Phoenix joins Tempe in approving Google Fiber agreement

Phoenix became the second Valley city, joining Tempe, to approve a license agreement for Google Fiber, a super high-speed Internet and television service.

Phoenix City Council unanimously approved a license outlining access to city streets and right of ways to build and maintain the network, as well as several operation requirements. It’s the next step in a process that started last year when Google showed interest in expanding to the three cities.

Google has not committed to expanding its gigabit Internet service to the region, but cities are beginning to lay out the welcome mat. Scottsdale likely will consider a similar action and already approved the Internet behemoth's use of city land to build "fiber huts."

Google Fiber offers speeds up to 100 times faster than basic service, according to the company. The network is already available in a few cities, including Austin and Provo, Utah.

The Tempe City Council approved a license agreement with the company earlier this summer.

Phoenix council members said the technology — and the competition it would create between existing providers — would help boost the city’s economy.

“That is nothing but a great thing for our city and our region,” Mayor Greg Stanton said.

The agreement includes a non-discrimination clause and customer-service requirements, such as agreeing to work with the city to address resident complaints. Google would pay 5 percent of its gross cable television revenue to the city and carry city access channels.

Google’s application for the license did not include information on potential service areas, rates or projected number of subscribers because the company is still in the “exploration stage regarding its possible expansion to Phoenix.”

Council members stressed the need for fair treatment of existing Phoenix providers Cox Communications and CenturyLink. The council's vote means both will have the opportunity to renegotiate their licenses with the city.

CenturyLink already met with the city about its agreement, spokesman Mark Molzen said in an e-mail. The company offers fiber-optic service in parts of the Valley.

Cox Communications began providing gigabit Internet to residential customers in the Valley last year, including parts of Phoenix. Southwest Region General Manager John Wolfe said in a statement that the company expects Phoenix to ensure all licensed services follow the same regulations.