Friday, April 16, 2010

Google: 3 Big Telcos Reach For Their Guns

"Earlier this week the Financial Times reported that Deutsche Telekom, Orange Group and Telefonica had mounted a joint assault on Google, accusing YouTube of taking ‘a free ride’ on telcos’ networks. The argument is that with the immense growth of video traffic on networks that the internet giant should be helping to alleviate the costs, and that this might in some way help the media industry too. Are they blindly pursuing self-interest, or are there more sophisticated business model options available to them in supporting online media?"

Forgive me, but a stupid question. The customers of these grasping incumbents are paying to receive, including Google/YouTube, and their suppliers should do their job. Suspicions about this confirmed by the "if we don't get more money we won't invest" malarkey.

PS. If any customer is getting their network service for free, please advise.

in reference to:

"“There is not a single Google service that is not reliant on network service… We cannot offer our networks for free.”"
- Telco 2.0: Google: 3 Big Telcos Reach For Their Guns (view on Google Sidewiki)

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