Alphabet, the company that owns Google, announced a new venture in 2010 to install fiber lines carrying high-speed Internet signals. It was such a thrill that cities competed to be the first to get Google Fiber. But now the company is transferring Fiber employees to new divisions and appears to be slowing its expansion so it can tinker with the technology.
The news was first reported by Wired and confirmed by the company.
That doesn't mean Fiber is going away. The division will continue to service current customers and plans to complete fiber installations in other cities where it has already announced projects, a Google spokesperson told Barron's Next. The division that oversees Fiber, known as Google Access, recently hired a new CEO and is now focusing on "making deployment more efficient and intrusive."
It's a testament to the difficulty of installing new infrastructure involving government permits and shovels. Those projects take a long time, and don't always pay off. And that gives large cable companies like Comcast and Verizon an inherent advantage.
Google is focusing on better ways to spread wireless signals, looking at "micro trenches" that allow it to dig much shallower trenches and special antennas that can transmit wireless signals using existing infrastructure.
Google Fiber remains a potential threat to the big cable companies, but until it gets easier to roll out wireless to the masses, cable appears to be safe.
Big Picture: Google has been transferring employees who work at Google Fiber to new projects, as its ambitions for the project change.
BY Dow Jones &Company, Inc.— 2:45 PM ET 02/17/2017 Reference - Barrons.com