Terms of an agreement between Google Inc. and Provo, Utah, show the
company will pay $1 for a fiber-optic system that cost $39 million to
build. (Also see
: Google Fiber gigabit Internet headed to Provo, Utah
Even as Google takes ownership of the municipal network, Provo
will have to pay off loans for its construction for another dozen years.
officials say it's a good deal because the system hasn't been able to
pay for itself. They say Google will make upgrades and complete
connections to every home.
And Google Fiber will offer basic
Internet service at no charge for a $30 hookup fee far less than the
current $700 activation fee.
Provo households are paying off the
cost of the network with a $5.35 monthly utility fee, and city officials
say they'll get something for their money now. (Also see: Google Fiber: 10 things to know about the 1000Mbps Internet service)