California Business Minute™

Hi, I am Tim Johnson and welcome to the California Business Minute.

A $3 million plan to cover Lompoc with a wireless internet system promised a major
leap in terms of economic development but it has like other small to mid size communities
failed to acquire the forecasted subscribers.  In a community of 42,000, only a few hundred
subscribers have signed on to the Lompoc’s program.  But, Lompoc is not alone.  It is costing
cities more and drawing less interest.

It is estimated by the company, Muniwireless that in 2006, $260 million was spent by cities
nationwide on Wi-Fi projects and $460 million will be spent this year. Additionally about 175
cities nationwide have deployed full or partial systems and a similar number plan them for 2007.

But market driven actions by private sector firms have reversed the forecasted optimistic actions
by public sector efforts.  California techies view the systems lacking services found with DSL
and Cable for the cost of the service. 

But all experts express that the market is still young and opportunities abound.   

I am Tim Johnson and this has been the California Business Minute.