Consultancy Sees Move by Google as Prodding FCC

WASHINGTON, February 12, 2010 – Google appears to be prodding the Federal Communications Commission to go big on broadband, says a new telecom update out from consultancy Medley Global Advisors.

“That prodding could translate into any number of policy shifts in the
future. Whether 1-gigabit-per-second broadband networks will become the new normal remains uncertain,” reads the report.

The update, “Google as Policy Provacateur,” notes that the communications giant’s recently announced broadband initiative to bring ultra high-speed connections to some locations serving up to 500,000 people comes as the agency is putting the final touches on the national broadband plan due to Congress next month.

“The broadband blueprint, though neither self-executing nor enforceable, will nonetheless serve as a launching pad for a series of rulemakings that, among other things, attempt structural reforms of the universal service fund, special access, intercarrier compensation and spectrum,” according to Medley Global.

The consultancy added that it does not believe that Google’s move signals a shift to join internet service providers like Comcast, Verizon and AT&T.

“The broadband market, dominated by telephone and cable heavyweights, is not at risk of being destabilized anytime soon,” says the consultancy.