Damn, one time $300 fee for "Up to" 5 Mbps download and 1 Mbps upload. That's like getting free internet for 6 and a half years[1] from current providers after 6 months. And if you want to upgrade you've already got the hardware. I wonder what the minimum time of undercutting at a loss service they can offer is without it being considered anti-competitive. [1] They guarantee 7 years of free service https://fiber.goog…
Is there any evidence that they are operating at a loss? For 2013 Comcast reported 13.5 billion operating income on 64.6 revenue [1]. This means that they could potentially lower their prices 20% without incurring in losses. If we assume that Google is able to operate more efficiently, which isn't such a bold assumption, they could potentially undercut prices even more. On top of that, we could also assume that in te…
Google Fiber Austin
71–80 of 157 posts
Re: Google Fiber Austin
#72Earlier quoted context omitted.
That's surprising. I thought the FCC banned those types of deals: http://arstechnica.com/tech-policy/2009/05/federal-court-uph...
I don't know the details, but apparently the deal had something to do with the wiring of the building when it was constructed in 2008. There have been resident meeting discussing the issue, and apparently the only way to support other ISPs is to pay for new separate wiring in the building, which I'm sure the building management will not do (given the housing demand situation in SF).
Re: Google Fiber Austin
#73Earlier quoted context omitted.
It is sad that with all the would-be entrepreneurs flocking to Silicon Valley and looking for startup ideas, they all shy away from 'hard' problems like disrupting the current ISP model.
It's easier to write a javascript framework than it is to solve the hard problems.
Re: Google Fiber Austin
#74Earlier quoted context omitted.
Is there any evidence that they are operating at a loss? For 2013 Comcast reported 13.5 billion operating income on 64.6 revenue [1]. This means that they could potentially lower their prices 20% without incurring in losses. If we assume that Google is able to operate more efficiently, which isn't such a bold assumption, they could potentially undercut prices even more. On top of that, we could also assume that in te…
Everybody other than Google reports that installing fiber costs over $1,000 per home, but Google is selling it for $300 and saying "trust us".
Re: Google Fiber Austin
#75Earlier quoted context omitted.
It is sad that with all the would-be entrepreneurs flocking to Silicon Valley and looking for startup ideas, they all shy away from 'hard' problems like disrupting the current ISP model.
I think that smart people in both business and technology are attracted to hard problems that are intellectually challenging. Dealing with the corruption and the entrenched bureaucracy of local, state, and federal governments doesn't qualify as an "interesting" problem for these types of people. It's why you don't see many scientists in elected office.
Just take a look at Aaron Swartz, Chelsea Manning or Edward Snowden.
Re: Google Fiber Austin
#76Re: Google Fiber Austin
#77Welcome to the 21st century, Austin!
Not really. In Stockholm, I have 250Mb down, 100Mb up. Costs 50 bucks/month.
I think it helps if the fiber is owned by a party other than the access provider, e.g. the community or city, to avoid having a monopoly squeeze out all the consumer surplus.
How will this work with Google Fiber?
http://cdn.static-economist.com/sites/default/files/imagecac...
http://www.nbr.co.nz/sites/default/files/images/oecd-broadba...
Full html pages (where images were found): - http://www.nbr.co.nz/article/oecd-broadband-stats-show-nz-im... - http://www.economist.com/blogs/schumpeter/2014/03/telecoms-m...
Re: Google Fiber Austin
#78Damn, one time $300 fee for "Up to" 5 Mbps download and 1 Mbps upload. That's like getting free internet for 6 and a half years[1] from current providers after 6 months. And if you want to upgrade you've already got the hardware. I wonder what the minimum time of undercutting at a loss service they can offer is without it being considered anti-competitive. [1] They guarantee 7 years of free service https://fiber.goog…
Is internet in Kansas really that bad? I'm paying $50/month for 30/21 (I'm paying for 25/25 but oh well) here in New Jersey [0]. I can't imagine doing much with that internet besides basic web browsing. Even low-res video is choppy at that speed.
Re: Google Fiber Austin
#79Damn, one time $300 fee for "Up to" 5 Mbps download and 1 Mbps upload. That's like getting free internet for 6 and a half years[1] from current providers after 6 months. And if you want to upgrade you've already got the hardware. I wonder what the minimum time of undercutting at a loss service they can offer is without it being considered anti-competitive. [1] They guarantee 7 years of free service https://fiber.goog…
Is there any evidence that they are operating at a loss? For 2013 Comcast reported 13.5 billion operating income on 64.6 revenue [1]. This means that they could potentially lower their prices 20% without incurring in losses. If we assume that Google is able to operate more efficiently, which isn't such a bold assumption, they could potentially undercut prices even more. On top of that, we could also assume that in te…
There's no reason to believe that Google's per-household costs are any less. These companies all likely outsource to the same local companies that put fiber in the ground. To the extent that Google has an advantage, it's with uptake rates. Verizon and Comcast have to wire whole cities, pursuant to build-out clauses in local franchises. Google refuses to accept such clauses, and only builds in neighborhoods with demonstrated interest. The economics of building fiber make this a huge advantage. Most of the cost of building the network is in passing by the house, which is a cost you pay whether or not the house subscribes. If your uptake rate is 40% versus 20%, your per-house capital cost drops dramatically.
Re: Google Fiber Austin
#80Most host providers, even REALLY inexpensive ones, charge $3-5/month/IP. So I consider $20-30 a massive markup for something pretty useful for a business account.