Travis Johnson wrote:
Yes, I remember the dark fiber... and so, the question remains, how
much fiber did they buy? They are now bidding on 700mhz spectrum, and
could connect everything back to their main datacenters with all the
dark fiber they purchased previously. ;)
And I never said they were "Evil" (which is funny that everyone is
using that term when it is Google's company moto to "Do no Evil")...
all I am saying is we need to keep our eyes open and watch what is
going on... if the telco's buy the 700mhz, nobody really cares... they
will use it for cell phone or higher speed mobile services...
No, They will use it to deliver broadband in direct competition to you.
The telco's have figured out that their future rests in broadband and
not POTS.
but if Google buys it, they will offer internet service really, really
cheap or for free. They are making BILLIONS of dollars profit every
year without doing anything...
They are organizing data. They are selling advertizing space. CBS does
that. NBC does that. CNN does that. It is not nothing.
so they really have a lot of money they can throw at whatever they want.
Good. I am all for competitors to the ILECs and I sincerely hope that
Google gets some of that spectrum and offers the public a third option...
Let's run some quick numbers... just for the fun of it...
700mhz Access Point at roughly $2,000 each
700mhz CPE at roughly $200 each
Let's use a 50:1 ratio of CPE to AP, so it would be $12,000 for each
AP/CPE combo. They would be able to charge something for the CPE, so
that money can be used for other tower expenses (UPS, switches, etc.).
Using only their profit for a single MONTH, they could put up 83,000
access points and deliver 4.1 million CPE. They could, almost
instantly, become the single largest ISP in the world.
Hey, and that would really level the playing field with the big boys,
wouldn't it?
It just gets scary when you actually realize that a BILLION is one
thousand MILLION dollars.
Yes but investors are investors, aren't they? Investors are often
hesitant to let a company explore new territory. They would not be
allowed to drop all their eggs in that one basket and they could not put
the infrastructure in place that fast either.
If you are looking for something to fear, fear the ILECs.
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