Google Invests In Broadband For Poorer Countries

Chris Wilson writes "According to the Financial Times, Google has announced their support for a new initiative called O3B to 'bring internet access to 3bn people in Africa and other emerging markets by launching at least 16 satellites to bring its services to the unconnected' by 2010. Coverage is available from Yahoo and the Wall Street Journal as well. 'The $750m project to connect mobile masts in a swath of countries within 45 degrees of the equator to fast broadband networks ... could bring the cost of bandwidth in such markets down by 95 per cent.' This will probably be the largest single investment in network infrastructure for developing countries in history. Google clearly wishes to use this project to enable broadband Internet access in developing regions, but many other things must be in place before that can happen, including fixed power infrastructure, PCs or OLPCs, technical support and skills, and useful content and services for areas with lower literacy."

Comments

Because There's Profit To Be Had

[eldavojohn]

This will probably be the largest single investment in network infrastructure for developing countries in history. Google clearly wishes to use this project to enable broadband Internet access in developing regions...

Ok. Let's get a few things straight here. Phrases like "will probably" and "clearly wishes" are indicative of slant because they don't tell me anything. Let me tell you what's clear here: Google is making an upfront investment to reach 3 billion new customers. Yes, it's great news for those people but I will spell out the only motive Google has--they do not want another homegrown Baidu popping up in Swahili or any other language. They will reach these people first and hand them Google in their native language.

Google's going to bring these people broadband at 95% of their current price and Google's going to make massive profit. In 2007, Google netted $4.2 billion. They are supporting O3B because it is a smart business move and their stock will go up because of it.

I'm not saying this is a bad thing, it's great for the people but Google's only motive is "How do we reach the other 1/2 of the world's population with our services?"

Re:Because There's Profit To Be Had

[Whiney Mac Fanboy]

Google is making an upfront investment to reach 3 billion new customers.

Not 3bn new customers - 6bn new products. Google will sell these eyeballs to advertisers.

*shrug* not too bad a deal methinks.

Re:Because There's Profit To Be Had

[locster]

If google make profit by helping African economies develop and taking a slice of the subsequent pie then I say good luck to 'em.

Re:Because There's Profit To Be Had

[Alwin Henseler]

Google's going to bring these people broadband at 95% of their current price

Ehmm... TFA talks about "bring the cost of bandwidth in such markets down by 95 per cent". Doesn't that mean: take 95% off, leave 5% (1/20 th) of previous cost?

Re:Because There's Profit To Be Had

[the_womble]

Illiteracy rate is high, many countries don't have stable and enough electricity let alone the number of PCs to use the inet effectively.

I live in a third world country, well within the area this will cover. Most people are literate, most households have electricity, you can buy a second hand PC in any town for a few tens of dollars (and about a quarter of the population have bought mobile phones, which start at similar prices). Even as it is, broadband is available in cities and is perfectly commercially viable.

Yes there are a lot of people who cannot benefit from this, but there are also a lot who can.

Take a look at the number of cars on the road in the third world. Anyone who can afford a car, can easily afford a cheap computer and internet connection. Anyone who can afford a motorbike can probably afford it!

You seem to think that people either live at first world standards, or on the edge of starvation. Most of the world's population is somewhere in between.

Re:Because There's Profit To Be Had

[Yvanhoe]

I'm not saying this is a bad thing, it's great for the people but Google's only motive is "How do we reach the other 1/2 of the world's population with our services?"

Only motive ? How about saying they found a way to do humanitarian actions while improving their profits ? I really admire such actions. They take risks, they bet on the fact that helping the world can be a profitable thing when done right. I wish we see more of these.

Re:Because There's Profit To Be Had

[mtairhead]

Of course, you're wrong. Besides the fact that there are plenty of people who can read and afford computers, you make no mention of the #1 driver for economic and improvement: business!

