Google Inc. (NASDAQ:GOOGL) has come forward with many astounding innovations up till now, such as driverless cars, Project Loon etc. Rather the most intriguing of its projects full of ingenuity is its Glass initiative. This latter project revolves around an internet service fiber that can provide Internet services at an extremely fast rate. On the other hand, any other alternate internet service connection no matter how fast it might be wouldn’t come with the perks of Google Fiber. Therefore it is a hub of opportunities for future investors.
The rush around Google Fiber, with people fighting to lay their hands on it, is not without reason. The lightning fast connection speed is undeniably one of the pivotal reasons. But other than that, Fiber tends to be more reasonable in price as compared to other internet connection service provides who claim to offer more or less the same speed.
Net Neutrality on the Way
There has been an ongoing strife between the Federal Communications Commission and telecom companies such as Comcast (NASDAQ:CMCSA) and AT&T Inc. (NYSE:T). This strife has finally found its culmination in the chairman’s announcement. The chairman, Tom Wheeler, stated that net neutrality is about to make its way in. This net neutrality will rid all cable providers or other telecom service providers of the ability of selectively changing the internet connection speed which they provide to their users.
The on-going conflict between two leading companies, Netflix (NASDAQ:NFLX) and Comcast (NASDAQ:CMCSA), is the very example of discrimination that is being rampantly done between content providers. Netflix (NASDAQ:NFLX) consumers launched a report last year that while streaming their favorite Netflix shows or channels for that matter, they had to face connectivity issues as well as speed issues. The underlying factor behind this problem is that Comcast (NASDAQ:CMCSA) had been selectively altering the internet connectivity speeds. As a consequence, Netflix (NASDAQ:NFLX) had to pay an extra amount to Comcast (NASDAQ:CMCSA) so that it would stop doing so. Interestingly AT&T Inc. (NYSE:T) was also doing the same. However, this situation wouldn’t remain the same any longer since the chairman has claimed that net neutrality is on its way.
Implications of net neutrality on Google fiber
Google Inc. (NASDAQ:GOOGL) has fully supported this decision of FCC regarding net neutrality. Since Google Inc. (NASDAQ:GOOGL) is about to the enter the same arena as that of Comcast (NASDAQ:CMCSA) and AT&T Inc. (NYSE:T), so this naturally implies that it will want and consequently have access to telephone poles and other rights of way. Installing fiber isn’t going to be an easy task since it would require bursting open people’s property in order to lay down the network of pipes. Obviously, no one wants their property to be torn open. Moreover, since this whole project is going to require a whole lot of money, therefore this is probably one of the reasons why Fiber is making slow progress.
However, net neutrality means glad tidings for the company. It implies that Google (NASDAQ:GOOGL) would be counted in the same row with Comcast (NASDAQ:CMCSA) and AT&T Inc. (NYSE:T), and it would have access to the same benefits. Costs would be lowered effectually and if this net neutrality enables Google Fiber to have access to poles, then the world of Broadband is in for a great and positive change.
