Verizon, Philadelphia reach tentative legal compromise
No Wires Attached
Kaushal Toprani
Issue date: 12/3/04 Section: Sci-Tech
Philadelphia's goal to become the world's number one wireless city has avoided a major setback - possibly at the expense of other cities in the state.
Early in Sept. 2004, the city announced a plan to offer wireless internet access city wide ("Wireless City Proposed", p.24, The Triangle, Sept. 23)
Popular locations like Love Park would be free hotspots, while in other spots, users would have to setup an account or pay a daily user fee.
The plan suffered a setback last week when Pennsylvania House Bill 30 hit the floor.
The bill is an incentive package to broadband providers like Verizon to update and improve their current broadband service.
Verizon stands to gain $3 billion from this bill. Part of this bill states cities and townships "may not provide to the public" any broadband or wireless services for a fee.
This would make the city's plan for wireless access illegal.
However, early this week the City of Philadelphia and Verizon agreed on a compromise.
While most of the details remain unknown, it is believed that Verizon has given up its right of first refusal in Philadelphia. However, it is believed the Verizon will keep its right of first refusal in other cities and townships in the state of Pennsylvania.
Therefore, other wi-fi projects in Pennsylvania, like one in Kutztown, PA, maybe doomed.
There are critics of Philadelphia's wireless project. Many note that public funding is often less efficient than opening up projects to private competition.
For now, it looks like the City of Philadelphia's plan for wireless is on track.
The city will begin deployment in 2005 and hopes to have the network ready in 2006.
Early in Sept. 2004, the city announced a plan to offer wireless internet access city wide ("Wireless City Proposed", p.24, The Triangle, Sept. 23)
Popular locations like Love Park would be free hotspots, while in other spots, users would have to setup an account or pay a daily user fee.
The plan suffered a setback last week when Pennsylvania House Bill 30 hit the floor.
The bill is an incentive package to broadband providers like Verizon to update and improve their current broadband service.
Verizon stands to gain $3 billion from this bill. Part of this bill states cities and townships "may not provide to the public" any broadband or wireless services for a fee.
This would make the city's plan for wireless access illegal.
However, early this week the City of Philadelphia and Verizon agreed on a compromise.
While most of the details remain unknown, it is believed that Verizon has given up its right of first refusal in Philadelphia. However, it is believed the Verizon will keep its right of first refusal in other cities and townships in the state of Pennsylvania.
Therefore, other wi-fi projects in Pennsylvania, like one in Kutztown, PA, maybe doomed.
There are critics of Philadelphia's wireless project. Many note that public funding is often less efficient than opening up projects to private competition.
For now, it looks like the City of Philadelphia's plan for wireless is on track.
The city will begin deployment in 2005 and hopes to have the network ready in 2006.
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