SOURCE: Telecom Pragmatics

April 19, 2010 08:58 ET

Google's Fiber for Communities Will Probably Be Token Effort, According to Telecom Pragmatics

NASHVILLE, TN--(Marketwire - April 19, 2010) -  The Google Broadband for Communities initiative needs to be kept in perspective, according to a report by Telecom Pragmatics. The company is mainly made up of programmers that know relatively little about plowing fiber or deploying it in the last mile. This effort is another example of encouraging the industry to build cost-effective access to the cloud.

The study states, there continues to be a lot of misunderstanding about Google's objective in making investments in networks. It does not want to get into the public networking business. Google has only about 200 people working in its own network operations and there is likely no interest in incurring the cost of increasing that number significantly.

The report also says, observers in the industry have become so cynical because of other large companies engaging in hype that they do not take what the firm is saying on its face. What incentive would Google have to do more than one city -- or at most a few, just to point out the desirability of bigger and cheaper pipes?

The consulting company published this information in a recent issue of Municipal Utility Telecom Network Strategies Monthly. Its authors include Sam Greenholtz, John Griffin, Eric Lampland, Mark Lutkowitz, and David Gross.

Telecom Pragmatics is an independent research firm specializing in telecommunications markets and related technologies since 2003.

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