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July 21st 2007
Why Google’s Bid for the 700MHz Spectrum Is Good for Them, and for You
Google has used its heft to attempt to impose conditions on the upcoming 700MHz auction. Its conditions include no limitations on the applications, services, and content that an end user can access, no handset lock-in, and a requirement to resell services over the network wholesale.
It almost doesn’t matter if Google ends up buying that spectrum, as long as its conditions are met. The company wins either way.
So would consumers.
1. The applications/content/services availability means wireless operators could no longer force consumers into today’s on-deck/off-deck fiasco. And access to Google’s products (present and future) would not be hampered by operator-laid roadblocks.
2. Wholesale resale allows many competitors to enter the market, even if they didn’t or couldn’t put up billions to buy a chunk of the spectrum. If Google doesn’t buy, it can always rent. And if it does buy, Google gets another revenue stream, this time as middle man. Consumers would have the opportunity to try competitive wireless services. If consumer-satisfying innovative companies can compete against huge entrenched competitors and win, that satisfied consumer wins too.
(via apophenic)
