Google sells partial stake in fiber becomes minority owner in venture
A technician runs cable from his truck to install Google Fiber.
George Frey | Reuters
Google He said that the fiber internet unit called GFiber merged with Astound Broadband to form an independent provider, and Google remained a minority shareholder.
Google said the new company will be majority-owned by investment firm Stonepeak and will be run by the existing GFiber executive team “using their expertise in high-speed fiber innovation to manage the combined network footprint.” Press release on Wednesday. The transaction is expected to be completed in the fourth quarter.
Launched in 2010, Google Fiber was one of Google’s first efforts to build ultrafast fiber optic broadband networks in the United States, starting with its gigabit-speed rollout in Kansas City in 2012. Google proposed installing gigabit fiber connections to homes that were much faster than typical US internet speeds at the time.
Some planned expansions have since been canceled and the company Choose markets over costly and time-consuming nationwide distribution.
The exit comes as Google puts its division on the path to financial independence at a time when demand for high-capacity networks is rising due to demand for artificial intelligence services. The company said outside capital will help it expand across the country.
“This partnership with Astound and Stonepeak is the next step in our decade-long mission to redefine what customers can expect from their internet providers,” GFiber CEO Dinni Jain said in the statement.
GFiber has been part of Google’s “Other Bets” segment, which includes non-core assets such as Waymo robotaxi division and drug discovery company Isomorphic Labs. In 2025, the combined segment generated $1.54 billion in revenue; This accounted for less than 0.5% of Alphabet’s total sales and recorded an operating loss of $16.8 billion.
As demand for high-capacity networks grows to support cloud computing, streaming, and emerging AI services, the transition to fiber infrastructure is becoming increasingly important. US tech giants are also rolling out a rapidly expanding network of intercontinental submarine cables to keep up with rising bandwidth demand.
Astound is the leading US cable operator and broadband platform. It was acquired by Stonepeak in 2021 for $8.1 billion. Stonepeak specializes in infrastructure and real estate.
A Google spokesperson did not immediately respond to a request for comment.
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