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« Really? No kidding?Won't happen »
This is a sub-selection from Bell System
sonicmerlin
join:2009-05-24
Cleveland, OH

sonicmerlin to elray

Member

to elray

Re: Bell System

said by elray:

said by IowaCowboy:

But as a competitor, if Google can and is willing to provide better service than the incumbent provider, then people will vote with their wallets and choose the provider that serves them best. I would gladly take FiOS if it were available in Western Mass and I'd even pay VZ their hourly rate to wire my unit as it is a duplex (MDU in their world but our building is wired like two single family houses with Comcast).

Where FiOS is available, >70% of the people vote with their wallets and choose not to buy it. Google will have similar to worse results if they don't offer a more cost-effective product for the consumer.

The "uncompetitive" / "non-upgraded" (as Karl likes to call them) markets are so, because the majority customer base is unwilling to pay for anything better. How is Google going to turn a profit, ever?

They're uncompetitive because of the high barriers of entry and impossibly long RoI period.
TheRogueX
join:2003-03-26
Springfield, MO

TheRogueX

Member

It's only an 'impossibly long' RoI period because investors in the US are myopic and think anything more than 90 days is too long to wait on it.
prairiesky
join:2008-12-08
canada

2 recommendations

prairiesky

Member

said by TheRogueX:

It's only an 'impossibly long' RoI period because investors in the US are myopic and think anything more than 90 days is too long to wait on it.

For an investor its about risk. Theyre risking their money over a long term for the hope that they make money. If you had a million bucks to invest and had to choose between 2 companies. One that would return your money over 3 years and another that would return it over 10. Which would you choose. The effects of competition dont just affect the consumer market, they affect the business markets aswell. If the big companies want investors they have to supply an ROI that competes with others.
« Really? No kidding?Won't happen »
This is a sub-selection from Bell System