Why plop down a warehouse or plant in a nation with no dependable way of communicating with it? Access to the Internet will attract business, which will create jobs and bring an influx of money.

Further, PCs aren't the only things that can benefit humanity with access to the Internet. You're thinking inside the box. Developing nations have solved many problems without our confined 1st World ideas. I don't believe you need to sit an Tanzanian in front of Wikipedia to call the Inet an African success story. Creative uses will come from uncommon and unexpected corners, just as they always have. This is just one more tool, and one from which Google /will/ profit.

PS - Once you're in the position to call $3 billion dollar shots like these, I don't call you an accountant anymore. You're management.

Re:Because There's Profit To Be Had

[Swizec]

Targeted ads man! You don't advertise designer clothes to those people, you advertise bacon and water and stuff.


... guns ...

Re:Because There's Profit To Be Had

[TapeCutter]

"Let's get a few things straight here. Phrases like "will probably" and "clearly wishes" are indicative of slant because they don't tell me anything."

Making a profit is NOT evil. This will probably be news to you even though you clearly wish not to hear it. The fact that they also clearly wish to make a profit will probably be obvious to anyone with two brain cells to rub together, in no way does that change the meaning of the quote even though you clearly wish it did.

Your own anti-corporate slant is breathtaking, god forbid anyone make a profit from doing something that just might, in it's own small way, assist in dragging 1/2 the planet out of the stone age.

Re:LEO means intermittent

[locster]

45 degrees either side of the equator is a pretty wide 'belt'.

How about this country?

[Chemisor]

I'm still waiting for broadband here in the US. That last mile is a killer...

Re:LEO means intermittent

[Whiney Mac Fanboy]

16 satellites in LEO, meaning intermittent coverage, plus they will need spares and steerable ground antennas.

They're going to use the satellites for long haul & 3g masts for last mile.

and it seems pretty expensive for covering only a belt around the equator.

45 degrees is half way to the north/south poles.

THHGTTG

[goose-incarnated]

Marketing is great, innit?

"They cannot afford our product, so lets artificially accelerate their development until such point that they can, and then sell them out product"

Not that I, paying ZAR70 per gig for internet access, mind at all. Hell, bring it on - those monopolistic providers here in Africa, please, by all means, hand their asses to them.

Re:LEO means intermittent

[somersault]

Useful for streaming and downloading large files perhaps, but probably a bit of a PITA if you want to do something like online gaming or some quick web browsing, because satellites=high latency. Not saying it's a bad thing though, it's a good start :)

Someone above made a comment about this just being about advertising and google's business - well sure it will benefit them in the long run, but in the short term they're not going to make much advertising money from countries who can't even afford the infrastructure in the first place. I think this is most definitely a Good thing to do, whatever the motives. People who are always trying to make out like Google are actually evil need to get a grip. Businesses exist to make a profit, but Google also is conducting business in such a way as to benefit computer users in general. Think of the large limits on GMail inboxes forcing Hotmail to provide a similar service (my inbox space jumped from 200MB to 2GB), and Google Docs creating competition for Office, etc. I still think Google is a very 'good' company as companies go.

Re:wouldnt

[somersault]

There are already people doing that. Educating people to boost their skill levels and economies would enable them to buy their own food and learn to dig their own wells.. I know I'd rather be self sufficient than live on hand-outs all the time (though I admit it's pretty easy to say that when I'm nowhere near starving or destitute)

Re:Broadband is not what they need

[MarkKnopfler]

Bad observation. Hackneyed observation. Disease and violence are symptoms. They are not the cause. The underlying cause is an underdevloped, impoverished economy and the lack of human-resource. Treat the causes by developing the economy and educating the people. Treating the symptoms never help. Although broadband access is not the silver bullet, but it is the the variety of change that would be desired.

Re:LEO means intermittent

[mspohr]

If you had RTFS, you would understand that these LOW EARTH ORBIT satellites offer a 100ms latency... not bad.