Toronto Hydro Telecom yesterday lit up what is expected to become one of the largest wireless Internet networks in North America, and told Torontonians how much they will have to pay for the service.
After an initial free period of six months, the company's WiFi (wireless fidelity) zone will cost $29 a month, $10 a day, or $5 an hour for speeds of up to seven megabits per second (Mbps). Although that's cheaper than rates charged by rivals for landline-based Internet services, cities such as Fredericton offer free WiFi access.
"There's a lot of talk out there about free WiFi networks and pay WiFi networks," David Dobbin, president of Toronto Hydro Telecom, said at a news conference yesterday. "What it really comes down to is who pays.
"There are two ways to fund these networks. You can fund them through subscribers, which is what we're doing. Or you can fund them through tax dollars, which is what other cities are doing. We don't think that anybody in Toronto has an appetite to use tax dollars to fund this kind of a project, so we're doing it with commercial money."
While some cities charge for WiFi, others offer it free, funded via taxes or advertising.
Mr. Dobbin said he expects the WiFi service to be a viable business for the arm of city-controlled Toronto Hydro Corp.
The telecom company is spending $2-million to build the zone that will stretch across the downtown core by the end of this year, an investment Mr. Dobbin expects to recoup one year after charges kick in for the WiFi service.
The first part of the network, now in operation, covers Spadina Avenue east to Church Street, and from Front Street north to Queen Street. Eventually, the network will run north to Bloor Street, and between Bathurst Street and Parliament Street, south of Queen Street. Toronto Hydro Telecom's eventual goal is to build a network across Toronto.
The service does face hurdles. Subscribers who want to use it within an apartment or office, for example, probably will need to buy a WiFi modem.
That device will help strengthen the network's signal inside, ensuring a connection.
Nevertheless, Toronto Hydro Telecom believes its WiFi service will attract a wide range of users, including businesses, consumers and travellers, letting them access the Internet or make Web-based calls on the go.
The company turned on the network last Thursday for final tests, and there were nearly 2,000 users for the service as of the official launch yesterday.
"This service will be used by Torontonians, by businesses and by city agencies from libraries to the TTC," Mayor David Miller said yesterday.
The city is in talks regarding a number of WiFi-related services, including vehicle management and surveillance, Mr. Dobbin said.
It's unclear whether there are plans to ensure that low-income households have WiFi access down the road.
There are preliminary talks between Toronto Hydro Telecom and Toronto Community Housing, according to Mr. Miller.
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The wireless core
Toronto's new downtown wireless network went live yesterday. Here's how it works:
1- Get into the zone. If you want to use it at home, and you live within the wireless zone boundaries, it's recommended that you buy a WiFi
modem.
2- You will need a cellphone to register for and receive a username and password.
3- Using a wireless-enabled computer or PDA, open the software that controls your network connections and search for available wireless networks. When "SSID One Zone High Speed Internet" appears,
4- Open a web browser window and select the new user page. Enter in your mobile phone number. A username and password will be sent instantly to your cellphone via text message.
5- Enter the username and password into the web browser. Your login can be used by up to four people simultaneously, and is valid for free service until March.
SOURCE: TORONTO HYDRO TELECOM
