Two analysts at Sanford Bernstein published results yesterday of a survey of Google Fiber neighborhoods they commissioned in Kansas City. They state that Google is seeing 75% take rates in higher income areas and 30% take rates in lower income neighborhoods between their pay 1Gbps internet/TV service and free 5Mbps internet offering. The analysts believe Google is on track to hit a 40% penetration rate overall for their pay services and 50% within 3-5 years. This is a significant penetration rate seeing as how Google is new to the market with many competitors.
Sanford Bernstein believes Google Fiber is not an experiment and could very well be a significant broadband threat throughout the U.S. They feel there is a 50/50 chance that Google expands their fiber offering to pass 30mm homes over the next few years.