Connect One Billion

Introduction and Background

Approximately 2.6 billion people worldwide are not accessing the Internet: 93% of people in wealthy nations are connecting compared to only 27% in Low-Income Countries. Most of these connections are made on usage-based mobile connections with high data costs. This digital divide entrenches existing inequalities and hinders economic growth.

Internet Service Providers (ISPs), particularly smaller, independent, and local operators, play a key role in bridging this divide, and are well-positioned to connect underserved communities due to their local knowledge and presence on the ground. There are over 7,000 ISPs in Low- and Middle-Income Countries (LMICs), each with more than 5,000 subscribers; together they represent a large and diverse opportunity for investment and support. 

However, these ISPs face significant challenges in accessing financing to expand their networks. To help them address these challenges and realize their potential, USAID, Microsoft, Vernonburg Group, and Stadia Capital have spent the last year co-creating a blended finance entity designed to support and accelerate the growth of ISPs in LMICs.

Connect One Billion’s mission is to provide small, high-potential ISPs in LMICs with the capacity building and early financial support they need to extend secure and affordable high-speed Internet connectivity to at least one billion people over the next decade. Connect One Billion will support ISPs at various stages of development and is envisioned to initially be a $250M initiative with targets of $50M in Technical Assistance, $50-100M in Concessional Capital, and $100-150M in Growth Equity. Connect One Billion will be a new legal entity with its own management, board, and staff. Pursuant to an agreement with USAID, Vernonburg Group is incubating the formation of Connect One Billion.