Colorado Leads Broadband Access in the West Despite Challenges from Satellite Shift
According to Fiber Broadband Association, Colorado has distinguished itself as a leader in broadband access across the western United States, with more than 95% of households now connected. However, shifting funding priorities under federal “Benefit of the Bargain” policies, favoring low-cost satellite technology, pose new challenges for sustaining the state’s broadband dominance.
Colorado’s Innovative Approach to Broadband Deployment
Colorado ranks 14th in broadband coverage, speed, and availability according to BroadbandNow, a remarkable achievement given the geographic and topographical difficulties typical in Western states. Brandy Reitter, Colorado’s State Broadband Officer, shared insights during a recent episode of Fiber for Breakfast. She emphasized that Colorado’s strategy includes a place-specific assessment of broadband serviceable locations to ensure that each deployment balances technological suitability, cost, and community impact.
“It’s not a simple one-size-fits-all approach,” Reitter explained. Locations are analyzed individually to address barriers like rocky terrain, rivers, and ravines. “Mapping doesn’t tell the full story—what might look adjacent on a map could involve significant logistical hurdles.”
Initially, Colorado received $826.5 million in federal BEAD funding, allocating 70% to fiber and 30% to fixed wireless. By 2025, this shifted dramatically due to cost-cutting measures favoring low Earth orbit (LEO) satellite technology, such as Amazon Leo and SpaceX Starlink. The revised allocation of $420.6 million leaned heavily on LEO satellites (49.6%), reducing fiber’s share to 47.6% and leaving only 2.8% for fixed wireless.
Broadband Policy’s Industry Impacts
Colorado’s pivot to satellites reflects growing concerns across the telecom industry about balancing cost with performance. While LEO satellites provide fast deployment in difficult-to-reach areas, their service timelines and uptake remain contentious. Amazon Leo, for instance, projects full network availability by 2027 and has up to 14 years to meet performance milestones, compared to the near-immediate high-speed capabilities of fiber. SpaceX Starlink, despite its network readiness, struggles with low adoption rates in Colorado due to the high cost of its plans.
Some industry experts warn that an over-reliance on satellites could impede broadband improvements, especially in underserved communities. “Fiber is still the gold standard for performance and scalability,” notes telecom analyst Patricia Miller. “While satellite complements fiber in remote areas, over-prioritizing it risks leaving rural subscribers without reliable long-term infrastructure.”
This shift could also open opportunities for private investments and overbuilders to target poorly served regions. Reitter expects that competitive forces and innovative developments from ISPs might fill gaps over time if market conditions allow.
What’s Next for Colorado’s Broadband Future?
Looking ahead, Reitter remains confident in Colorado’s broadband trajectory. Robust compliance measures, including remote sensory testing and milestone checks for satellite operators, are in place to ensure commitments are met. Should LEO providers fail to meet obligations, Colorado plans to reallocate state grants to underserved communities, softening the impact of potential setbacks.
“Ultimately, connecting all communities to reliable broadband remains our top priority,” Reitter said. She highlighted her department’s adaptive approach, acknowledging that expanding technology-neutral competition can make the path to achieving this goal less linear but still achievable.
For stakeholders, Colorado’s model offers critical insights into balancing cost, technology fit, and community infrastructure needs. As states across the U.S. navigate their broadband deployment strategies under the BEAD program, the lessons from Colorado’s successes—and pivots—could shape the future of nationwide broadband policy.
What do you think about Colorado’s innovative broadband strategies and the impact of LEO satellite technologies in underserved areas? Share your thoughts in the comments below!
