3 Reasons Why Comcast Corporation (CMCSA) Internet Won’t Beat Alphabet Inc (GOOGL)’s Google Fiber

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Comcast Corporation (NASDAQ:CMCSA) might be entering your town  with its Gigabit Internet ahead of Alphabet Inc (NASDAQ:GOOGL)’s Google Fiber. Six months ago, the search engine giant disclosed that it was providing access to its high-speed Internet to public housing residents. The alliance between the Department of Housing and Urban Development, the White House and the company enabled cheap internet services to at least 27 cities in the United States. However, there are, at least, three reasons that the cable firm might face to topple the search engine firm.

Installed First DOCSIS 3.1 Modem

Last week, Comcast Corporation (NASDAQ:CMCSA) disclosed that it installed DOCSIS 3.1 modem, its first, on a network of customer’s place in Philadelphia. That enabled to kick-start the trial of its fresh and ultra-fast Internet service. The specification was a backward compatible and meant to perform in the company’s current fiber-coaxial network only offering gigabit down speeds.

The cable firm’s EVP and CTO, Tony Werner, said that all that it required was a fresh modem, as well as, a software upgrade to the gadget, which offers services to the neighborhood besides some good engineers. However, this was just opposite to Alphabet Inc (NASDAQ:GOOGL)’s Google Fiber that also provider gigabit speeds. But, it required a fresh cable connection to the houses of its customers.

Three Reasons

Comcast Corporation (NASDAQ:CMCSA) had plans to rest a fresh gigabit technology in several houses in the upcoming months so that it could deploy it to its customers extensively. However, that might not happen immediately as the company disclosed that it would commence the new offering of gigabit-speed service by the end of the next year. It was conducting trials in several places like Atlanta, Georgia, Northern California, and Pennsylvania.

Alphabet Inc (NASDAQ:GOOGL) Google Fiber’s upcoming service would be different from Comcast Corporation (NASDAQ:CMCSA)’s Gigabit Pro. The cable firm brings in 2 Gbps Internet speeds. However, the issue is that it would work only in close proximity to the company’s fiber network. The second reason is the cost per month, which is $300 a month. The third reason is the likely delay and shocking installation or activation fees.

Viraj Shah

Viraj Shah has completed M.Com (Finance) and is currently pursuing his CFP. He tracks US markets along with other global markets like India very closely. He is very passionate about stocks, real estate, and technology. He also believes that money can always be made in the market.

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  • Inerax

    Upgrading existing customers from docsis 3.0 to 3.1 is a very cheap upgrade compared to running fiber to each home. If Comcast can truly achieve 1Gbps up and down they could be a real contender to other fiber solutions.

    3 reasons why they wont beat google (at least right now)?

    1. Bandwidth caps… 1Gbps internet can destroy your cap in less than an hour. Get rid of bandwidth caps. Will attract many more customers.

    2. Customer service… Holy shit its bad. Thing customer first, not lining your pockets first. How does google, apple and others provide such great service? They empower their employees to make the right choice for the customer and do not reprimand them for doing do.

    3. Price….. $70 for google fiber 1Gbps up and down. Why charge SOOOOO much more for the same thing. Internet is internet… Even FiOS charges too much for their 500/500 package and it limits their customer base….

    Those are the 3 reasons that should be listed as to why Comcast will not beat Google Fiber… At least for now.

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