Google Fiber Is Officially Making Its Way To Portland

An anonymous reader writes This week the Portland City Council has approved a franchise agreement with Google to bring its fiber service to Portland. "As a result of the unanimous vote, Google will be subject to a five percent 'franchise fee' on its video revenues. It won't have to pay a three percent 'PEG' fee that Portland otherwise charges rival Comcast, but it will offer free Internet service for Portland residents for a $300, one-time fee. It'll also provide free Internet service to some to-be-determined nonprofits, in addition to providing a total of three free Wi-Fi networks in various parts of the city."

Comments

Re:WHICH PORTLAND

[NotDrWho]

Well, of course. Maine is still not allowed on the internet. It's unfair, but it's the only way to make sure that Stephen King never has access to a blog.

Government shakedown

[Kohath]

It's amazing that these governments still get away with this stuff. If you don't have several choices for internet providers in your location, maybe it's because no one wants to pay a "franchise fee" and a "PEG fee" and give away free service to your city government officials' friends. Or maybe it's because your local city council hasn't "approved" it.

Re:Government shakedown

[Kagato]

Outside of Airline Tickets we have no laws requiring prices for goods and services to includes taxes and fees. Comcast's prices are always exclusive of taxes and fees. They simply tack on franchise fees to the bill as a pass through to the consumer.

What does cost real money is right of way leases. In most places the vast majority of utility poles are owned by the local power and phone providers. They demand a price per month per pole. That ads up when it's thousands or tens of thousands of utility poles. Going below ground is no cheaper. That involves right of way easements for both public and private property, in addition to repair of roads and sod. Assuming that the land holder even wants to deal with you.

Re:Government shakedown

[oneiros27]

As someone who manages a PEG channel -- I agree, the fees can be excessive, and they're just passed right through to the consumer, so it's effectively just a tax on those who buy fixed line video services.

However, they should be equal across all providers, so to not hit them all with it equally means that you're favoring one over another, and as these agreements typically span 10-15 years, odds are there's one out there that has it.

As for the free service -- our town doesn't force them to connect up any non-profits, only government buildings. It's possible that other towns do that, but again, this would just mean that you're favoring a given group over another. I'd much prefer to see free (even if low speed) wifi covering our downtown area than picking and choosing which non-profits get special access.

Re:$300 = free?

[Scutter]

OK. They are really stretching the word "free" here. Free = $300 + greedily scooping up your data with this service now or in the future? No, that's far from free.

Compared to the anal probing from Comcast et. al.? Yeah, it's free.

Re:WHICH PORTLAND

[Penguinisto]

However, there's also a relatively significant Portland in Maine so in that case it helps to specify.

We've heard about the one out there in Maine, but most of us here in PDX think it's more myth and legend than an actual town. ;)

( Fun trivia bit: the one here in Oregon was actually named for the one in Maine. The founders of our fair city had a coin toss to determine who named the town, and the winner was from Maine. If he had lost, I'd be typing this from Boston, Oregon.)