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MetroFi Network is for Sale

Posted by Caleb Phillips on 16 May 2008

As reported on wifinetnews.com, muniwireless.com, and the oregonian blog, MetroFi is throwing in the towel and has suggested that the city of Portland purchase the network as is. There is an interesting discussion about this on the Personal Telco mailing list. Here is the letter sent to Logan Kleier from MetroFi president Chuck Haas:

May 13, 2008
Mr. Logan Kleier
City of Portland
1120 SW Fifth Ave, Suite 450
Portland, Oregon 97204


Logan,

I am writing today to request a call or meeting with you to discuss the City of Portland network. MetroFi's goal was to have the City of Portland network producing enough revenue to cover expenses and even with the roll out of Microsoft SideGuide, the best advertising platform we have for Wi-Fi revenue generation, we are still not covering our costs for network operation and maintenance. As I discussed on the phone, MetroFi has three options to consider. The first is for the City to purchase the network from MetroFi; the second is to sell the network to a 3rd party; the third is to shut the network down.

The City of Portland network is comprised of 598 access points and is used by approximately 16,000 residents and visitors per month. April had 306,000 hours of use. Our operating expenses include pole attachment fees and power, the BAP locations, backhaul transport via microwave the Pittock Building and Internet transit. These expenses are approximately $15,000 per month. To purchase the network, we would propose a price of $1,500 per AP or $894,000. MetroFi would train the City on the network operation and transfer assets, spare equipment and knowledge to the City. MetroFi is also discussing network purchase with other prospective buyers, but there is no assurance that we can complete a sale.


The third option is to remove the equipment, beginning in June 2008. I understand this is a lot to digest, which is why I have requested a meeting or call to allow us to discuss these options in more detail. We are looking to understand the city's position as soon as possible as our intent is to begin network shut-down and equipment removal the by the end of June if we do not have a buyer.


Please let me know a convenient time to meet and discuss these options with you at your first opportunity.


Sincerely,


Chuck Haas
President & CEO

3 Comments

  1. Gene Says:

    Just got this email a few days ago. I haven’t been able to connect to MetroFi Free for months on the nodes around 39th/Hawthorne on either my MacBook or iPhone (can see the SSID, but can’t make a connection).

    from MetroFi
    to gene@
    date Thu, May 22, 2008 at 12:56 PM
    subject Discontinuation of MetroFi FREE and MetroFi Premium Services

    Dear MetroFi User,

    It is with regret that we notify you of our intentions to discontinue
    offering the MetroFi FREE and MetroFi Premium services in Portland. We are in the process of negotiating with a 3rd party network operator to keep the network in place, and during this time your services will not be affected.

    As soon as we know the outcome of these negotiations, we will provide you with further information.

    Thank you,
    The MetroFi Team

  2. jami Says:

    Do MetroFi connections ever work? I’m moving, and I’m thinking about buying one of them amplifier dealies to use MetroFi instead of signing up for Comcrap (even if MetroFi only lasts another month, I don’t lose much money, and everything after that is (ad-supported) gravy). But I supposedly already have 2 bars of MetroFi signal in my current location (39th and Division area), and I’ve never once successfully connected.

    I’ve seen MetroFi’s own usage numbers, but I have my doubts, since I’ve used the Internet successfully using MetroFi like once downtown and never again. Does anyone who reads this truly use MetroFi in his or her home? What kind of signal amplifier do you use?

  3. Russell Senior Says:

    It isn’t in my neighborhood, so I can only try to connect when I go somewhere that it is, which I don’t very often, but I have successfully connected to MetroFi. I’d even say that the times I have tried and I was close enough I *usually* succeeded, but there is no guarantee even with the repeater they recommend. The Ruckus itself does work pretty well in my experience, though again, that’s not usually with MetroFi. Last I looked, the Ruckus DZ is $100. Unless you’ve got someone else nearby to connect to besides MetroFi, I’d personally be reluctant to take the gamble.

    You may have options besides Comcast. The people at the Personal Telco Project recommend choosing a DSL provider that is “sharing friendly”. If you have a sharing friendly ISP, then you can become part of the solution to Free Wifi yourself.

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