oops, got the numbers backwards. Should %5.5 Million for Anaheim and $10 Million for Philly.

MD
----- Original Message ----- From: "Maddog" <[EMAIL PROTECTED]>
To: "LUAU" <luau@lists.hosef.org>
Sent: Saturday, July 01, 2006 1:26 PM
Subject: Re: [LUAU] Wireless in Honolulu


That was my point. I argued in the last go around that it was doubtful that companies could offer truly free Wi-Fi because of the cost of bandwidth and Wi-Fi equipment. Jim shot a 30 odd six at me telling me I knew nothing of Wi-Fi, bandwidth or the cost of equipment. With the release of articles this week outlining the fact the Earthlink spent $5.5 million to roll out Philly and $10 Million to roll out Anaheim. You cannot pay for that sort of capital outlay by having FREE Internet access.

Free meaning no pay. Free does not mean that it is subsidized by ads. My point in the last go around was that someone has to pay somewhere. Ad supported means that advertisers will pay up front and eventually they will have to see a return. If they do not Free goes away. That is why you see hybrid models because even the Earthlinks realize that ad revenue won't be enough to support the huge capital outlays it takes to set up a metro Wi-Fi network. Just in Anaheim they don't even expect to see "meaningful results" (whatever that means) until 2009. That doesn't even say break even.

I am just going to have to rest on this side of this debate until I see something "meaningful" in Waikiki. There are way to many hands to feed to deploy FREE Wi-Fi (anything bigger than a few blocks near the zoo) in Waikiki and to be successful. Every hotelier there thinks that if one of their guests buys something while logged onto your network, you owe them a cut. Once Shakanet starts to see ad revenue this will be the proverbial brick wall they will need to hurdle.

MD
----- Original Message ----- From: "Julian Yap" <[EMAIL PROTECTED]>
To: "LUAU" <luau@lists.hosef.org>
Sent: Saturday, July 01, 2006 1:07 PM
Subject: Re: [LUAU] Wireless in Honolulu


--- Maddog <[EMAIL PROTECTED]> wrote:
This is a business model. As long as the hotels are densly
covering Waikiki
this model is going to require shakanet or whoever else to
determine where
something was bought and to contribute a share to the hotels.
I'd like to
see truly free, not ad supported, wireless everywhere. It just
is going to
be tough to do it here. I will keep my eyes on the project but
I won't be
surprised if it is not seen through to fruition.

Maddog,

I'm not sure what you mean.  Or what free model you would
propose that would cover all your bases and be considered free
in your eyes?

~ Julian

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