North Carolina Launches $63 Million Plan to Connect Rural Residents

North Carolina invests $63M to connect 18,889 rural homes and businesses to high-speed internet, bridging the digital divide with public-private partnerships.

North Carolina Launches $63 Million Plan to Connect Rural Residents NewsVane

Published: April 30, 2025

Written by Isabel Moore

A New Wave of Connectivity

In rural North Carolina, where rolling hills and small towns define the landscape, access to high-speed internet has long been a challenge. On April 29, 2025, Governor Josh Stein announced a $63 million initiative to change that, aiming to connect 18,889 households and businesses across 30 counties to reliable broadband. The effort, part of the state’s Completing Access to Broadband (CAB) program, reflects a broader push to ensure no community is left behind in the digital age.

This investment, funded by $44 million from the federal American Rescue Plan and $19 million from private broadband providers, targets areas where connectivity gaps hinder education, healthcare, and economic opportunities. From Bertie County, where 91% of eligible locations will gain access, to Burke County, where just 3% will be covered, the projects vary in scope but share a common goal: bridging the digital divide.

High-speed internet, defined here as speeds of at least 100 Mbps for both downloads and uploads, is no longer a luxury but a necessity. For families, it means access to online schooling and telehealth. For businesses, it opens doors to global markets. For communities, it fosters resilience and growth. North Carolina’s latest move builds on years of effort to close these gaps, but the path forward requires balancing ambition with practicality.

How It Works: Partnerships and Precision

The CAB program operates through a collaborative model, pairing counties with the state’s Department of Information Technology and prequalified internet providers like Brightspeed, Spectrum, and Fybe. Counties identify unserved areas, solicit proposals, and secure funding, while providers commit to delivering robust service. This public-private partnership approach leverages government resources and private expertise to maximize impact.

Take Granville County, where 2,164 homes and businesses, or 91% of eligible locations, will gain access through a partnership with Fybe. Or Washington County, where Brightspeed will connect 96% of targeted areas. These projects, slated for completion by 2026, rely on precise mapping to pinpoint gaps and avoid duplicating efforts in already-served areas.

Yet, not all counties see equal progress. In Harnett County, only 8% of eligible locations will be covered, raising questions about prioritization and resource allocation. The state’s approach, while systematic, must navigate the uneven terrain of rural infrastructure, where costs can soar and logistics grow complex.

The Bigger Picture: Economic and Social Stakes

Research underscores the transformative power of broadband in rural areas. A 2022 study from the Center on Rural Innovation found that rural counties with high broadband adoption saw 213% higher business growth and 44% higher GDP growth compared to those with limited access. In North Carolina, where 22% of rural residents lack fixed broadband at basic speeds, these gains could reshape local economies.

Beyond economics, broadband enables telehealth, which is critical in areas with limited healthcare access, and supports online education, a lifeline during pandemics and beyond. In Macon County, Alabama, a modest fiber investment sparked $128 million in manufacturing and 1,800 jobs, hinting at what North Carolina’s efforts could achieve.

Still, challenges persist. Affordability remains a hurdle, with only 57% of households earning under $30,000 subscribing to broadband, compared to 95% of those earning over $100,000. Digital literacy programs, while part of federal initiatives like the Digital Equity Act, are still nascent in many areas, leaving some residents unable to fully utilize new connections.

Debating the Approach: Efficiency vs. Equity

North Carolina’s strategy has its critics. Some argue the state’s reliance on federal funds, like the $10 billion from the American Rescue Plan’s Capital Projects Fund, risks inefficiency. They point to cases like KentuckyWired, a public-private partnership plagued by cost overruns, as a cautionary tale. Advocates for fiscal restraint call for streamlining processes and prioritizing areas with no service over those with partial coverage.

Others emphasize equity, noting that broadband is as essential as electricity. They praise North Carolina’s focus on unserved areas and its pairing of infrastructure with digital inclusion efforts. The state’s Growing Rural Economies with Access to Technology (GREAT) program, which has invested $533 million to connect over 211,000 locations, is often cited as a model for balancing growth and fairness.

The tension between efficiency and equity shapes the broader debate. While some question the cost of mandating high-speed standards, others argue that anything less would leave rural areas stuck with outdated technology, unable to compete in a digital economy.

Looking Ahead: A Connected Future?

North Carolina’s $63 million investment marks a significant step, but it’s part of a larger journey. With federal funding from the Infrastructure Investment and Jobs Act still flowing, the state has a chance to expand its reach. Yet, recent pauses in some federal programs under the current administration signal uncertainty, potentially delaying projects in states like Louisiana and beyond.

For now, North Carolina’s focus on collaboration and transparency, through tools like broadband mapping and competitive bidding, offers a blueprint for others. The real test will come when these connections go live, transforming how rural residents work, learn, and connect.

As the state pushes forward, the stakes are clear. A connected North Carolina could unlock new opportunities, from thriving small businesses to healthier, better-educated communities. But success hinges on execution, ensuring that every dollar spent translates into meaningful change for those who need it most.