Back to Blog • Posted on June 24, 2014 by admin
Google Fiber, which offers 1Gbps internet service, may be teaming up with major carriers to offer wireless internet service. Rumors have claimed that Google is in cahoots with Verizon to offer mobile phone services. Google would then become a Mobile Virtual Network Operator (MVNO). They would rent the other carriers’ pre-existing networks and offer free WiFi hotspots, but only in the cities that offer Google Fiber.
With Verizon’s strong network, Google would be able to offer wireless access as an additional service to Fiber subscribers. This move would also give Google an in on the smartphone market, and it could use this in to push its Android presence even further. While these rumors only suggest that Google is in talks with Verizon, it could jus as easily approach AT&T with the same deal.Google Has Big Plans for Mobile
What would be the consequences of such a play? With a widespread and inexpensive wireless service being offered through the largest wireless providers in the United States, Google would theoretically be able to pull customers from smaller networks. This move would let Google put more of its apps in the hands of more people.
Google has already made moves in the cell phone arena. For instance, Google Play sells unlocked phones, so people can purchase a phone before choosing their carrier. Though there is no direct threat to wireless carriers now, there is nothing to stop Google from, say, erecting its own cell towers and out-pricing the wireless carriers.
Though Google can currently walk all over the landline ISPs, it can’t play games with the wireless carriers…yet. If Google effectively teams up with AT&T and Verizon, the two largest wireless carriers, that will also mean that Google has taken out the two largest cellular competitors. Google could offer massive speed upgrades at low prices, and they could become a big danger to the companies they are now cooperating with.
Google is certainly in this for the long haul. Only time will tell what their real goal is. And though this plan will not pay off any time soon, it will give Google a very big foothold in a very large cellular market. As Google rolls out into more cities around the country, we could be seeing big changes in wireless data plans.