Will Google Gigabit Internet Fiber go National ?

A local ABC affiliate confirmed last week today is to announce Google Fiber in Austin. The Google Fiber service offers gigabit Internet service for $70 per month and another tier that includes TV service for $120 per month.

In its last earnings call in January, CFO Patrick Pichette said “we really think that we should be making business — a good business — with this opportunity, and we’re going to continue to look at the possibility of expanding.”

Some analysts doubt that Google will move in the next few years to a full national rollout. If the Kansas rollout cost $94 million, then 20 million people would cost $11 billion.

However, Google would make about $100 million in each year from the internet service. If the margin was 50%, then each rollout would pay for itself after about two years.

1100 Cities competed for Google internet services. Those cities could choose to adopt the Kansas City rules that enable Google to more effectively deploy service.

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