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Unplugging the Competition

Clearwire officially arrives in Richmond and throws down the gauntlet at its 'wired' rivals.

Unplugging the Competition
Images courtesy of Clearwire
 Founded in 2003, Clearwire is a wireless high-speed Internet service provider that serves 39 U.S. markets as well as Ireland, Mexico, Belgium and Denmark.

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Kent Jennings Brockwell
Richmond.com
Wednesday, June 06, 2007

Richmond's newest option for high-speed Internet service has officially arrived.

Though Clearwire Corporation has been advertising and offering its new-generation Internet product in the greater Richmond area for the past month or so, the company formally announced its arrival Tuesday morning.

For those not familiar with the Kirkland, Wash. based company, Clearwire is a wireless broadband Internet service provider that delivers its high-speed service using a next-generation, non-line-of-site, WiMax wireless broadband network. In other words, the company delivers high-speed Internet service without using existing cable, DSL or telephone lines.

Subscribers are issued a small wireless modem, about the size of a small, thin hardback book, that once connected to a computer allows the user to receive broadband-speed Internet service, which is broadcast from local cell phone towers. Much like a cell phone, subscribers can also use their modem anywhere within Clearwire's coverage area, not just at home. The company boasts download speeds up to 1.5 megabytes per second in the United States.

Currently, Clearwire covers many of the most populous areas of Greater Richmond. According to a coverage map on the company's Web site, the new service is available in Richmond proper and most areas within the 288/I-295 loop including Brandermill, Chester, Glen Allen, Highland Springs, Mechanicsville, Short Pump and Wyndham.

Since launching its new technology in Jacksonville, Fla., in 2004, the company, which cell phone pioneer Craig McCaw founded in 2003, has grown steadily. Shortly after establishing itself in North Florida, the company began taking on more markets, large and small, from coast-to-coast as well as internationally.

Richmond marks the company's 39th and newest U.S. market. Abroad, Clearwire offers service in Belgium, Denmark, Ireland and Mexico.

And so far business seems good. According to Clearwire's 2007 first quarter results, the company boasts approximately 258,000 total subscribers, which represents a 25 percent increase over its year-end numbers from 2006. Not bad for a company that has only been offering its product for the past four years.

On the other hand, Clearwire just entered a market with two "wired" formidable and well-established opponents - Verizon and Comcast. Regarding Internet customers, Verizon currently claims more than 7.4 million total broadband customers nationally and Comcast boasts more than 12.1 million.

Those numbers aren't a problem, says Tim Payne, Clearwire's general manager for the Richmond market. Though he wouldn't give any numerical data, Payne said he has high expectations for the company's newest market.

"I have a feeling it is going to be a landslide," Payne said. "Without using numbers, I think we are going to have a very, very good response to the offering."

Pricewise, he may be right. Though Clearwire uses a fairly new and emerging technology, service only costs about $40 per month and doesn't require any installation charges.

However, according to Helen Chung, a Clearwire spokesperson, the low cost for such a new technology shouldn't be so surprising.

"As a wireless broadband provider, it is much more cost effective for us to build out our networks compared to traditional wireline networks," she said. "While our technology is new to the Richmond area, the technology we use has been deployed in more than 30 countries around the world since the early part of this decade. In addition, because our service is simple and easy to use, we don’t typically have to incur the expense associated with sending a technician to a customer’s house."

Besides announcing its new Internet product in Richmond, Clearwire also announced its newly formed partnership with the Children's Museum of Richmond. The company presented the museum with 25 new child-safe laptop computers equipped with Clearwire service and announced the creation of "Write On!," a new computer-based field trip creative writing program at the museum. Clearwire also announced that it will sponsor admission for 1,000 local area students to get the opportunity to experience the new field trip program.

  • For more information on Clearwire, check out the company's Web site at www.clearwire.com.
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