’s low-cost programs.
Bundle services
Combining phone and internet may unlock lower rates. Some carriers apply Lifeline discounts to bundled services.
Leverage public Wi-Fi where safe
Libraries, community centers, and schools often provide free, secure Wi-Fi.
Some municipalities maintain public Wi-Fi networks in parks or transit hubs.
Ask providers about hardship programs
Some ISPs and mobile carriers quietly operate hardship or retention programs that can cut costs for households at risk of cancellation.
Summary: Broadband Affordability Options in 2025
Program / Option | Monthly Benefit / Action | Coverage & Reach | Challenges & Considerations |
---|---|---|---|
Lifeline | $9.25/month ($34.25 for Tribal lands) | Ongoing federal program; $2.9B funding in 2025 | Limited benefit compared to ACP; only federal option left |
ACP (ended) | $30/month ($75 for Tribal lands) | Supported 23M households | Terminated June 2024; no replacement passed |
State & Local Initiatives | Varies (e.g., $75/month for 6 months) | Localized reach (e.g., KC Digital Drive, NYC) | Short-term funding, limited slots |
Digital Equity Grants | Equipment, training, community Wi-Fi | NTIA & state-run projects | Indirect help; doesn’t cut home bills directly |
Private ISP Plans | $10–$20/month low-income packages | Offered by Comcast, AT&T, Spectrum, etc. | Varies by region; enrollment requirements |
Public Wi-Fi Access | Free access in community spaces | Libraries, schools, parks | Security risks; not a substitute for home broadband |
Looking Ahead: The Policy Debate in 2025
The conversation around broadband in 2025 is shifting:
- Infrastructure success: Deployment gaps are shrinking rapidly.
- Affordability crisis: Millions risk disconnection without subsidies.
- Policy solutions under discussion:
- Restoring or replacing ACP with a permanent federal affordability program.
- Expanding Lifeline benefits beyond $9.25/month.
- Directing more BEAD funding toward affordability rather than infrastructure.
Until new legislation emerges, millions of households will continue to rely on patchwork solutions from Lifeline, ISPs, and local programs.
The end of the Affordable Connectivity Program has left millions of low-income households struggling to afford internet access in 2025.
While the Lifeline program continues to provide a small but steady discount—and states, nonprofits, and ISPs are experimenting with local affordability measures—the loss of ACP’s $30–$75 monthly support is being deeply felt nationwide.
With 17 million households now classified as “connected but unaffordable,” the biggest barrier is no longer infrastructure, but cost.
Until Congress enacts a permanent replacement for ACP or expands Lifeline, families will need to piece together savings through local programs, ISP discounts, and smart budgeting strategies to remain online.
In today’s digital economy, affordable internet access is as essential as electricity or water—and the coming years will determine whether America treats it that way.
FAQs
No. Lifeline provides $9.25/month (or up to $34.25 on Tribal lands), which is far less generous than ACP’s $30–$75/month subsidy. It helps, but it does not replace the full value ACP provided.
As of mid-2025, there is no active federal broadband subsidy replacing ACP. Lifeline remains the only ongoing federal affordability program.
Yes. Some local nonprofits, state initiatives, and ISP programs provide limited subsidies or low-cost options. However, these vary by location, are often time-limited, and cannot reach the full scale ACP once had.