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Google Ready to Bid on 700 MHz
Seppanen Style writes "The 700MHz spectrum auction looks like it's going to be heated. Google CEO Eric Schmidt has all but confirmed that Google will make a play for the spectrum that will be on offer next January. 'In effect, this could give Google control of the entire pipe between customers and Google servers, a move that could be very good for business strategy, even if the wireless network is not a major profit center. Companies never like to be at the mercy of other companies, and Google is no exception.'"
I have one in my closet they can have. I'll even throw an extra 128MB of SDRAM!
I think the 2.4GHz spectrum is where all the heat is.
Hey, better yet, why don't they convince the UN to send peacekeepers to Darfur? Why don't they fund alternative energy research? I'm sure they have enough money to get a fusion research lab up and running. Why don't they fight cancer?
The problem is even if they did set up a lab to do research with the intent of "fighting cancer", some asshole like you would complain they're not fighting AIDS.
Anyone who wants to fight to do good in this world only has limited resources to work with, as such, one must pick their battles. Taking on the crooked telco companies is worthy enough for me.
"Live as if you'll die tomorrow." Ridiculous. You could die later today.
Some of his major investors include Buffett who is very opposed to W. As to W's policies helping Brin/Page, that is VERY false. To date, the top 10 wealthiest ppl in America have come out SOLIDLY opposed to W's tax cuts and his ongoing deficits. To that end, Buffett, Gates, etc have been moving their money out of dollars and buying up other currency (mostly euros). Why? Because they believe that W's deficts on top of reagans is destroying our ability operate. I think that they are right.
I prefer the "u" in honour as it seems to be missing these days.
From the Summary This portion of the spectrum also happens to be the one with two open access conditions attached to its sale mandating that all devices be allowed to access the band and that all applications can be able to run across the network. This means that it may become the dominate frequency for off the shelf parts, since they know that no provider can actually keep their product off the market. Honestly you combine these rules with a device like the N95 or iPhone, add a little Skype, and what you get is Nerdvana, a network where you only pay for the pipe, but you can flush anything you want down it.
If market cap was actually an indicator of potential success in the auction, Google would lose.
The telecoms:
AT&T: $242 billion
Sprint: $53 billion
Deutsche Telekom (they own T-Mobile): $79 billion
Verizon: $121 billion
Versus:
Google: $160 billion
Luckily, there's more to this game than pure market caps. Google is probably better able to raise cash, and may also have more cash on hand, than the telcoms. On the other hand, though, you have companies that have been around for a long time, and are fairly good at getting what they want. Regardless, I'm looking forward to the auction. A Google win would be awesome, but the actual event should turn out interesting as well.
I am not sure Google is really interested in winning the auction. Their play might be to put pressure on the telcos in order to strike an access deal with them.
The telcos have something that Google wants: unfettered and maybe even exclusive access to their users. Telcos however are notorious for their habit of restricting their devices' access to services that net them more profit. Google knows that and knows that wireless devices may be tomorrow's prime mean of accessing the Internet. If this were to happen, search and content providers would have to strike very onerous deals with telcos in order to maintain access to their clientele.
As a result, the FCC's decision not to require open access to the Internet for users of the 700Mhz spectrum threatens to put Google's future in the hands of the telcos.
The menace to enter the telcos' market strenghtens Google's barganing position because
a) Google has the money to make good on that threat and may chose to do so as a defensive measure
b) the telcos need that spectrum a lot more than Google does.
I wouldn't be surprised to hear in the coming months that Google has struck many major long term deals with several telcos and has finally decided to bow out of the auction.