According to SFGate, Earthlink has backed out of contract negotiations to blanket the city with free Wi-Fi, citing money problems. From the article:
The contract, which was three years in the making, had run into snags with the Board of Supervisors, but ultimately it was undone when Atlanta-based EarthLink announced Tuesday that it no longer believed providing citywide Wi-Fi was economically viable for the company… EarthLink spokesman Jerry Grasso said that EarthLink was willing to work with San Francisco but had decided that it ‘was not willing to work in the business model where EarthLink fronts all the money to build, own and operate the network. More …
Also this week the Chicago Tribune reported that a proposed plan for municipal wi-fi in Chicago has fallen apart. EarthLink and AT&T Inc. submitted proposals to the city, but after months of negotiations the parties were unable to reach agreement. More …