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How long until someone starts crying "Google is racist!" ?
http://voices.kansascity.com/entries...ig-kc-victory/ I did receive some backlash Thursday for this tweet: “Good #GoogleFiber: more speed. Bad #GoogleFiber: it’s for rich neigborhoods (pls. don’t pretend otherwise).” That prompted some followers to make these points. • Early adopters often pay more in technological breakthroughs (says the guy who spent $1,000 on a VCR in 1980). • Google’s service will still be price competitive - and offer better speeds - than current providers. Conceded. However, Google’s own website showing which neighborhoods (I’m sorry, “fiberhoods”) were signing up for the service on Thursday and early Friday showed a predictable pattern:The more educated, middle- to upper-income neighborhoods in southwest KC and in midtown were signing up for first crack at the service. Meanwhile, the neighborhoods without as many computers and without the income to afford the $70 or $120 proposed monthly charges for Google Fiber were signing up at far slower rates |
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Like clockwork : ) |
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Once they get a significant market share, they can leverage their position in the market any number of ways. |
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The free option is brilliant. People aren't going to change providers unless it's significantly cheaper or significantly better, and as much as people complain about TWC, I don't think a $70/month or $120/month option is going to persuade people to make the switch... Google's "free" option is significantly cheaper than TWC in the long run, it lays down the infrastructure to make money in the area in the future. And unlike TWC's old infrastructure in areas like downtown KCMO (where I've heard from several people that TWC absolutely sucks), Google's infrastructure supports much better service.
TWC may not be losing sleep over the $70/month and $120/month options... at least not right now. However, I'm sure they're shitting their pants when thinking about all of their customers who currently pay $20-$30 month for internet. |
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Also, you can advertise as "Google Fiber Ready" when you want to sell your house. When you discontinue service with a cable modem or DSL, the ISP reclaims the equipment to resell to the next occupant. |
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$70 for internet just isn't going to appeal to the average person only the heavy internet users are going to go for it. The rich people with more money they they need with get it just for kicks, of course. $50 would of been a more competitive introductory price imo. It's not about the speed, it about the price. JMO the $300/5megs for 7 years is going to be a huge draw though |
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Have you priced ISPs out recently? The going rate for high speed is anywhere from $30-60 ish for the 2-5mbps or so range. Google Fiber is offering ~120mbps for $70. And you think that's not competitive? |
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