The City of Houston has chosen EarthLink Municipal Networks for its 600-square-mile citywide, WiFi network, reports the Houston Chronicle.
Houston may have the largest such network in North America. It will cover nearly all of the city’s 600 square miles by spring of 2009. Low-income residents could get subsidized access for as little as $10 a month, and most customers would pay less than they do now, probably around $20/month.
The competition for Digital Houston narrowed to two companies several months ago. “EarthLink has the track record,” said Craig Settles, a municipal wireless consultant. “They are a very competent business and provider, and I think that given the size of Houston, this is a good choice.”
The other finalist, Convergent Broadband, is a local consortium that was created recently by former Reliant Energy CEO Don Jordan, mainly to bid on the Houston project.
The City Council could consider the agreement later this month, but the panel often delays votes on significant city contracts.
No city money will be used to build the network. EarthLink agreed to offer a wholesale rate capped for at least the first seven years of $12 per subscriber per month. Those ISPs would add a profit margin to the base price and sell access to residents and businesses. EarthLink will enable multiple providers, such as PeoplePC, Vonage and DirecTV to offer their Internet service to consumers and businesses over its network.
For up to 40,000 low-income users, EarthLink will provide a discounted rate of $10 per month or lower, depending on the competitive wholesale rate.
The contract calls for the city eventually to receive a 3 percent cut of the revenue from the wireless system, and some of that would be used to provide reduced rates for low-income residents. Exactly who would be eligible has not been determined.
Mayor White has said previously that he hoped to cut average cost of high-speed Internet access in half, though he did not state a specific figure.
The agreement calls for free access in some public places, including parks and libraries, and a discounted rate to the city for its government facilities, White said. The public-private partnership gives vendors incentive to invest in the project and ensures the service is extended to all parts of town.
Related DailyWireless articles include; Houston METRO Unwired, AT&T Expands U-Verse, Houston’s WiFi Parking, Business Week: Top Ten Picks, Houston’s WiFi Parking Meters, and Houston Gets 5 Proposals.
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I can’t believe the pettiness and the dirtiness in the muni wireless world!
I was going to attend the MuniWireless conference in Dallas next week, but now I am not - because I wanted to explore possibilities for an app I am creating for muni wifi and to hear the full story about New Orleans. Particularly how Greg Meffert pushed out the first true muni wifi in the aftermath of Katrina.
However, some friends I have in Earthlink told me they have some sort of problem with Greg Meffert even though he brought them into New Orleans. So they used their sponsor role to force him off the agenda. I think that is terrible - Meffert really made the city better - not just the wifi but the city website too.
What I also heard happened was that Earthlink tried to give him money him to fix a commission vote in the French Quarter, and he told them he wouldn’t do it. They are dirty.
I know he has been in the news lately, but as a citizen of New Orleans I am sorry he left his post in the Mayor’s office - he was the only person with any sort of vision. I wanted to support him in Dallas, but now I won’t be coming.
Seems I guess that even the new telcoms are just like the old ones, just bullies that want only their way and truth known, and attack anyone who dissents. I don’t need to go all the way there to hear an Earthlink commercial instead of a real story.
Left by entertainmenttech on March 2nd, 2007