Boston, MA 08/20/2014 (wallstreetpr) – Provider of telecommunication services AT&T Inc. (NYSE:T) had joined the race with search engine giant Google Inc (NASDAQ:GOOGL) to provide some of the fastest Internet speeds for the residential users in Silicon Valley, a technology epicenter in the U.S.
Approval To Start Work
AT&T Inc. (NYSE:T) has been accorded approval to start work on its Internet service of GigaPower fiber-optic-based from Cupertino, California, Bloomberg reported. However, the commencement of services would take several months though Cupertino would be the first city to get the company’s 1-gigabit-a-second service.
AT&T Inc. (NYSE:T) was also exploring plans to launch services in three more cities of Silicon Valley apart from Cupertino, which was the hometown of renowned and innovative technology bellwether Apple Inc. (NASDAQ:AAPL).
On the other hand, Google had already started offering its own fiber-based gigabit-speed connections two years back in Kansas City. The company had also added other cities such as Texas, Austin, Utah, and Provo. However, in California, the company does not have a matching offer. The internet speed assumed importance since 1K megabits a second would enable a user to download a digital movie within few minutes.
AT&T in Google’s Backyard
The telecommunication services provider was keen to take on Google Inc (NASDAQ:GOOGL) in its home turf by bringing in broadband connection and through the planned action of DirecTV for $48.5 billion, which was under the regulators review on how the agreement would impact competition.
AT&T Inc. (NYSE:T)’s senior vice president of its U-verse Internet service, Eric Boyer, told Bloomberg that its latest decision to unveil and expand the network of GigaPower would go beyond the fiber plans of its rival. He added that wiring in Cupertino was not a big issue considering its presence there and Silicon Valley being the technology innovation hub.
The race between AT&T Inc. (NYSE:T) and Google Inc (NASDAQ:GOOGL) would also force others in the field to launch various faster Internet services to stay in the market.
