The real problem is that it won't be $400k. It'll be at least twice that. It always is. And, I didn't see anywhere that that included upstream connectivity?

Here's where this stuff gets sticky. Out here we have a PUD that's put fiber to the home in. They told people that it cost roughly $3,000 per gateway box on the side of the house. But they really spent $15,000 once it was all installed!!!!!!! They flat out didn't tell the whole story to the tax payers OR the press. Deception through omission? I think so.

I spend nearly 25% of their numbers to take care of a network with less than 1/10th the customer base! I don't, for a second, believe the $400,000 per year in expenses number.

I guess time will tell 'eh?
Marlon
(509) 982-2181                                   Equipment sales
(408) 907-6910 (Vonage)                    Consulting services
42846865 (icq)                                    And I run my own wisp!
64.146.146.12 (net meeting)
www.odessaoffice.com/wireless
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----- Original Message ----- From: "Brian Whigham" <[EMAIL PROTECTED]>
To: "WISPA General List" <wireless@wispa.org>
Sent: Tuesday, April 25, 2006 8:34 AM
Subject: Re: [WISPA] Pioneering Wi-Fi City Sees Startup Woes


Bob,
It's $9.50 per month per user, after only 50 days of evangelizing. Not even the SBCs of the world are selling it for that. And as soon as grandma Jones and Bob down the street figure out what's going on, they'll sign up, too. So it will only be $4.16/mo. when they hit the 8,000 mark. Assume 2.77 persons per household (using Kissimmee census data) and you have 10,108 households plus a guestimate of 2000 businesses (based on Kissimees 3900 business count). And maybe they'll get 75% penetration (remember, the service is 'free'). Businesses would be dumb not to use it at least as a backup connection. Some mom and pop shops might be able to use it as the primary.

Now, consider that you're no longer dealing with households, but individuals. I estimate about 65% are between ages 18 and 65. Let's play dumb and say that nobody under 18 or older than 65 could make use of it. That's 18,200 users. Plus, I think tourism is one of St. Clouds biggest industries. Add them in as potential users. Plus, it's a bonus to business travelers. If 75% of them subscribe, you have 15,000 accounts. That $4.16 drops to about $2. And, the access is mobile, albeit spotty at this point. So, you don't pay T-mobile for their hotspot, Sprint for EV-DO, and Bellsouth for DSL.

The city is the 1st in the country to offer free wi-fi citywide. #1, 'forefront', 'technologically friendly', 'advanced': these are coveted adjectives. In what other way can a city be number one anymore? That's a qualification that's hard to buy for $2.4m, even if it's not a perfect system.


Brian Whigham
Yonder Networks
800-770-3421
706-534-1515

Census Data for Kissimmee: http://quickfacts.census.gov/qfd/states/12/1236950.html


Bob Moldashel wrote:

3500 registered users using a network that costs $400K per year to maintain!!! That's $114 per subscriber! Why not just pay to give them DSL! LOL!!!!

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