Google Controls More Network Fiber Than Any Other Organization

Thought-provoking post from ICringely.

“Soon we won’t be able to live without Google, which will have marginalized the ISPs and assumed most of the market capitalization of all the service providers it has undermined – It’s a grand plan, but can Google pull it off? Yes they can”

I’ve been speculating about this of late, too. It seems like the obvious thing for Google to do. If they paid so much for Youtube, and there is a video bandwidth crunch approaching, then it doesn’t take a rocket scientist to guess what must happen next.

A threat to Google’s business model is the availability of bandwidth. Even if delivering video turns out to be a red herring, Google must ensure delivery for the rest of their services, especially when competing against other content providers for the same high-speed pipe.

In this recent interview with David Eun, Googles VP of Content Partnerships, Google claim internet video is still too early to call: “….frankly we don’t know exactly how the online video space is going to go. It’s still very, very early and the entire market is, depending on which analyst you use, is a $200 million market, which is still very, very small”.

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