Google Expands Fiber Into Utah Through iProvo Acquisition

Posted Apr 18, 2013

Earlier this month, Google said that they would be launching Google Fiber into Austin, Texas.  Prior to expanding into Austin, Google Fiber was started in Kansas City, Kansas and Kansas City, Missouri. Now Google will be coming to Provo, Utah as the “third Google Fiber City.” Google is expanding into Utah through an acquisition.

?In order to bring Fiber to Provo, we?ve signed an agreement to purchase iProvo, an existing fiber-optic network owned by the city,? said Google in a blog post. ?As a part of the acquisition, we would commit to upgrade the network to gigabit technology and finish network construction so that every home along the existing iProvo network would have the opportunity to connect to Google Fiber. Our agreement with Provo isn?t approved yet?it?s pending a vote by the City Council scheduled for next Tuesday, April 23. We intend to begin the network upgrades as soon as the closing conditions are satisfied and the deal is closed.?

The city of Provo approached Google 18 months ago about selling its network. Google is going to buy the network for a $1 nominal fee in exchange for upgrading the existing network and connecting the remaining two-thirds of homes that are not yet wired to it.

Google will provide a free lower-speed tier of Internet connectivity to all residents for the first seven years and provide free gigabit Internet connectivity to 25 public places like libraries and schools. Taxpayers in Provo will have to make $3.3 million in bond payments on the system every year for the next 12 years and Google will own the network, according to the Salt Lake Tribune.