Google Fiber move signals higher prices for basic plan

Google Fiber has eliminated its free-after-installation, basic Internet offering in Kansas City, signaling increased price models for Nashville and other markets.

Instead of a one-time installation fee of $300 for 5 megabit per second speed Internet, Google Fiber is offering a $50 monthly rate to new customers for 100 megabit per second service. Google Fiber in Atlanta, a new market, offers a similar option, with gigabit speed priced at $70 a month and $130 for TV and Internet.

The new prices narrow the gap between Google Fiber and its competitors, one of Google’s big selling points, but it still remains either on par or below, depending on the service.

AT&T drops fiber prices to Google Fiber levels

Comcast offers Internet for as low as $50 a month for its 10 mbps service or as high as $130 a month for 150 mbps. Its 2 gigabit speed offering, available to some Nashville homes, is $299 with a promotional rate of $159. The company has not listed the price of its modem gigabit speed technology.

AT&T offers Internet for $42 at speeds of 3 mbps and $87 a month for 75 mbps. AT&T’s GigaPower fiber begins at $70 and is at least $120 for TV and Internet.

Google Fiber declined to share price plans for Nashville or any timeline on when it would be rolling out service. Construction began in the Nashville area in May 2015.

New Comcast gigabit Internet coming to Nashville

Google Fiber's free-after-installation model made the basic Internet more affordable for low-income families. For those in Kansas City areas with low Internet usage, the cost will increase to $15 a month for 25 mbps, according to The Kansas City Star. The pricing puts Google more in line with Comcast’s Internet Essentials offering for Nashville area low-income families, which costs $10 a month, but for 10 mbps.

Google confirmed that the federal ConnectHome initiative, led by the U.S. Department of Housing and Urban Development, will still include free gigabit Internet to subsidized housing units that gain Google Fiber access. The program is underway in Nashville and other markets to boost Internet usage at home through free or low-cost services and through digital literacy programs.

Reach Jamie McGee at 615-259-8071 and on Twitter @JamieMcGee_.