The infrastructural ambitions of technology companies

Given the cash reserves (see below) and/or capacity to raise investment of each of these companies, as well as the practical challenge they face in expanding their markets, it seems likely these nascent infrastructural ambitions will only grow and grow:

Facebook and Microsoft are going underwater.

The two technology companies announced on Thursday they are to install an undersea cable from the east coast of the US to Spain to help speed up their global internet services.

Fast connectivity is particularly important to Facebook, which wants to encourage users across the world to broadcast live video and meet in virtual reality. Both activities can consume vast amounts of bandwidth.

The project marks yet another example where technology companies are assuming roles traditionally left to public utilities or the government, and until now undersea cables have traditionally been laid by telecommunications incumbents. Meanwhile, Google continues to expand Fiber, its high-speed internet program, Amazon.com effectively is building its own postal service, Uber is attempting to replace regulated cab companies and Facebook is bringing wireless internet to Africa.

https://www.theguardian.com/technology/2016/may/26/facebook-microsoft-internet-cable-underwater

Source: http://www.winbeta.org/news/5-tech-companies-including-microsoft-hold-500-billion-cash-offshore 

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