As competition escalates between Google Fiber and Internet service providers in the Kansas City area, consumers will definitely benefit with faster download speeds and cheaper monthly bills.
Specific to the Kansas City area, one consumer’s recent account with Time Warner seems to indicate that the Internet service provider is definitely feeling the heat from the Google Fiber project. Detailed this week on The Consumerist, a current Time Warner Cable customer in the Kansas City area was recently notified that the basic TWC Internet package in the area was being upgraded from 10Mbps download speeds to 15Mbps. In addition, the cost of the basic package dropped from $45 down to $30 a month and that promotional rate is expected to last for nearly two years. Regarding timing, the promotion has been rolled during the Google Fiber launch in various areas around Kansas City.
By comparison, the basic package on the Google Fiber network would cost a consumer approximately $25 a month for twelve months and reach download speeds up to 5Mbps. However, the consumer wouldn’t have to pay for Internet service anymore after playing the $25 fee for twelve months or an upfront fee of $300.
The next step up provides significantly increased download speeds, but costs the consumer approximately $70 per month. With the promotional rate, Time Warner has strategically positioned monthly costs to appeal to a customer that wants increased speed, but doesn’t want to pay $70-a-month to get faster download and upload speeds. It also allows Time Warner to compete with the $120 Google Fiber plan when it comes to bundled TV packages.
According to the Washington Post, telecommunication companies within the Kansas City area have started to bid against Google for contracts to outfit businesses and other buildings with hardware that will provide similar speeds to Google Fiber. When asked about the effectiveness of the Google Fiber platform within the business community, Kansas City assistant city manager Richard Usher stated “This is exactly what we hoped would happen. More home-sprung businesses. More competition. In that way, Google’s project is a success already.”
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