Alphabet Inc. (NASDAQ:GOOGL) Fiber has reported that they are expanding again after a year of revamping.
The construction plans
Google Fiber provides high-speed internet services to home based users. Greg Fisher, the mayor of Louisville reported to a local newspaper this week that Google Fiber is finally underway. This is only one and a half years after Google announced that it will be bringing the services to Kentucky City. Google confirmed that the construction process was already underway.
Google said, “The start of constructing is an exciting moment for Google Fiber in Louisville. Building a new fiber network is a big job.” They added that they appreciate the continued patience as well the support the residents and the leaders have accorded to the company.
Major setbacks
The fiber services faced a setback last year hence halting its expansion in cities after its longtime CEO, Craig Barratt exited without being replaced. About 10% of staff was laid off as a result. It was until February that the company hired a new CEO, Gregory McCray who is a veteran in the wireless industry, amid speculations of further lay-offs.
Google may face further challenges as it exploits home internet services in Louisville. This includes a law suit by AT&T Inc. (NYSE:T) in a bid to block the city rules which allows new service providers to attach equipment on telephone poles owned by the plaintiff and other.
The law suit claims that the city does not have the necessary jurisdiction to impose pole attachment rules.
AT&T claims that it has already availed its own super high speed, internet service based on fiber optic to more than 50,000 locations in Louisville and the surrounding regions.
Areas offered
Currently the gigabit Internet service is available in about 9 metropolitan areas. These include Salt lake City, Kansas City, Austin and more. Google is seeking to expand Louisville; San Antonio, Ala. and Texas as the upcoming cities where the tech giant has committed to introduce the service. They have not yet begun serving the customers.
Google stock closed up $924.52 after a rise $33.08 or 3.71% on April 28, 2017.
