Archive for March 30th, 2005

Government as Communications Infrastructure Provider

Wednesday, March 30th, 2005

In spite of being an ardent free market propronent and a believer that less government is better than more, I am beyond beginning to believe, although not yet completely sure, that government would be the best WiFi provider. And I should add that maybe, maybe that could also be true for the physical wired network infrastructure (fiber-to-the-home/business) as well.

Should WiFi Be Public Infrastructure? (continued)
I hate logging in to all of these various hot spots. Each one has a different login, a different account, and the process is one big hassle.
I’ve begged for better wifi roaming and I’ve wondered if Wifi should be public infrastructure.
Yesterday, a reader sent me a link to this story about a silicon valley firm called AnchorFree that is putting up free hotspots that are sponsor supported.
That’s a lot better than the paid hotspots we have now, but what I really want is free Wifi everywhere. Or at least let me pay a monthly bill to someone and then get free wifi everywhere I go without having to deal with different vendors with different payment schemes and different login systems.
This is only going to become more important as we get wifi voip phones, wifi iPods with podcasting built in, wifi cameras, and wifi video.
I honestly believe that the cost of supporting public wifi is not that expensive and the benefits to the citizens of every city that does it is enormous.
UPDATE: A great post on the comparisons between public water projects in the 19th century and wifi today. It’s a very interesting read.

Easy Money?

Wednesday, March 30th, 2005

Fred Wilson comments on a journalist’s observation that we are about to enter "the most furious investing cycle in history" due to the vast amounts of cash raised by VC funds in 1999-2000 that their partnership agreements require them to soon use (invest) or lose (return to limited partners along with management fees that pay their salaries and expenses).

It is true that there is a huge "overhang" of venture money left over from the 1999/2000 fundraising binge. But that money can’t go into early stage deals because those deals take 5-6 years to turn into realizations. So this "overhang" is going into later stage deals. Look at $75 million going into Fastclick or $108 million going into Webroot. That’s where the overhang money is going to go. The early stage market may also be entering a "furious investing cycle" but that’s not being driven by the overhang from 1999/2000, its being driven by Web 2.0 and the realization that we have entered another wave of innovation around the Internet that will result in a lot of interesting companies being created, built, and sold over the next several years.