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Philadelphia takes a pass on saving muni Wi-Fi network

By Ed Oswald, BetaNews

May 15, 2008, 6:27 PM

The Mayor of Philadelphia has indicated that he will not use city funds to keep the Earthlink wireless network running in the city.

While Mayor Michael Nutter told the Philadelphia Daily News earlier this week that they are far from finished with having discussions with EarthLink, the city won't spend money to save the Wi-Fi network.

A lawsuit was filed Tuesday by the ISP to break its ten-year contract with the city, complaining that it had only managed to attract 5,942 customers, far short of the 100,000 expected to take advantage of the service.

Losses are mounting: each month EarthLink is losing $180,000 to $200,000 in maintenance. Furthermore, a $1 million payment to the city of Philadelphia is due on May 23.

While it is not trying to get out of the million-dollar payment, Earthlink is asking the judge to cap any future payments to that amount. It is also asking for permission to begin removing its equipment from 4,300 access nodes around the city starting on June 12.

The non-profit group in charge of the network -- Wireless Philadelphia -- is not giving up, despite these most recent comments from city government. It maintains that EarthLink cannot dissolve the network under the current contract.

"This initiative is far from dead. All options have not been exhausted regarding the network and our innovative digital inclusion mission must continue," its CEO Greg Goldman said in a statement.

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By imafurby

posted May 16, 2008 - 10:29 AM

Another one bites the dust. Forget global warming. What about all this wireless and cell phone crap floating around all over the place? Every time you fire up a notebook almost anywhere there are about 3 or 4 networks chugging away close by. Do we really need to be tethered to the damn internet even when we're on the can?

Score: 0

By Michael.Hatamoto

posted May 16, 2008 - 12:40 AM

Not a huge surprise the city isn't willing to pick up the tab, as you can see the costs of maintenance at the moment is way too high for the number of people who actually signed up for the municipal WiFi.

Someone else in the other article related to Philly WiFi mentioned Comcast picking it up, but that also is highly unlikely at this time.

It looks like another municipal WiFi project is about to bite the dust.

Score: 0

By slinkys_delsol

posted May 16, 2008 - 12:00 AM

Thing about this with living in the Philadelphia area myself, most "Non-Computer / Technical" people made the assumption that when they heard that there was going to be WIFI available to all, they "Ass"ummed it was FREE! The second I told them it was not free that there was a monthly charge, they expressed NO INTEREST in it.

Most people in Philly need to worry about their Next Heating Oil Payment and keep a look out for the next Cop Killer. Spending $50 to have access to the WIFI is just not priority one.

Score: 0

By FubarJeb

posted May 15, 2008 - 7:01 PM

I don't think there is much of a future for muni WiFi. The costs in deployment and maintenance is pretty expensive.

In my opinion I think Cell phones are the way to go. If you want internet anywhere (where there are cell towers) then get a data plan from your cell phone carrier. If you want internet on your laptop, then get a cell phone that has tether capability.

Score: 0

By bousozoku

posted May 16, 2008 - 12:28 PM

My tethered phone works pretty well all over the country, though the more "country" the area becomes, the slower the speed.

The only city that will likely have their own WiFi is also a country: Singapore. They'll make it work despite the cost and maintenance.

It should be interesting to see what happens with WiMax, but for Philly, the city can't afford anything else.

Score: 0

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