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Obama launches project for more broadband in public housing

Published 07/15/2015, 08:11 PM
© Reuters. U.S. President Obama delivers a statement about the nuclear deal reached between Iran and six major world powers from the White House in Washington
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By Alex Wilts and Julia Edwards

WASHINGTON/DURANT, Okla. (Reuters) - U.S. President Barack Obama announced a pilot project on Wednesday aimed at expanding broadband access for people who live in public housing, part of an effort to close what Obama called the "digital divide" between rich and poor.

Eight Internet service providers, including Google Inc (NASDAQ:GOOGL) and Sprint Corp, have signed on to make the Internet cheaper and more accessible in 27 cities and the Choctaw Tribal Nation in Durant, Oklahoma.

Private and public institutions have pledged to invest $70 million in the plan. The federal government is only contributing $50,000, Julian Castro, the secretary of Housing and Urban Development, told reporters on a conference call.

The initiative will reach 275,000 households with almost 200,000 children.

"While high-speed Internet access is given for millions of Americans, it's out of reach for far too many," Obama said at Durant High School to a crowd that included many children in traditional tribal garb.

The Choctaw Tribal Nation is working with four local providers to bring the Internet to 425 homes.

In Atlanta, Durham, Kansas City and Nashville, Google will provide free Internet connections in some public housing areas.

In select markets, Sprint will offer free wireless broadband access to families with kids in public housing. In Seattle, CenturyLink Inc (NYSE:CTL) will provide broadband service for public housing residents for $9.95 a month for the first year.

Cox Communications Inc [COXC.UL] is offering home Internet for $9.95 a month to families with kids in school in four cities in Georgia, Louisiana and Connecticut.

© Reuters. U.S. President Obama delivers a statement about the nuclear deal reached between Iran and six major world powers from the White House in Washington

The program also includes free training and technical support. Best Buy Co Inc (NYSE:BBY) will offer free training to the Choctaw Tribal Nation and in some cities, the White House said.

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