Google is scaling back on its Fiber service to the extent that layoffs are imminent.
Google Fiber is cutting roughly nine percent of its staff — 130 employees — and is scaling back its ambitions to take the high speed Internet services nationwide, according to a report from Bloomberg.
Craig Barratt, CEO of the Access unit that includes Google Fiber, said Google is halting rollout in the cities where construction has yet to begin. The decision affects Dallas, Jacksonville, Los Angeles, San Jose, Oklahoma City, Phoenix, Portland and Tampa.
“In terms of our existing footprint, in the cities where we’ve launched or are under construction, our work will continue,” Barratt said in a blog post. “For most of our ‘potential Fiber cities’ — those where we’ve been in exploratory discussions — we’re going to pause our operations and offices while we refine our approaches. We’re ever grateful to these cities for their ongoing partnership and patience, and we’re confident we’ll have an opportunity to resume our partnership discussions once we’ve advanced our technologies and solutions.”
Google’s new focus, apparently, will be on wireless technology. Access acquired Internet service provider Webpass in June in a bid to accelerate the expansion of its wireless delivery of high-speed Internet.
Webpass plays a large role in Google’s new plan.
“We have to continue not only to grow, but also stay ahead of the curve — pushing the boundaries of technology, business, and policy — to remain a leader in delivering superfast Internet,” Barratt said. “We have refined our plan going forward to achieve these objectives. It entails us making changes to focus our business and product strategy. Importantly, the plan enhances our focus on new technology and deployment methods to make superfast Internet more abundant than it is today.”
Barratt is also stepping aside as CEO of Access, although he said he would stick around as an advisor.
So far, Fiber has come to Atlanta, GA; Austin, TX; Charlotte, NC; Kansas City, KS; Kansas City, MO; Nashville, TN; Provo, UT; Salt Lake City, UT; and The Triangle (Chapel Hill-Raleigh-Durham), NC.
It is in the works in Huntsville, AL; Irvine, CA; Louisville, KY andSan Antonio, TX.
Webpass cities include Boston, Chicago, Miami, Oakland, San Diego and San Francisco.
Jennifer Cowan is the Managing Editor for SiteProNews.