
Perhaps the biggest names in the Internet business, Google Inc. after having been able to dominate just about every vertical in the online domain, is now planning to make itself as a top internet service provider or ISP, as the company has announced that it will be rolling out its very own ultra high speed internet service with a bandwidth of 1Gbps. This all new fiber to the home (FTTH) service will initially be pushed on a purely experimental basis covering more than 5000 homes across the United States on extremely competitive prices.
The all new ISP plan from Google stems from the continuous disdain of the search giant in regards to the inadequate broadband infrastructure of America, where as other developed countries have already developed significant broadband structures, thereby providing the users with extremely efficient high speeds. Google’s plan to begin the FTTH service trial runs, couldn’t have come at a better time, especially, when the federal regulator are currently formulating feasible options to enhance the broadband connectivity spectrum, as part of a Congress commissioned initiative to bolster the nation’s broadband capabilities.
However, the skeptics and critics of Google’s latest venture say that, the ISP plan is a PR media stunt and nothing else. Also, so experts believe that, by running the trials, Google isn’t planning to start its ow ISP service, but is trying to give a nudge to the telecommunication companies, so that they would start investing in better infrastructure and thus provide ultra high speed internet at reduced prices.
According to David B. Yoffie (Professor, Harvard Business School),
“Google, indeed, appears to be playing a chess game. If they can create an even mildly credible commitment to offer superfast broadband to the home, it could strike fear in the hearts of cable and telcos, stimulating an arms race of investment — just as they did in the auction for spectrum a few years ago.”
Via Venture Beat
Posted by Rajeev Saxena on February 11, 2010 in Business, Internet and New Media · 0 Comment