Google Funds Startup to Bring Cheap Satellite Internet to 3 Billion People

New company will use unique scheme to dramatically cut costs, deliver high speed internet to remote locations

While over 80 percent of Americans are online, broadband adoption is growing slower than expected. The problem stems from the fiber optics business. Buoyed by high demand and exuberance, fiber optic companies laid down high speed cables across the oceans to support the data demands of hungry 3G and cable internet networks.

After these cables were laid the demand slacked off predictably, leaving the fiber optic companies with little revenue and high debts. Many were bought up by larger companies and consolidated. In the aftermath, over 3 billion people were left without access to high speed networks and new installations reduced to a crawl. The only alternative was geosatellite, which costs a whopping $4,000 USD per megabit per month.

Read more: dailytech.com