Coming Soon: Free Wi-Fi From Google’s Sidewalk Labs
Google’s latest startup wants to use technology to improve city life.
Google is about to hit the streets with Sidewalk Labs, a Google startup that will focus on developing new technologies to improve urban life. Billing itself as an “urban innovation company,” Sidewalk Labs was founded to tackle urban problems such as housing, pollution, energy consumption, and transportation with the goal of making cities “more efficient, responsive, flexible and resilient.”
The first project? In New York City, LinkNYC will replace aging pay phones with slim, aluminum pillars that provide free high-speed Wi-Fi. The hubs also will allow people to charge their mobile devices and look up directions on touch screens. Qualcomm will be the wireless provider
Related: Why Google’s Internet Balloons May Be a $10 Billion Business
According to the Federal Communications Commission, 17 percent of the population, or 55 million people, in the United States don’t have access to high-speed broadband. Sidewalk Labs hopes that projects like LinkNYC can help bridge that gap.
For the LinkNYC initiative, Google acquired and merged two companies -- Control Group and Titan -- into a new venture called Intersection, which aims to provide free, public Wi-Fi in cities around the world using such familiar urban infrastructure as bus stops and pay phones.
Related: Google Spends More Than Any Other Tech Giant to Influence Congress
Daniel L. Doctoroff, a former Bloomberg CEO and deputy mayor for New York City, has been tapped to head Sidewalk Labs. Doctoroff, who conceived the idea for Sidewalk Labs with a Google team headed by CEO Larry Page, told Wired, “The vision really is to make cities connected places where you can walk down any street and have access to free ultra high speed Wi-Fi. The possibilities from there are just endless.”
Just don’t give us any automated, self-driving taxis, please.
Chart of the Day: SALT in the GOP’s Wounds
The stark and growing divide between urban/suburban and rural districts was one big story in this year’s election results, with Democrats gaining seats in the House as a result of their success in suburban areas. The GOP tax law may have helped drive that trend, Yahoo Finance’s Brian Cheung notes.
The new tax law capped the amount of state and local tax deductions Americans can claim in their federal filings at $10,000. Congressional seats for nine of the top 25 districts where residents claim those SALT deductions were held by Republicans heading into Election Day. Six of the nine flipped to the Democrats in last week’s midterms.
Chart of the Day: Big Pharma's Big Profits
Ten companies, including nine pharmaceutical giants, accounted for half of the health care industry's $50 billion in worldwide profits in the third quarter of 2018, according to an analysis by Axios’s Bob Herman. Drug companies generated 23 percent of the industry’s $636 billion in revenue — and 63 percent of the total profits. “Americans spend a lot more money on hospital and physician care than prescription drugs, but pharmaceutical companies pocket a lot more than other parts of the industry,” Herman writes.
Chart of the Day: Infrastructure Spending Over 60 Years
Federal, state and local governments spent about $441 billion on infrastructure in 2017, with the money going toward highways, mass transit and rail, aviation, water transportation, water resources and water utilities. Measured as a percentage of GDP, total spending is a bit lower than it was 50 years ago. For more details, see this new report from the Congressional Budget Office.
Number of the Day: $3.3 Billion
The GOP tax cuts have provided a significant earnings boost for the big U.S. banks so far this year. Changes in the tax code “saved the nation’s six biggest banks $3.3 billion in the third quarter alone,” according to a Bloomberg report Thursday. The data is drawn from earnings reports from Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley and Wells Fargo.
Clarifying the Drop in Obamacare Premiums
We told you Thursday about the Trump administration’s announcement that average premiums for benchmark Obamacare plans will fall 1.5 percent next year, but analyst Charles Gaba says the story is a bit more complicated. According to Gaba’s calculations, average premiums for all individual health plans will rise next year by 3.1 percent.
The difference between the two figures is produced by two very different datasets. The Trump administration included only the second-lowest-cost Silver plans in 39 states in its analysis, while Gaba examined all individual plans sold in all 50 states.