Trump Killed Digital Equity Act, But US Revived Part of It
▼ Summary
– The Trump administration will reinstate a broadband grant program to comply with a court ruling, with applications starting in December.
– A judge ruled the government cannot allocate grants based on race or ethnicity, but can use factors like income, age, and disability.
– The Digital Equity Act of 2021 authorized $2.75 billion for three grant programs; Trump ended them in May 2025, calling the act racist and unconstitutional.
– The National Digital Inclusion Alliance sued over the termination of the Competitive Grant Program, which holds $1.25 billion, after losing a $25.7 million grant.
– The NDIA called the revival a “massive win” but must reapply for funding, and the separate $1.44 billion state grant program remains discontinued.
The Trump administration has agreed to revive a broadband grant initiative following a court ruling that blocked its attempt to entirely dismantle the Digital Equity Act, a law passed by Congress in 2021. According to a recent court filing, the federal government will begin accepting grant applications in December.
The decision comes with a notable caveat. The administration secured a partial win in court, as the judge determined that grant funding cannot be distributed based on the race or ethnicity of the beneficiaries. However, the program may still prioritize applicants based on other qualifying factors, including income level, age, and disability status.
The Digital Equity Act originally allocated $2.75 billion across three grant programs designed to bridge gaps in broadband access. The Biden administration initiated the rollout in 2022, distributing $60 million in planning grants to states. By 2024, it had opened the application window for the remaining funds. The Trump administration announced in May 2025 that it would terminate the programs, arguing that the Digital Equity Act itself was racist and unconstitutional.
That move triggered a legal challenge from the National Digital Inclusion Alliance (NDIA), an advocacy group that had been selected to receive $25.7 million in grant funding before the program was halted. The lawsuit, filed in US District Court for the District of Columbia, focuses specifically on the Digital Equity Competitive Grant Program, which represents $1.25 billion of the total funds authorized by the act.
The other major component of the legislation, a $1.44 billion grant program for states and territories, remains suspended with no plans for reinstatement. Notably, no legal action appears to have been filed challenging the discontinuation of those state-level grants.
A “massive win,” tempered by a loss
The NDIA has hailed the restoration of the competitive grant program as “a massive win for the communities we serve.” Still, the organization will need to resubmit its application, as the administration is restarting the process from scratch. Under the Biden administration, the NDIA was awarded a $25.7 million grant in January 2025 to supply low-cost and free devices while helping people enroll in affordable broadband plans. That grant was later terminated by the Trump administration, prompting the lawsuit.
While the revival is a significant step forward for digital inclusion advocates, the court’s restriction on race-based considerations narrows the scope of how funds can be directed. The program can still address disparities tied to income, age, and disability, but it must do so without explicit racial or ethnic targeting.
(Source: Ars Technica)
