AT&T Inc. (NYSE:T) and Comcast Corporation (NASDAQ:CMCSA) have introduced 1 gigabit speed internet in Atlanta ahead of Alphabet Inc (NASDAQ:GOOGL) Google Fiber.
Google left in the dust
Google has been spreading its superfast 1 gigabit internet to more cities, but the process has been taking a lot of time. AT&T and Comcast are taking advantage of this by launching their own 1-gigabit internet in Atlanta where Google Fiber has not yet been made available. AT&T is already signing up new customers to its service.
Google Fiber is currently available in four markets, and the telecommunications companies are employing tactics to keep their customers from shifting to Google’s superfast Internet including offering faster connections and lower pricing. Comcast started testing out its gigabit speed internet in Atlanta earlier this year. The company plans to launch the service later this year, and it will be rolled out in Miami, Detroit, Chicago and Tennessee.
AT&T plans to spread its service to 36 cities, and this will help it maintain the lead as the gigabit broadband leader in the country. Analyst Kamalini Ganguly from a research firm known as Ovum stated that the gigabit sector has become more competitive and as a result it has become tougher for Google. The analyst also revealed that Google has less than 100,000 subscribers in the four cities where it launched the gigabit service. The tech giant requires more people so that it can sell ads through the service more effectively.
AT&T currently offers its gigabit service in more than 20 metro areas, and it already has more than a million subscribers to the service. The telecommunications company, therefore, has the upper hand over Google. A monthly subscription on Google Fiber costs $70 while Comcast offers lower speeds but its internet package is bundled with 80 TV channels at a monthly fee of $80. Most people with the Comcast package stated that they do not need to switch to Google because Comcast offers them a great deal.