Project Fi by Google

Re:Project Fi by Google by warfangle on Wednesday April 22, 2015 @03:28PM (#9422941)

Not only that, but because it switches to the faster provider, and assuming that Project Fi pays out to providers based on percentage of service used, it's much more in Tmo/Sprint's best interests to upgrade their service - considering the switch to their competitor is automatic and based on quality.

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Re:Project Fi by Google by pyrocat on Wednesday April 22, 2015 @04:21PM (#9423285)

That's a pretty big assumption.

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Re:Project Fi by Google by Vraxx on Wednesday April 22, 2015 @04:37PM (#9423374)

Seems like a reasonable assumption to me. I doubt they pay a flat rate to all providers they borrow from with Google charging by the 100 MB.

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Re:Project Fi by Google by abandonliberty on Wednesday April 22, 2015 @06:18PM (#9423947)

Google consistently tries to increase competition and make both hardware and network owners into a commodity.

Meanwhile hardware and network owners madly fight to stay relevant, like the aggressive customization of Samsung's android Touchwiz or the various telecoms lobbying against net neutrality.

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Re:Project Fi by Google by shkkmo on Wednesday April 22, 2015 @11:12PM (#9424827)

I don't think that t-mobile and sprint are opposed to commoditization. The expansion of the commoditization of mobile access gives them new ways to compete against at&t and verizon.

The era of multi-year contracts and heavy device subsidies has primarily helped those with large market share maintain it. T-mobile in particular has been pushing to change how the market works and bring an end to some of the ways that customers have been locked in to carriers. I wouldn't be to surprised to seem them support further commoditization.

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Re:Project Fi by Google by darkmighty on Wednesday April 22, 2015 @05:55PM (#9423840)

Even then a good strategy for the networks would be to build capacity on crowded areas where infrastructure is cheap and neglect all other areas for the second carrier.

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Re:Project Fi by Google by Throwaway90283 on Wednesday April 22, 2015 @07:15PM (#9424170)

Upgrading their service is expensive. T-Mobile upgrades, then Sprint has to upgrade to compete, then T-Mobile has to upgrade again, then Sprint...

Instead what's going to happen, T-Mobile and Sprint both agree to offer the same performance, or focus on different regions.

It's like selling slices of pizza on the street. If you're smart, you and your competitor agree to sell at $5/slice. If you drop to $4, sure you'll get more customers for a short period of time, but then your competitor drops to $4, and now you both just cut 20% off your revenue for no reason.

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Re:Project Fi by Google by striking on Wednesday April 22, 2015 @07:47PM (#9424262)

Further reading: https://en.wikipedia.org/wiki/Nash_equilibrium

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Re:Project Fi by Google by javert on Wednesday April 22, 2015 @09:50PM (#9424591)

Technically, the pizza idea won't work, because more people will enter the market and compete on price. Doesn't apply for telecom since it's all monopolized and new competitors can't enter.

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