City Wi-Fi fails in Chicago, San Francisco

— 1:01 PM on August 30, 2007

Plans for city-wide Wi-Fi have stalled in two major US cities in the past couple of days. In Chicago, the city has been unable to reach an agreement with either AT&T or EarthLink, which were the only two companies that submitted proposals for the project. EarthLink had also been campaigning to power San Francisco's city Wi-Fi network, but the company has since backed off the project, plunging its fate into uncertainty.

EarthLink's participation in future city Wi-Fi projects appears to be unlikely, as well. According to the San Francisco Chronicle, EarthLink backpedaled on the bay area project because it "no longer believed providing citywide Wi-Fi was economically viable for the company." That belief may be fueled by the company's experience with Wi-Fi projects in Anaheim and Philadelphia, which have failed to meet profit expectations. Thanks to Slashdot for the tip.

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