[June 08, 2007]

Clearwire offers local service: Internet service's model is 'plug and play,' but it might be a tough sell

(Richmond Times-Dispatch (VA) (KRT) Via Thomson Dialog NewsEdge) Jun. 8--You can get high-speed Internet and phone service in the Richmond metropolitan area in a new way: from thin air.

Clearwire Corp. has covered the city and parts of the counties of Hanover, Henrico and Chesterfield with broadband access from radio towers.

Users must have a subscription and a paperback-book sized Clearwire modem to get access. Unlike DSL or cable modem, no installation is required, making Clearwire setup as easy as plugging in a toaster.

Customers tout the "plug-and-play" portability, allowing them to log on from anywhere as long as they're within Clearwire's access territory.

"I take my laptop to different places, and all I need is a power outlet [for the modem] and I can get Internet wherever I'm at," said John Mobley, a Richmond customer who uses the service to show potential clients his sneaker-customization company's Web site. Mobley has been using the service for a couple months, though Clearwire officially announced availability in the area this week.

The firm also can serve folks who cannot get cable modem service or are out of reach for DSL, typically available within a couple miles from the phone company's switching offices.

Clearwire offers a two-year contract on its basic tier of service -- 768 kilobits per second -- for $29.99 a month. Its faster, 1.5 megabits-per-second-service, costs $36.99 a month. The company is offering a three-month promotion to new subscribers.

Advertised speeds on Clearwire's basic tier are slower than a cable modem from Comcast and comparable to that of standard DSL. The farther the Clearwire modem is from the tower, the slower speeds will be.

Clearwire could be a tough sell for many in the area, who are already using a single provider for their telecom services. They are less likely to switch, said Derek Kerton, a wireless telecommunications analyst from San Jose, Calif.

Still, "Anytime a new competitor comes in with a new service, it's good for the people," Kerton said.

Clearwire uses a technology similar to WiMax, a standard that sends wireless signals over long distances. The reach is greater than a wireless "Wi-Fi" setup, common in homes, businesses and some cities, providing access within a few hundred feet of the router "hot spot."

Consultant Vishal Sharma of Metanoia Inc. said another hurdle for Clearwire is that it's not as accessible as wireless laptop cards from mobile-phone providers. With those, users can pull up the Web wherever there is cell-phone service.

Clearwire laptop cards will be available later this year. Service range still will be limited to the firm's markets.

Since its August 2004 launch in Jacksonville, Fla., Clearwire has expanded into 39 areas in 13 states. Richmond is the first rollout in Virginia, the third state on the East Coast where Clearwire is available.

Tim Payne, Clearwire's general manager for Richmond operations, did not speculate on other regions in Virginia where the Kirkland, Wash.-based company plans to expand.

Clearwire modems are available at Clearwire.com or its retail locations at Short Pump Town Center, Chesterfield Towne Center and Virginia Center Commons. Several stores in the area are authorized to sell the modems, as well.

Clearwire phone and Web service costs $49.98 for three months, after which the price is $71.98 a month.

Contact Jeffrey Kelley at (804) 649-6348 or jkelley@timesdispatch.com.

To see more of the Richmond Times-Dispatch, or to subscribe to the newspaper, go to http://www.timesdispatch.com.

Copyright (c) 2007, Richmond Times-Dispatch, Va.
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