Alphabet to halt Google Fiber rollout in 10 cities and lay off staff

Alphabet to halt Google Fiber rollout in 10 cities and lay off staff

In a Tuesday announcement, Google's parent firm Alphabet said that the rollout of its Google Fiber superfast Internet service in 10 US cities is being halted, and some employees are being laid off.

The company also revealed that Craig Barratt - the CEO of Alphabet's Access division and the executive in charge of Google Fiber - is stepping down. However, he would still remain at the company as an adviser.

Revealing that Alphabet is hitting the pause button on its ambitious Google Fiber project for reaching speedy Internet across the US, Barratt said in a blog post that the company is changing its business and product strategy for the Fiber initiative.

Barratt further elaborated that, as a result of the shift in Fiber strategy, the key focus of the company will now be "to make superfast Internet more abundant than it is today," with the help of new technology and deployment techniques.

Barratt said that the change in strategy will pause the rollout of Google Fiber only in "potential Fiber cities" in which Fiber has been in exploratory discussions, and not in cities in which Fiber rollout is already underway.

Barratt also added that Alphabet will be reducing its Access division's employee base in the "handful of cities that are still in an exploratory stage, and in certain related areas of our supporting operations."