Monday, January 22, 2007

All your future belong to Google™


Very interesting article about you, the future, the internets tubes and Google™.
I spoke recently with an old friend who is a bandwidth broker. He buys and sells bandwidth on fiber-optic networks around the world. And he told me something that I found not completely surprising, but I certainly hadn't known: Google controls more network fiber than any other organization. This is not to say that Google OWNS all that fiber, just that they control it through agreements with network operators. I find two very interesting aspects to this story: 1) that Google has acquired -- or even needs to acquire -- so much bandwidth, and; 2) that they don't own it, since probably the cheapest way to pick up that volume of fiber would be to simply buy out any number of backbone providers like Level 3 Communications.

Google loves secrecy. That they've been acquiring fiber assets hasn't been a secret, but the sheer volume of these acquisitions HAS been. Why? One thought is that it kept down the price since people didn't really know it was Google snatching up this stuff (they've done it under a number of different corporate names). But if price was the issue, then why hasn't Google just bought the companies that own the fiber? It made no sense until I scratched my head and thought a bit further, at which point it became obvious that Google wants to -- in its own way -- control the Internet. In fact, they probably control it already and we just haven't noticed.

Cringely has written about Google™ in the past and is usually right about what he sees happening next with them. The folks there are very smart and often beat out competitors who don't even seem to be in competition with them. In other words, they decide what the game is and what the rules are.

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