EarthLink Wins Contract to Build Citywide Wi-Fi Network in Houston

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EarthLink Wins Contract to Build Citywide Wi-Fi Network in Houston

7:15 am on February 14, 2007 | Category: Business, Internet, Wi-Fi, Regulation

Officials in Houston, Texas announced yesterday that they have struck a deal allowing EarthLink to build a municipal Wi-Fi network covering the entire city.

Houston Mayor, Bill White, described the project as “enormous,” predicting that EarthLink would spend close to $50 million to build the network, which is set for completion in 2009. Approximately 10,000 Wi-Fi transmitters will be placed on telephone and light polls throughout the city, providing wireless broadband coverage to 600 square miles of urban sprawl.

EarthLink will foot the entire bill for the project, meaning that no taxpayers’ dollars will be spent, and has even offered to provide discounted wireless internet access to 40,000 of the city’s lowest income citizens. Other Houston residents will be able to buy full access for a monthly fee of $21.95

The network will be available for free in public locations such as parks and libraries.

The Houston contract is being seen as a big opportunity for EarthLink, which is struggling to develop revenue-generating wireless broadband assets to offset accelerating losses in its core dialup market. The company is investing heavily to establish itself as a clear leader in the municipal Wi-Fi market and a citywide contract in America’s fourth largest metropolis should be a significant milestone towards this ambitious goal.

EarthLink is now “in a good position now to build some serious momentum,” according to Craig Settles, who authored the book: Fighting the Good Fight for Municipal Wireless. Settles believes that the ISP’s strategy of seeking Wi-Fi contracts in as many urban centers as possible will make its services especially valuable to city-hopping business travelers a couple of years down the road.