Sunday, January 25, 2015

With Lemons, Make Lemonade: Google Fiber and the FCC's Impending Net Neutrality Decision

     Oh boy, everyone's favorite discussion topic!

     Google is one of the largest companies on the planet. They've expanded far beyond their original scope as a search engine provider and are now involved in all sorts of things: robotics, cell phones, computer operating systems, you name it. Pretty recently, Google also previewed their take on providing an Internet Service, in the form of Google Fiber. Google Fiber saw a very limited deployment, only being tested in three places: Austin, Texas, Provo, Utah, and Kansas City, Kansas. While most current Internet Service Providers (ISPs) provide download speeds ranging from 5-50 megabits* per second depending on how much you pay, Google promised to deliver 1,000 megabits per second, essentially a gigabit per second, for the same price. Not only that, but they made an even simpler offer: if you paid an initial setup price, they would give you the average 5 Mbps down, 1 Mbps up that other companies offer at high prices for free. For around $300 you could have free internet access with your current speed and upgrade to their full service at a later time.

     Because it is trying to get involved in the Internet Service market, Google is now involved in the Net Neutrality argument. Is Net Neutrality good? Bad? I'm not equipped to answer those questions, but I can try. Currently, many people are advocating for the FCC to classify ISPs as Title II utility providers, which would subject them to the same laws as Water and Electric companies. These laws are outdated, and don’t perfectly apply to the current internet economy, but they are the best option currently available. At a minimum, this reclassification would prevent ISPs from “mak[ing] any unjust or unreasonable discrimination in charges, practices, classifications, regulations, facilities, or services;” a definite improvement from the current situation we’re in.


     Google Fiber sounds incredible. Its biggest issue is its severely limited deployment. One of the reasons it's so hard for Google to deploy is because they have no access to public utility poles and the like. AT&T has been very protective of these poles, and obviously sees Google as a big threat to them (Google Fiber also comes with TV and Phone services.) If the FCC does reclassify ISPs as Title II utilities, it will open the door for Google to lobby to be recognized as a utility, and would be allowed access to the poles that they currently aren’t allowed to use.


     Regardless of the FCC’s decision, I have no doubt that Google will press forward with their deployment of Google Fiber, and their ensuing interruption of the Internet Service industry. Hey, if they're gonna be taking over the world anyway, they may as well give us Gigabit internet speeds while they do it.


*Megabits. The "bit" is important. There are 8 bits in a byte. By measuring data in megabits, which nobody uses when tracking actual data at all,  marketers can put numbers 8 times larger than the megabyte per second speeds of their services on advertisements. This is the only reason megabits are used at all.

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3 comments:

  1. Adam, interesting post. I hope to have Professor Russell into class to defend his strong anti-Net Neutrality position. I wonder about two things: 1. What does this statement mean? "Google is one of the largest companies on the planet." In what sense? Certainly not in terms of employment. Wal-Mart has it beat many, many, many times over. In terms of profits? Hmm. 2. Most tech analysts I've read don't think that Google will continue the Fiber experiment because it is simply not profitable enough. Indeed, even with strong Net Neutrality rules, it still wouldn't be super profitable. For sure, there is even recent talk--I think right--that Google will eventually go the way of Microsoft. It's the way of all things.

    http://www.theguardian.com/technology/2015/jan/18/google-search-way-avoid-microsoft-fate?CMP=EMCNEWEML6619I2

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    1. I think rephrasing that sentence to say "Google is one of the most prevalent tech companies" would have been a bit more accurate. Completely agree!

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    2. I think rephrasing that sentence to say "Google is one of the most prevalent tech companies" would have been a bit more accurate. Completely agree!

      Delete