Google Announces Plans, Pricing For Kansas City Fiber Network

Kiyyik writes "Google just announced the details behind their inaugural fiber optic service in Kansas City. They're doing a set of packages including $120/month for tv plus internet, $75/month for internet alone, and regular 'conventional' internet for a one time $300 fee. Rollouts are starting in the central areas and will work their way out on a demand basis: at least ten percent of a neighborhood must sign up for the service before Google will come in and start hanging fiber." Update: 07/26 22:04 GMT by T : Nick Kolakowski points out at GeekNet's Slash Cloud that this Google will probably hinge future developments on how well the Kansas City push works.

Comments

Hope it lights a fire...

[MetricT]

under either incumbant ISP's or our politicians. Lack of widespread broadband isn't a technical problem. It's purely political.

I posted this on Slashdot months ago:

http://slashdot.org/comments.pl?sid=2497294&cid=37860766

Since it's election season, I posed a question about broadband availability to the 10 candidates for our local state representative. Only 3 responded, and... Outside of Google lighting a fire, my parents are literally going to die of old age before they get broadband.

http://www.mathewbinkley.org/?p=392

Needs more service/pricing tiers

[Ichijo]

So 5/1 is free for at least 7 years (with a $300 connection fee), or pay $70/month for 1000/1000.

What if I need more than 5 Mbps down but less than 1000 and I don't want to pay $70/month? Even 50/10 would be awesome!

Another Half-Hearted Effort

[rabtech]

Seemingly like everything Google does these days, this is another half-hearted effort which sucks because I would really love to see someone stick it to the telco/cable dualopoly, especially now that Verizon has a back-room handshake deal not to compete with the cable companies for wireline and the cable companies won't start their own wireless network (look it up - VZW is buying spectrum from the cable co's and has terminated all further FIOS expansio, right about the time their old telco/infrastructure CEO retired and their new MBA CEO took over). We also have a bunch of republican state governments (sorry - so far it's 100% republican) that have made it illegal for city governments to deploy fiber, even if they sell access to third-party ISPs and don't run one themselves)

Anyway, Google is only going to roll out fiber to neighborhoods where at least 10% of the potential customers sign up in advance, not to the entire city. I could totally understand running your fiber backbone rings then waiting to extend it into individual neighborhoods until people sign up - limit your capex for deployment - but this seems a bit insane.

I also wish Apple/MS/et al would go after the market... it is obvious that the owners of legacy pipes intend to install toll roads on all internet access and have all made back-room handshake deals not to compete with each other. With billions in cash in the bank there is no reason the tech giants couldn't start an open-access internet utility to string fiber (just to the dense cities) to homes and businesses... Imagine Microsoft, Google, Apple, Netflix, Amazon, et al throwing their weight behind OpenInternetCo and designating the top 50 metro markets in the US (which would cover a huge percentage of the population) to receive cheap gigabit internet. Once the network starts building up you can run your CDNs on it and avoid interconnect/peering fees. Over time more and more of the traffic can stay inside OpenInternetCo's network.

If they don't jump on some sort of bandwagon soon (deploying fiber, $$millions$$ on lobbying, etc) they will find their internet-based services useless as the gatekeepers ratchet down bandwidth caps and try their hardest to soak up all the profits. We are also destined to see more and more "our video service doesn't count against your cap, but Netflix/iTunes/Google Play sure does! Oh and your cap is being 'enhanced' to a lower and $5 cheaper tier this month but the upper tier will cost $40 more"

The hilarious thing is that people often use the density/rural argument to explain why that's impossible in the US** but Verizon's own FIOS numbers prove that is BS. Once you stop investing in copper upkeep, deploying fiber is a relatively cheap operation. Verizon says they spent 20 billion to deploy fiber across half their footprint, but if you look at capex+upkeep on copper you realize a huge chunk of that fiber cost was offset! Even if we assume 20 billion, then extrapolate from there OpenInternetCo could cover the top 50 metro areas for less than 100 billion, the amount of money that just Apple has as cash in the bank. Presumably they'd kick in cash and bring on investors so I would guestimate 25-50 billion from all the tech giants combined would be enough. If I were them, I'd buy Sprint to get access to a cellular provider to ensure fair competition in that space but also to get access to their Tier-1 backbone and cross-country fiber network. Also add in someone like Frontier or Embarq/Century and you have an existing (and profitable) base to build from. You could eventually roll fiber to less dense markets and cover 80-90% of the US, and turn a profit.

**This argument also doesn't account for places like Dallas, TX that is plenty dense enough (and certainly in the city core) to support fiber deployments - the suburbs have it at far less density but that's because the suburbs were part of the initial FIOS deployment but the city proper is ATT territory and ATT isn't going to divert *any* CxO bonuses to infrastructure under any circumstances.