Google Fiber Optics Networks

I follow various Google activities and I rely on many Google services for building my website:

I thought it would be interesting to look at Google's activities in Fiber Optics Networks. This may be yet another step in Google becoming the ultimate one-stop brand of all time.

In December/2010, Google completed a $1.77 billion purchase of a Manhattan real-estate property at 111 Eighth Avenue. Since 2006, Google has been a tenant of that building prior to the acquisition which has been reported as the single biggest real-estate transaction of 2010 and the largest acquisition by a tenant.

The deal will give Google one of Manhattan's largest buildings as well as easy access to the fiber optic cables that run below the nearby city streets. Google had announced plans and activities almost a year ago to build fiber optics networks to challenge the carriers such as AT&T, Verizon and Comcast. The fiber optics services will enable delivery of services at Internet access speeds of more than 100 times faster than the current services offered by the carriers.

The plan is to offer fiber optics to the home with 1-Gbps access speed which would enable video gaming applications and streaming high-definition video, with readiness for future 3-D video applications.

In the Hot Technology Stocks article, it was shown that Netflix stock is doing very well with its video rental and streaming video services. This is a lucrative and hotly contested service by many players. With streaming video, the carriers are looking for a piece of revenue and want to impose bandwidth usage limits along with usage based billing.

As Google continues to experiment and roll out various Internet services such as Google TV, YouTube videos, gaming applications in general - all with high-definition video at its core, and if it owns the fiber optics infrastructure to the home, the other carriers will be cut out of revenue opportunities altogether. Google could even get into the ISP business, no longer needing to negotiate with carriers who own the "last mile" connection to the home. This may be a method for Google to finally monetize YouTube videos on a greater basis than current advertising revenues in YouTube videos as well as to enable its Internet services expansion.

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