Google Buys One City's Entire Fibre Network, Worth $39 Million, For $1

When Google announced it was rolling out a fibre network in Provo, Utah, it wasn't clear how or why it had chosen the city. Turns out Google has managed to secure a deal to buy its entire municipal fibre network -- which cost $US39 million to build -- for just a single dollar.

The deal, expected to be approved early next week, will be the first time Google has taken over a fibre network rather than building its own, reports AP. Provo will continue to pay off the -- rather large! -- loans for the network's construction, but it will be controlled by Google.

For years, Provo households have paid $US5.35 a month for the network whether they use the internet or not. Now, after paying a $US30 hookup fee, that monthly payment will snag them Google's basic internet package. Amusingly, the Google-Provo deal contains a get-out clause: Google can sell the network back to the city for $1 if things go wrong. The hope is they don't. [AP]

Picture: AP