GigaPower costs $70 per month in Google Fiber markets; $110 per month in areas where Google Fiber doesn’t have a presence
After announcing the availability of its GigaPower 1-gigabit-per-second Internet service in new metro markets, AT&T is getting called out for charging less for the service in markets where the carrier is in direct competition with Google Fiber, an equivalent service.
On Sept. 28, AT&T announced the new offering was available in Orlando, Fort Lauderdale and Miami, Fla.; along with San Antonio and New Braunfels, Texas; and Gary, Ind. On Sept. 29, AT&T announced the launch in Nashville, Tenn.; Atlanta; and Chicago.
Google Fiber is coming to San Antonio, Atlanta and Nashville, Tenn.; it’s only up and running in Austin, Texas; Provo, Utah; and Kansas City, Mo., although many other cities are being considered for the deployment.
Let’s look at Atlanta. In that market, GigaPower packages start at $70 per month. Move over to Chicago, and the same GigaPower package costs $110 per month. For $80 per month, AT&T customers get 300-megabit-per-second data speeds.
Watchdog pub Consumerist called the No. 2 carrier out for the difference.
“That’s correct: $10/month more for slower access,” Consumerist stated. “If you want the full gigabit access available from AT&T in these markets, you’ll have to pay $110/month, more than a 50% price increase from the other areas. The obvious link [among] the cities with the lower rates is that they are all currently being built out by Google Fiber, which charges, you guessed it, $70/month for gigabit broadband. The fact that AT&T believes it can charge $40/month more just because no one else in a market is offering a comparable service only underscores the need for increased competition in high-speed broadband service. When more companies are selling comparable services, no single operator can dictate what consumers should pay.”
