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Google's Sinister(?) Plans
puppetman writes "This week, Robert X. Cringely makes some interesting observations as to what Google's up to next. He theorizes that Google is looking to create a bandwidth shortage that will drive ISP/cable/telephone customers into it's open arms (often with the blessing of the ISP/cable/telephone company). The evidence: leasing massive amounts of network capacity, and huge data centers in rural areas (close to power-generation facilities). The shortage will only occur if the average bandwidth consumption by individual consumers skyrockets; think mainstream BitTorrent, streaming moves from NetFlix, tv episodes from iTunes, video games on demand, etc, etc. Spooky and sinister, or sublime and smart?"
Maybe Google will run fiber to my home out here in sunny Ridgecrest, CA. Verizon sure isn't going to any time soon.
Google only buys/own fiberoptic backbone. They have bought this beause it has been for sale really cheap, because there is a *huge* surplus of it.
Also, Google needs this for its long term strategy of delivering search functionality to the world without beeing controlled other fiber providers.
The bandwidht limitation is largely artifical and created by ISPs, as a revenue generating business model.
ISPs could open up the valve on all DSL lines, and not need any more fiber to support it. Maybe some cheap equipment upgrades here and there.
Example: A fiber cable may consists of a few hundred fibers delivering from 10Gb to 10TB for a total of 1-100Tb. A city like San Jose, CA, with 100k households, this gives 10Mb-10Gb per household. (And there are actually more than 1 fiber cable)
don't cut it off www.mgmbill.org
Who here remembers Williams Communications and their bandwidth exchange, back during the height of the bouble? This is simply an extension of commodity hedging in the absence of a liquid market. The only way you can achieve such commoditization in the current environment is to invest in the related infrastructure. Much as any company hedges against the cost of key input commodities, critical to thheir business -think airlines investing in oil futures- Google anticipates increasesing commodity costs. There's absolutely nothing sinister about about this. It does however, seem to tip Google's hand with regard to their expectations of Net Neutrality. Vint has probably realized that his quest for net neutrality legislation will fail, and Google will face significant changes in network monetization through a vastly expanded peering fee structure. Where previously, peering fees were (and are typically now) paid by smaller network providers, to larger providers for the right to connect to their networks, in the future, such fees will be structured not based on network size but relative volume of traffic sorted by type. Google wants to minimize the impact of such peering fees (passed from colo provider to colo clients such as Google) by leasing as much network infrastructure as they can acquire. The simple point here is the fewer connections to foreign networks, the smaller the overall cost of peering under any model, regardless of the outcome of the net neutrality debate, but especially if it gets shot down. The point is, there's nothing sinister here. It's simple corporate risk management. Google would be negligent if they didn't do this.
-- CTH
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In the past decade, a lot of big firms with serious computing needs have been building huge off-site compute centers. Cheap power (a nearby power plant) and cheap cooling (a nearby river) tend to be the driving factors. Now and then you find a great site (mainly because the power plant will commit to providing lots of off-peak power,) and when you do, you often find a "facility" (think 100 ft underground, huge water-cooling system built) available for lease or sale nearby. Go figure, people have been doing this for a long time!
I think it has something with Plato's philosophy. The only thing you can do is to "do no evil". If you want to do good, you'll end doing something evil, even if you intended good. So it is better to try and avoid doing evil, than proactively trying to do good.