The realities of municipal Wi-Fi

Summary: Municipal Wi-Fi is a step in the wrong direction -- back to a time where there was one telephone company and one provider of cable TV. By necessity, we still have no choice of electric company, gas company, or water company -- let's not turn back the clock on information services.

While, in principle, I agree with my colleague, Chris Dawson (Why municipal Wi-Fi is an educational expense), the problems with this approach are huge -- and have nothing whatsoever to do with education. 

In the 1930's the rationale for providing ubiquitous radio, electrical, telephone, and water resources to everyone was motivated by the need to put people to work in a time of deep economic depression and political upheaval throughout the world.  These projects also built up a nationwide infrastructure serving the strategic interests of the United States.  Still these services were not free -- and they were fully regulated.  They became affordable for all only because their broad availability eventually turned them into commodities. 

Over the last twenty-plus years (since the consent decree breaking up AT&T) the trend toward deregulation has led to broad consumer choice, and to the commoditization of many products and services. 

None of the authors of the Communications Act of 1934 could have dreamed of the services possible today because they had the foresight to put the airwaves into the public domain. 

Today, there is Wi-Fi, Wi-MAX (promised but not yet delivered), cellular data service, dial-up, DSL, cable broadband, power-line broadband (promised but not yet delivered), and Internet access via satellite and this list doesn't begin to address the underlying technologies which remain beyond the reach of many but provide the backbone of these consumer services. 

Introducing municipal Wi-Fi as a new utility -- or as a free service to all (as suggested by Chris's piece) -- may be attractive but can it be successful?  A number of such municipal projects have already failed and others are in trouble for a variety of reasons.  Some technical.  Some political.  Some economical. 

Do we really want the government to provide (and hence control) such a ubiquitous service to the detriment of competition?  Do we even want a municipality to align itself with a single company (say, the local telephone company) if it means that the local cable company, or cellular provider, cannot compete effectively?  After all, free Internet access could put the local cable provider, the local wired telephone provider, and the local cellular providers all in a position of being unable to compete and provide similar but often clearly superior solutions.  (For instance, both cellular data services and DSL offer a level of security simply unavailable from Wi-Fi or broadband.) 

Free municipal Wi-Fi is decidedly different than what we commonly find in a public library, where free-but-limited access to the Internet is treated the same as free-but-limited access to books (as well as a variety of multimedia materials).  Where patrons must make the effort to come to the library and "check out" materials for their use -- and return them so that others may share those resources.  Municipal Wi-Fi must, by its very nature, offer a reliable unlimited service or its value is dramatically diminished.  A municipal utility (especially if it is free) runs the risk of creating a permanent underclass of those who cannot afford superior services while unwittingly making it impossible for competing services to commoditize their offerings, making these superior services available to more consumers. 

Should school districts adopt the same model as libraries for providing patron access to this most valuable resource?  Yes, of course they should.  And Chris is correct, that there is a right way to do it as well as a wrong way -- and left to their own meager resources, there will be no consistent solution from school to school.  Providing Internet access to all students from all schools within a school district should be the goal of every school district -- not to the municipality within which that district resides. 

Topic: Wi-Fi

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  • Wireless Mesh Network Makes All Things Possible

    Municipal Wifi provides access to 21st century education. Most would want to back up and substitute 'computer' for the phrase, 'municipal wifi'. Wireless mesh network provides access to 21st century education. Most would want to back up and substitute . . . well, holler that it is too costly. A small rural community has its' city counterpart, the neighborhood. Wireless mesh networks can be found in an apartment building, a group of homes, a neighborhood, small communities, large communities, large cities. The cost for an apartment building runs about $50 for a Meraki unit, and a shared cost for Internet access of about $10. A group of homes runs about the same. A neighborhood can run a commercial line to the center of the networked neighborhood, and lower the cost to a handful of dollars. Same for small communities. Large communities can coordinate a division of networks into chunks to optimize the cost, and so can large cities.

    Well, now we've lowered the cost of municipal wireless to the ridiculous, substituting group effort in place of contracted for-profit vendors. Boy, that'll upset folks. At least our children will get a 21st century education. Send all flame messages to tompoe@fngi.net.
    tompoe
    • It works elsewhere

      Hi, I've done another post with the same subject in reply to Chris' article, and this is not a duplicate.

      I find the previous post very interesting, regarding wireless mesh networks. Municipal wifi is a reality in Europe, and the scale problems are real, most of these systems work for small to medium sized villages or towns. I think tompoe's approach to scaling for cities is essentially correct, though I suspect the financing and technical logistics are a bit more complicated than presented in the post.

      I did want to add that many countries in Europe now have the possibility of competition for electricity and gas, and maybe one day for water. All countries in the European Union are supposed to have it since the first of this month.

      I also want to point out that in EVERY case, WITHOUT EXCEPTION, where competition, with its supposed benefits to consumers, has been implemented for these services, consumers have ended up paying SIGNIFICANTLY HIGHER RATES than they did under state controlled monopolies.

      Competition that deals with centralized distribution of flows (gases, liquids, currents, information...) are not always appropriately served by competition. The theory is nice, the practice says otherwise.
      techwriter@...
      • I agree with you ...

        ... when you say:

        "Competition that deals with centralized distribution of flows (gases, liquids, currents, information...) are not always appropriately served by competition. The theory is nice, the practice says otherwise."

        In the USA today, plain old telephone service (POTS) costs three times what it did in 1984 (when AT&T was broken up) -- never mind that evetythign else does as well!

        Most would agree that there are many more services available to more people today than in 1984 -- in large part because of competition. The trade-off was higher prices in exchange for dramatically better service.

        Back then, cellular service was in its infancy and very few could afford it. Today, anyone can buy a cell phone for $20 and pay as little as 10 cents per minute for service. Long distance, a premium service in 1984, is now a commodity included with those prepaid minutes.

        If ubiquitous Internet access weren't already available via dial-up and subscription-based Internet access wasn't available in most municipalities via broadband, DSL, and cellular data services -- not to mention Wi-Fi hotspots all over town, the value of Municipal Wi-Fi would be a lot more clear. But that is not the case in any municipality large enough to fund city-wide Wi-Fi.

        In today's environment, undercutting competition with publicly-funded (free or very-low-cost) Wi-Fi means those competitors have no ability to attract new entry-level customers because they can't beat the municipality's price points. Add to that the fact that, at least in the USA, such projects are often funded with one-time money and you pretty much insure that the municipality will not be able to keep up with the technology, or the demand for the service.
        M Wagner
        • And I agree with you...

          ...when you say,

          "Add to that the fact that, at least in the USA, such projects are often funded with one-time money and you pretty much insure that the municipality will not be able to keep up with the technology, or the demand for the service."

          This is true also for Europe, though perhaps there are more cases where it is understood that recurring funding will be necessary.

          I think the real answer to this question is that it depends a lot on local conditions and necessity. In some situations, the arguments you present would be persuasive. In others, not at all, particularly in areas deemed, as I mentioned in my previous post, "unprofitable." Finding the right mix of private and public participation is no easy task, and again, the right mix is not a "one size fits all" solution, but variable according to local needs and conditions.
          techwriter@...
  • How do you measure "commoditization"?

    For instance; natural gas was a commodity that we bought at the end of a pipe. The price included a reasonable profit for the supplier but once the NG entered the pipeline the price was regulated. Then came Reagan, derugulation and Enron. The rest is history as they say.
    wmlundine
  • Municipal WiFi has succeeded...

    ...but you may need to look outside the US for political reasons (all else being equal).
    wmlundine