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<font size="-1"><font face="Verdana">This is a classic example of what
happens when you try any project without a good business plan.<br>
<br>
I first met Tyler ( Not Tony ) Van Houwelingen just after the project
started and had a conversation with him regarding the business
feasibility of his endeavor and the lack of true testing that he had
carried out to demonstrate whether or not he could provide good service
at reasonable cost to tens of clients let alone the thousands he was
predicting especially in the face of competition from cable and Qwest
who could give away the same service he was providing in a bundled deal
to wipe him out if he ever got his numbers above 500. He commented that
" Qwest and Cable are inconsequential and not a factor "<br>
<br>
When I showed him test results of the abysmal service that 802.11 and
even 802.16 has experienced especially through all buildings and
structures emphasizing the major problems that Faux Adobe houses with
chicken wire underlay turning buildings into mini Faraday cages he
shrugged the problem of as non problematical. Add the terrain factors
and he was dead meat from the get go<br>
<br>
His business plan consisted of " Wireless is great and is the future "
and had done 0 research or any financial or project due diligence after
a previous company had withdrawn from RR judging the project unfeasible
without massive RR City support which should have been a major red flag
to anyone.<br>
<br>
The project he consistently referred in Michigan was completed by his
father at 4 times the cost the Tyler was quoting ( with its major
clients in a harbor on boats with full line of site just like RR right
( : ) <br>
<br>
Bluntly he was a young kid way out of his depth riding a wave of hype.<br>
<br>
</font></font><font size="-1"><font face="Verdana">Taken together with
the Sandoval
Broadband project and Azul( did not )star I would bet that over $8m in
man power and financing has been wasted and that would have provided a
huge tract of fiber really moving Rio Rancho into the future</font></font><br>
<font size="-1"><font face="Verdana"><br>
I personally think his plan was to suck in the city to buy his project
out ( Like some poor locals did ) to save embarrassment for all, but
the city manager he was playing with departed <br>
<br>
The very good news about this projects collapse, and the pending one of
its infamous sister county project, is that now Fiber through the city
will come up for serious consideration</font></font><br>
<font size="-1"><font face="Verdana"><br>
Maybe the council should send the bill to Intel who promoted this
project in the first place<br>
<br>
Again a very classic example of " Do It Right THE FIRST TIME = Fiber +
Fiber + Fiber " all else is pure imitation<br>
<br>
( : ( : Pete<br>
</font></font><br>
Richard Lowenberg wrote:
<blockquote
cite="mid:Pine.GSO.4.44.0709251216100.4709-100000@wheel.dcn.davis.ca.us"
type="cite">
<pre wrap="">Tuesday, September 25, 2007
RR Terminates Wireless Contract
By Rosalie Rayburn
Albuquerque Journal Staff Writer
Rio Rancho's ambitious free wireless Internet project is officially dead.
City contracts administrator Steve Ruger sent a letter to Azulstar
president Tony van Houwelingen late last week immediately terminating the
wireless company's contract with Rio Rancho.
The letter, dated Sept. 20, said the wireless company failed to honor
terms of the contract regarding payment for electricity charges, providing
a satisfactory business plan and proof of its financial ability to offer
continued service in the city of Rio Rancho.
"The city does not see a continued relationship with Azulstar as in
its best interest," the letter said.
Grand Haven, Mich.-based Azulstar signed a contract with the city in
2004 to operate a wireless network on city property and rights of way. In
return, Azulstar was supposed to provide eight free hours of Internet
service per month for residents of Rio Rancho.
The letter said Azulstar was in breach of contract because it owes the
city $33,000 for electricity charges.
Under the terms of the contract, Public Service Company of New Mexico
billed the city for electricity Azulstar used to run its wireless network.
Azulstar was, in turn, supposed to reimburse the city, Ruger said.
The city sent Azulstar an invoice on July 27 for electricity charges
dating back to 2005, when the company began operating its network.
Ruger said Azulstar did not respond and has continued to incur
electricity charges at the rate of about $1,600 per month.
Reached by telephone on Monday, Houwelingen told the Journal he needed
to consult with the company's primary owners in New Mexico before he could
comment.
Ruger said he sent the letter to Houwelingen because his name was on
official communications the city received from Azulstar.
City officials have been pressuring Azulstar since early May to get
the wireless company to address complaints about poor service and lack of
customer support.
In early July, city officials threatened to terminate Azulstar's
contract within 40 days unless the company provided a plan showing how it
would improve service.
In mid-August, Azulstar submitted a plan to revamp its network and
billing procedures. Azulstar also said it would arrange to be billed
directly by PNM.
The city spent nearly a month reviewing Azulstar's plan before it sent
the letter terminating the contract. The letter notified Azulstar that it
has until Dec. 31 to remove all its equipment from city facilities. After
that, the city will remove any remaining equipment and invoice Azulstar
for any associated costs.
The city currently has no plans to seek another wireless provider,
Ruger said.
------------------------------------------------
Richard Lowenberg
P.O.Box 8001, Santa Fe, NM 87504
505-989-9110, 505-603-5200 cell
New Mexico Broadband Initiative
<a class="moz-txt-link-abbreviated" href="http://www.1st-mile.com/newmexico">www.1st-mile.com/newmexico</a>
------------------------------------------------
_______________________________________________
1st-mile-nm mailing list
<a class="moz-txt-link-abbreviated" href="mailto:1st-mile-nm@mailman.dcn.org">1st-mile-nm@mailman.dcn.org</a>
<a class="moz-txt-link-freetext" href="http://www2.dcn.org/mailman/listinfo/1st-mile-nm">http://www2.dcn.org/mailman/listinfo/1st-mile-nm</a>
</pre>
</blockquote>
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<p class="MsoNormal"><span
style="font-size: 10pt; font-family: Arial; color: maroon;">Peter
Baston</span></p>
<p class="MsoNormal"><strong><span
style="font-size: 10pt; font-family: Arial; color: maroon;">IDEAS</span></strong></p>
<p class="MsoNormal"><span
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href="http://www.ideapete.com/"><em><span style="font-family: Arial;">www.ideapete.com</span></em></a></span></p>
<p class="MsoNormal"><st1:Street w:st="on"><st1:address w:st="on"><span
style="font-size: 10pt; font-family: Arial; color: maroon;">3210 La
Paz Lane</span></st1:address></st1:Street></p>
<p class="MsoNormal"><st1:place w:st="on"><st1:City w:st="on"><span
style="font-size: 10pt; font-family: Arial; color: maroon;">Santa Fe</span></st1:City><span
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<p class="MsoNormal"><st1:City w:st="on"><st1:place w:st="on"><em><span
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505-890-9649</span></em></p>
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505-629-4227</span></em></p>
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505-690-3627</span></em></p>
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