Any one here with the expertise in this area to chime in and help me, and potentially others, understand if this Google proposition could have a meaningful reflection on our UBNT investment. Similar space? Direct competition? No bearing?
I read nearly every word of discussion here on Saul’s Board. (great going and thanks Saul!) I don’t have a lot to offer in analysis as I am still learning how to study and value companies. I sure have benefited from the veterans on this board. What a great clan among Fooldom.
Google is definitely playing around in one of UBNT’s target markets as UBNT wants to provide wi-fi and enterprise networking services to small and medium sized businesses. I don’t know if anyone knows what the impact will be on UBNT. There isn’t any mention of which equipment Google is going to use - for all we know, they could be marketing UBNT equipment. Even if they aren’t, there is plenty of room in this market so it may not have a significant impact at all. It could also raise awareness that there is very cost effective networking equipment out there, which many SMB owners may not know because they’re too focused on running their business.
I’m sure Pera is aware of this - he’s a pretty sharp guy.
Google is definitely playing around in one of UBNT’s target markets as UBNT wants to provide wi-fi and enterprise networking services to small and medium sized businesses. I don’t know if anyone knows what the impact will be on UBNT. There isn’t any mention of which equipment Google is going to use - for all we know, they could be marketing UBNT equipment.
This article seems to indicate Ruckus maybe the partner which is also a RB pick that has not faired so well lately. I hold some as well as UBNT so don’t mind it either way
The source told me that he couldn’t provide a timeline on when Google would launch its business Wi-Fi services – The Information said it could be as soon as this summer – but was able to confirm Google for now isn’t working with any other Wi-Fi equipment vendors besides Ruckus on the project. That could change by launch, but while big companies like Cisco System and Ericsson and small outfits like Aerohive and Cloud4Wi are working on similar technologies, none of their equipment is interoperable. If Google wants to create a single unified network, it may well have to go with a single Wi-Fi equipment maker.
Of Course… all just speculation
I think if you read further down in the article that JDC provided you will see this.
Google will offer the service to businesses for free as long as they agree to join its public network, though businesses will have to supply their own broadband connections.
Hotspot 2.0 will have a big role to play in the network, connecting smartphones and tablets automatically and securely to any Google-powered access point, much like they would connect to their mobile carrier’s 3G of 4G network.
Google will be able to provide analytics to businesses about consumers that use networks, separating out location-specific information from the data collected by the virtual network as a whole.
Google, however, will not sell Wi-Fi equipment directly to businesses as The Information suggested. Instead businesses will be responsible for supplying their own Wi-Fi access points, the source said. That means many businesses will have to replace their existing Wi-Fi gear; today Ruckus’s virtual controller only works with Ruckus access points.
So Google is going to provide analytics on your own broadband connection that your customers will be using and then let you see the data. Plus you will have to buy equipment from a vendor that they approve? I don’t know but I would think that most business’s will go for that but if they do then I would think that google would have to make it work with any WI-FI gear provider so that the business’s could pick their own equipment. I don’t think UBNT has anything to worry about.