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EarthLink Abandons San Francisco Wi-Fi ProjectSAN FRANCISCO, Aug. 30 (AP) — EarthLink, the Internet service provider, has decided to bow out of its deal to help provide free wireless Internet access throughout San Francisco, the mayor’s office confirmed. “We are still committed to free Wi-Fi, and we are going to get it done — quickly,” said Nathan Ballard, a spokesman for Mayor Gavin Newsom. “We are disappointed, but we will not lose momentum here.” EarthLink’s chief executive, Rolla P. Huff, told Mr. Newsom in a telephone call on Wednesday that “they were not going to be able to fulfill their end of the bargain,” Mr. Ballard said. “Mr. Huff made it clear it wasn’t going to happen with EarthLink; they are getting out of the Wi-Fi business.” EarthLink had already announced plans to cut costs by eliminating 900 jobs, about half its work force, and closing its offices in four cities, including San Francisco. EarthLink and Google beat out five other contractors who bid last year on the contract to create a citywide wireless network here. Like Philadelphia, Chicago and several other cities, San Francisco has been competing to become the first large American city to make the Internet available throughout its borders. Under the four-year agreement, which was never completed because of a political tug-of-war between the mayor and the governing Board of Supervisors, EarthLink was supposed to bear the cost of building and maintaining the Wi-Fi system, estimated at $14 million to $17 million. Google planned to sell ads to help subsidize the free service, while EarthLink hoped to recoup its investment by charging $21.95 a month for a premium Wi-Fi service that would allow subscribers to surf the Web at speeds three to four times faster than with the free service. Projections had called for the system to be up and running by early next year. Tag CloudExternal InformationAdditional InformationPreaching From the Ballmer Pulpit...Head of International Unit Gets No. 2 Job at Coca-Cola... National Perspectives: Reviving a Birthplace of Civil Rights... Job Growth Surged and Wages Rose in March Data... Where Am I?News Main Page - Business - EarthLink Abandons San Francisco Wi-Fi Project |
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