I'm interested in seeing how the "open network" concept plays out.  Are 
they looking to compete with us, or with cable/telcos who lock you into 
their phone lines, isp, broadband, tv, etc?  What will happen to costs 
when that model breaks?

I'll watch with interest.

On 2/10/2010 2:04 PM, Tom DeReggi wrote:
> Mike,
>
> Although, I see what you were getting at, your logic is flawed.
>
> The reason is that Google is colocation, and has a very low cost to connect
> to other ISPs. Google is basically buying a patch cable.
> Transporting an End user on the other hand has a much larger cost because it
> has to be transported all the way to the Colo center.
>
> These dynamaics have absolutely nothing to do with Google being better at
> it. I can negotiate near just as good rates in a colo as they can.
>
> The factor here is that trading lastmile+middle mile cost for colo-firstmile
> cost is not a fair trade.  This is why peering started to endorse the
> concept of Push versus Pull traffic.
> Pull traffic was more in line with typical usage and assoicated with the
> higher lastmile/middle mile transport and therefore The push provider pays
> the pull provider.
>
> In the actual colocations center.... If Google connects to a peer switch,
> and I (my WISP) connect to the peer switch, and we both pay for our own
> connection, in that particular case your logic would hold.
> Push and Pull traffic would have equal value, because they were equal spec.
>
> The arguement that some people make that  End Users already pay the ISP last
> mile cost is also flawed, but that is a different debate, with different
> arguements, and I'm not going there in this Email.
>
> The facts are Google has created a value to consumers that consumers expect
> to recieve, and that every ISP has no choce but to allow that content
> through. As a result, Google gets away with not getting charged the full
> cost they should.
>
> We can also look at it another way... Let hypothetically assume broadband
> cost each incurred was an equal even trade, and lets just look at sales...
> Why does Google deserve the right to profit from my subscriber, but yet  me
> not be able to profit from their sales to my subscribers?
>
> Google even acknowledges this. Its one of hte reasons taht they came up with
> Adsense. It was an attempt to compensate ISPs for their contribution to the
> successful revenue generation.
>
> Google paying to access the Internet, does not constitute payment to me to
> use my network.
>
> I am not against Google. They provided a better revenue program than other
> search engines. And their recognition of the need to compensate other
> parties, I beleive heavilly led to their success in the earlier days. It was
> the Independant ISPs that helped promote Google, over the less sharing
> Microsoft and Yahoo search options.
>
> Tom DeReggi
> RapidDSL&  Wireless, Inc
> IntAirNet- Fixed Wireless Broadband
>
>
> ----- Original Message -----
> From: "Mike Hammett"<[email protected]>
> To: "WISPA General List"<[email protected]>
> Sent: Wednesday, February 10, 2010 3:12 PM
> Subject: Re: [WISPA] Google to build ultra-fast broadband networks
>
>
>    
>> I love how everyone thinks the content people are mooching.  You go to the
>> other side of the fence and we're mooching off of them.
>>
>> They negotiate their bandwidth, we negotiate ours.  They're just better at
>> it.
>>
>>
>> -----
>> Mike Hammett
>> Intelligent Computing Solutions
>> http://www.ics-il.com
>>
>>
>>
>> --------------------------------------------------
>> From: "Tom DeReggi"<[email protected]>
>> Sent: Wednesday, February 10, 2010 12:46 PM
>> To: "WISPA General List"<[email protected]>
>> Subject: Re: [WISPA] Google to build ultra-fast broadband networks
>>
>>      
>>> I'd say, the press release is not in line with Google's Business model.
>>>
>>> Google is in the business of collecting revenue, without costs,
>>> considering
>>> they mooch off others' broadband networks without paying for access to
>>> it.
>>>
>>> It will be interesting to see what Google Execs will think of the project
>>> a
>>> year down the road, where they incur all the costs and no revenue. I dont
>>> see the project being popular amoungst management.
>>>
>>> Tom DeReggi
>>> RapidDSL&  Wireless, Inc
>>> IntAirNet- Fixed Wireless Broadband
>>>
>>>
>>> ----- Original Message -----
>>> From: "Robert West"<[email protected]>
>>> To: "'WISPA General List'"<[email protected]>
>>> Sent: Wednesday, February 10, 2010 1:36 PM
>>> Subject: Re: [WISPA] Google to build ultra-fast broadband networks
>>>
>>>
>>>        
>>>> The same way they have made money from the beginning.  Giving it all
>>>> away
>>>> for free!!!  At least on the front end of things......
>>>>
>>>> Google makes money in reverse and LOTS of it.  Trust me, my man, Google
>>>> is
>>>> no brainless bunch.  There is a lot of money in "Free".  I'm sure they
>>>> have
>>>> an angle to make the big bucks off of it and at the same time presenting
>>>> themselves as the benevolent Google that is adored by everyone
>>>> worldwide.
>>>> Well, except maybe the Chinese who Google censored.  Oh, and possibly
>>>> the
>>>> rest of the world including the US if Google teams up with the NSA as
>>>> last
>>>> reported......  But still, just a bunch of friendly helpful guys out to
>>>> give
>>>> it all away for free!
>>>>
>>>> Bob-
>>>>
>>>>
>>>>
>>>> -----Original Message-----
>>>> From: [email protected] [mailto:[email protected]] On
>>>> Behalf Of Marco Coelho
>>>> Sent: Wednesday, February 10, 2010 1:07 PM
>>>> To: WISPA General List
>>>> Subject: [WISPA] Google to build ultra-fast broadband networks
>>>>
>>>> Google to build ultra-fast broadband networks
>>>>
>>>> WASHINGTON - Google plans to build experimental, ultra-fast Internet
>>>> networks in a handful of communities around the country.
>>>>
>>>> The search company said Wednesday that its fiber-optic broadband
>>>> networks will deliver speeds of 1 gigabit per second to as many as
>>>> 500,000 Americans. Google Inc. says those systems will be more than
>>>> 100 times faster than the networks that most Americans have access to
>>>> today.
>>>>
>>>> In a blog post, the company said the networks will let consumers
>>>> download a high-definition, full-length feature film in less than five
>>>> minutes and allow rural health clinics to send 3-D medical images over
>>>> the Web.
>>>>
>>>> Google says it will seek input from communities that might be
>>>> interested in getting one of the testbed networks.
>>>>
>>>> ****end of article
>>>>
>>>> http://news.yahoo.com/s/ap/20100210/ap_on_hi_te/us_tec_google_broadband_netw
>>>> ork
>>>>
>>>> sounds very dot commy to me:
>>>> Best price on a 1G pipe is about 1K-5K within a NOC.  I wonder how you
>>>> make money giving it away?
>>>>
>>>> -- 
>>>> Marco C. Coelho
>>>> Argon Technologies Inc.
>>>> POB 875
>>>> Greenville, TX 75403-0875
>>>> 903-455-5036
>>>>
>>>>
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>>>
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-- 
Randy Cosby
Vice President
InfoWest, Inc

435-674-0165 x 2010

http://www.infowest.com/

"Letting off steam always produces more heat than light." - Neal A. Maxwell



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