It looks like the public Wi-Fi network in Philadelphia may be shut down if the city can’t negotiate some kind of transfer deal with Earthlink. Earthlink stopped accepting new customers last week, and gave the city until today to negotiate an offer, but the city’s mayor doesn’t seem keen on the idea of spending city money. For long time readers, this network has a long story behind it; one that could end badly.

When initially proposed as a muni-fi project, it was the first time the public became aware that Verizon was getting bills passed that banned entire States from running their own broadband networks. Once the city navigated Verizon lawyers, they finally got the network built, and began offering service in concert with Earthlink. But while the network performed well, fewer people signed up than anticipated.

Earthlink, already struggling from the death of dial-up and bad business decisions like believing the hype surrounding powerline broadband, then announced they’d be fleeing the muni-fi sector. Despite investing $20 million in the network, they didn’t even bother to attend a hearing on the network’s fate. As it stands, about 80% of the network still works, but Earthlink has told Philly they’ll pull the plug unless it’s taken off their hands by today.

If there’s a broadband industry death-watch list, Earthlink sits at the top. Judging from the high number of jilted cities they’re leaving in their wake, I’m guessing there may not be a large turnout at the funeral.
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