THIS. I pay a premium for a higher tier (although not the highest) service from 
Comcast, and at times it's still not enough thanks to cable's shared nodal 
bandwidth. During peak time there's just not enough to go around. 
http://www.afr.com/p/technology/google_fibre_optic_boss_unravels_RdzwEZdT2tT3WyVjWwZneJ

Google’s fibre optic boss unravels demand ‘myth’


The venture, which Google says will be profitable, is now operational in two US 
cities, providing 1 gigabit upload and download speeds – 10 times faster than 
those available on the NBN today. Photo: Bloomberg

James Hutchinson

The executive leading search giant Google’s fibre optic roll out in three US 
cities says it is a myth that internet users do not want or cannot use faster 
broadband speeds than are now available.

Kevin Lo, who led Google’s foray into building its own fibre network in Kansas 
City in 2010, said entrepreneurs would “rise to the occasion” to build 
applications capable of taking advantage of broadband speeds up to a gigabit, 
200 times the average download speeds available in Australia today.

“There’s huge consumer demand out there for fast internet and we believe that 
faster internet speeds will lead to what we refer to as the next chapter of the 
internet,” Mr Lo said at the Broadband World Forum conference in Amsterdam on 
Tuesday.

“Just like the last step function improvements in speed going from dial-up to 
broadband brought about all the current applications we use today – from 
streaming video, photo sharing, video conferencing online – we’re confident 
that the next 100x improvement in speeds will lead to innovation.”

The utility of fast broadband has been one of contentious debate in Australia 
and globally.

The Coalition government has based its policy to slim down the national 
broadband network roll out partly on the notion that Australians do not need to 
access speeds of 100 megabits per second or a gigabit in the short-term.
Internet services company Akamai says Australian users now have an average 
broadband speed of 4.8 megabits per second and just 5 per cent of the country 
has double that speed despite the NBN roll out.

‘We’ve been surprised with the impact’

Steve Unger, the chief technology officer of UK communications watchdog Ofcom, 
said on Tuesday that increasing customers’ broadband speeds beyond 10 megabits 
per second did not automatically change the number or type of online 
applications they used.

But Mr Lo said businesses were likely to offer new applications “that we can’t 
even imagine at this point in time” in markets where broadband speeds and 
adoption were high.

He said Google decided to build its own fibre network in 2010 to explore how 
users would take advantage of faster internet speeds, through Google and other 
services.

The venture, which Google says will be profitable, is now operational in two US 
cities, providing 1 gigabit upload and download speeds – 10 times faster than 
those available on the NBN today – and a free service providing 5 megabits per 
second for eligible customers.

Mr Lo pointed to the success of Google Fiber’s first installation in Kansas 
City, Missouri, which had increased attention from technology start-ups, 
investors and not-for-profit groups since activating services.

The play has caused dominant cable television and broadband providers in the 
towns receiving Google Fiber to reduce their prices in competition. Mr Lo said 
access to increases in broadband speeds had also prompted ratings agency Fitch 
to upgrade Kansas City’s rating to neutral this year.

“We’ve been surprised with the impact that fibre connectivity and fast internet 
can really have on a community,” he said.

■ James Hutchinson travelled to Amsterdam as a guest of Alcatel-Lucent.

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