I've been quoted in this article:
To get access to content behind the WSJ paywall, go to Google News, type in the headline (Google Ramps Up Challenge to Cable) and then follow the Google News link.
Of course it's a short quote that only captures part of what I had discussed. My point in the phone interview with Amir Efrati (at the wsj) was that Google's KC fiber project is:
- a great political statement, showing what the duopoly could be delivering (if it weren't a monopoly or duopoly) and
- a great platform for Google to experiment with TV boxes, TV content licensing issues and consumer access services in general,
but it is not disruptive.
Because of the legal and regulatory structure of US access markets, we are stuck with one or a very few (usually 2) vertically integrated services. And even Google can't change that.
Until we get structural separation between the natural monopoly physical layer (dark fiber) and the potentially competitive upper layers, we will be stuck with a cable service provider monopoly or duopoly. Google's announcement of a vertically-integrated, cable TV-like set of services just proves this point.
Brough,
That is one thing that we have always agreed upon. The fiber is a natural monopoly at the physical layer with the upper layers being where the competition should be. Unfortunately, nost regulators and elected officials do not understand the concept or unwilling to act upon it. Good work.
Posted by: Donny Smith | July 27, 2012 at 12:42 PM