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from: Lawerncian.com

Municipal WiFi Provider Forces Local Monopoly to Offer Free Broadband Service

Written by Matt Del Vecchio
Jan 11, 2008 at 09:32 AM

In an environment where troubled municipal Wi-Fi projects are showing up on front pages around the nation, a municipal Wi-Fi project in Lawrence, Kansas is using Wi-Fi to give one of the nation’s most dominant media companies a run for its money.

Lawrence has been touted nationally as the "land that anti-trust forgot". It is one of the few cities in America where one company owns the cable provider, cable news channel, daily newspaper, online news journal, weekly independent and most popular website. What keeps this media machine running smoothly? Broadband Internet revenue. According to Ralph Gage, former Chief Operating Officer of The World Company, 53 percent of the World Company’s annual revenue was generated by broadband Internet access.

"What better place to start a municipal WiFi project," jokes Joshua Montgomery, founder of the Lawrence Freenet Project and CEO of the organization’s for-profit service provider, "I mean what could possibly go wrong?" The Lawrence Freenet municipal WiFi project was launched in April of 2005 by a small group of local geeks. "Mostly we just wanted to see what we could do with Wi-Fi," says Montgomery, "we started off with a $50 WiFi access point and a DSL connection. Now the organization has one of the largest mesh networks in the nation and serves over 1,100 members with broadband Internet access – all without a single dime of tax payer money."

"The local newspaper barely mentions us," says Kris Adair, Freenet’s treasurer, "but we don’t much care, it is about the community, not the coverage." When it comes to community service the organization’s record is impressive. Freenet currently provides free computers and Internet access to the local Habitat for Humanity neighborhood, the Humane Society, the Housing Authority, a local group home called the O’Connell Youth Ranch and dozens of individual families.

In fact Lawrence Freenet has been so successful that the local cable monopoly is launching a free service just to keep up. On December 18 Sunflower Broadband became the first cable provider in the nation to provide free access to low income families. This isn’t the first time since the launch of the Lawrence Freenet project that the local cable provider has had to make adjustments. Shortly after the launch of Freenet’s $19.98/Mo service, Sunflower launched a low cost $14.95 service. It also reduced its overage charges from $10/Gb to $2/Gb (yes, the Sunflower Broadband charges you extra if you download too much).

Adam Mansfield, president of Lawrence Freenet, welcomes Sunflower’s decision to provide free Internet access to those who qualify. "Freenet has been working to provide free service to as many low income subscribers and non-profit organizations as the network can support. We are looking forward to working in concert with Sunflower and low-income families throughout the community to ensure that every family has equal access to the Internet, regardless of Income."

What’s next for the Lawrence Freenet Project now that local service providers are competing to provide low-income families with free Internet access? "We are working on a proposal that will allow us to provide free broadband to every child in the community." Says Montgomery, "it is called ‘Freenet-Kids’ and like our original project we are trying to do it without any grants or handouts from the taxpayers."

The project is funded through private investment in Community Wireless Communications Co.the service provider that has been contracted to build and maintain the network. "Community Wireless is a socially conscious company that is working to provide a return on investment while also serving the community." Using this model the Lawrence Freenet Project has been able to change the way that Municipal Wireless works over the past two years.

"Who knows," says Montgomery, "two years from now the World Company might be competing to provide Free access for the entire community?"