Re: Just wondering
Either way, right now they seem to be $6m down on the deal - now, maybe that $720k will continue in future years and eventually recoup that, but that's years away.
"did it take them five years to payback the initial capital investment?"
They haven't, yet: they're still carrying a $6m hole!
I love the idea of more broadband investment in general, particularly when it breaks a monopoly, but having the government running a business at a loss leaves a nasty British Leyland taste behind. Let's hope they have a solid plan to recover the other $6m in a reasonable timescale, while also delivering a decent service to customers: that, I'd very much support.
Personally, I'd have gone after the likes of Comcast strongarming Netflix using antitrust legislation (given the obvious conflict of interest between a cable TV company also providing access to a streaming TV provider) rather than fall into "regulating" ISPs more overall.
One interesting angle, though, is Google's take: apparently being a "regulated utility" would actually benefit them, because then they'd have the right to use public rights of way for their wiring, in the same way the phone, cable and power companies do now. I wonder how the regulatory overhead might hit small ISPs though? Of course Google (and AT&T, Comcast and governments) can just go and take on another dozen lawyers/accountants to deal with it all, but might little local operators get squeezed by this?