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JUPITERRESEARCH ESTIMATES MUNICIPAL WIRELESS PROJECTS COST $150,000 PER SQUARE MILE, SETTING A HIGH BAR FOR BREAKEVEN BEST MET BY PRIVATE-PUBLIC COOPERATION
(New York, NY - July 6, 2005) - JupiterResearch, a division of Jupitermedia Corporation (Nasdaq: JUPM), today released the results of its report on municipal broadband wireless entitled, "Municipal Wireless: Partner to Spread Risks and Costs While Maximizing Benefit Opportunities". The report is motivated by a paucity of unbiased analysis for stakeholders assessing the merits of government involvement in broadband wireless networks based on Wi-Fi.
The report examines at the character of current projects across the U.S., estimates the associated costs, and identifies the benefit opportunities. "Because the benefits of municipal wireless networks are inherently difficult to measure, and because it is too early to look at outcomes, examining breakeven thresholds provides the best reference point for decision-makers," stated Jay Horwitz, Senior Analyst at JupiterResearch. The report estimates that the average cost of building and maintaining a municipal wireless network is $150,000 per square mile over five years. According to the report, roughly 50% of current initiatives will fail to breakeven even if the benefit of the initiative is assumed to be $25 per user per month.
"This is a large potential market made up of roughly 40,000 localities, with projects that are often very large in scope and scale," said Julie Ask, Research Director at JupiterResearch. "Defining realistic goals as well as sound strategies and operational models today will greatly benefit vendors, government decision-makers and citizens alike," added Ask.
The complete findings of this report are immediately available to JupiterResearch clients online at www.jupiterresearch.com. For additional information on JupiterResearch's Wi-Fi Mobility research service contact Kieran Kelly, Vice President of Global Sales and Client Service, at 1-800-481-1212 or researchsales@jupitermedia.com.
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