Most of broadband stimulus funds went to vendors in first grant round

Before the federal government announced the winners of broadband stimulus awards in December 2009, conventional wisdom suggested government-run projects would capture most of the money. Stimulus applications from vendors, in this scenario, would face lower priority. The awardees were publicized, and all middle-mile and last-mile grants went to small telecommunications companies.

This gave private vendors roughly a $173 million share of the money. Compare that to the $9.7 million governments got for public computing center expansions and broadband adoption programs. Large vendors didn't apply because they found the eligibility requirements too onerous...