July 20th, 2007
Google's open access challenge
You can have the money if you break the monopoly.
That’s the summary of Google’s proposal for 700MHz, as laid out in a letter from CEO Eric Schmidt to the FCC. Google will bid up to $4.6 billion for spectrum if it gets open access rules on it.
In a separate posting to the Google blog Chris Sacca (right) lays down “four freedoms” for the spectrum, which I’ve edited:
- Open applications: The same freedoms found on the Internet to download software, content, or services;
- Open devices: Devices must access any network consumers want.
- Open services: Fairness in wholesaling use of the spectrum to third parties.
- Open networks: Internet-type rules for connecting networks together.
All this idealism has a practical political point. Google aims to break the cellular oligopoly that has slowed the U.S. wireless industry throughout this decade.
Anyone who has dealt with AT&T, Sprint, T-Mobile or Verizon as a customer well understands how non-Internet “wireless Internet” access has become.
Since their wireless oligopoly is their primary source of profits, a successful move by Google could also force AT&T and Verizon to compete in the wired space, freeing more bits on their current networks, which are now being hoarded for pay TV services.
Taking down the telcos gives service providers, especially Google, a more level playing field. It ends the network neutrality debate as well, without the need for government interference. It drops the value of AT&T and Verizon stock, and may raise that of Google as well.
It’s clear the Bells hear what’s coming. Bell sockpuppet Scott Cleland (left, from a PBS appearance) is already writing regular anti-Google diatribes. He’s calling them anti-privacy, he’s calling them monopolists, he’s for breaking them up because they’re sort of evil, and he’s calling their supporters “surrogates.”
He’s practically calling them Bell companies.
The Bells know this is a life-and-death struggle. They know they can’t win in a truly competitive market. They will do everything they can to beat down Google.
Which just goes to show you how they hate open access, and how Google’s cause is yours.
Dana Blankenhorn has been a business journalist for 30 years, a tech freelancer since 1983. You can follow Dana on Twitter. See his full profile and disclosure of his industry affiliations.
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| 07/20/07
