Google Public Policy Blog: Small businesses and broadband access

Google recently launched a Google's Small Business Network in the hopes of building up grass roots support for the $7.2 billion that was provided by the ARRA (American Recovery and Reinvestment Act) for high-speed broadband. Now, most small businesses would tell you their biggest problem right now is with getting credit, not high-speed Internet access. And it's not at all clear that bringing high-speed Internet to rural American will generate signficant jobs. The Washington Post recently looked at what happened to two towns in southwest Virginia who got wired for fiber-optic cable. In Lebanon, VA two large companies set up operations and offered jobs to about 700 residents averaging around $50,000 a year. In Roseville, 140 homes were wired at a cost of about $5,000 per home. But less than 50 homes signed up for the service, which cost $49 per month, and only a handful of jobs were created.

There is no question that the broadband stimulus will directly help large Telcos and indirectly help Google. Could it be that Google's latest effort to organize small businesses behind the broadband stimulus is just a little self serving? Google's comments about its Small Business initiative are here on the Google Public Policy Blog.


Comments left by members of the network about how stimulus funds should be spent tilted heavily toward tax relief and small business grants.

Here are some examples:

A Meaningful Property Tax Credit for the Mom and Pop Small Businesses, those under $1M in revenue." (Tom K. of Largo, Florida)

"Stop the credit card companies from cutting our business credit lines so that we can continue to purchase products to sell." (ET of Los Angeles, CA)

"Do a LOT MORE to encourage small business. Why doesn't the administration do something to: encourage technical retraining, open more research money to small business, possibly through the SBIR program, encourage updating software/capital equipment" (Biff44 of Massachusetts)

"As a rural WISP I have customers waiting and no capital to purchase equipment to add them on. So what happened to all Obama's touted broadband funds for rural areas?? Thanks, but no thanks, I'll keep the dollars..the government can keep the change!" (Dragon of Kerr Lake, Virginia)

"Create a small business grant program where the business must add new employees to be eligible." (GeorgeH of New York, NY)

"Extend lines of credit to small businesses that have been established -- and have a track history. Since the credit crunch hit -- our lines of credit have been cut to nothing -- so, even when there's opportunity for us to grow - our hands are tied." (Todd W of Dallas, Texas)

"I have started a small business successfully with only internet sales and need to expand with a small business loan or grant. I am now using credit cards, due to being turned down for a loan. Small business startups need accessible local funding." (Tom of Signal Hill, CA)