The City of Toronto and Toronto Hydro have announced the development of one of North America's largest, citywide, wireless Wi-Fi networks. Still, despite the excitement such an announcement may evoke from the local business community, the details as to the scope, scale, and roll out of the network remains cloudy at best.

For starters, it's unknown if Toronto Hydro would employ the Wi-Fi or WiMAX standard or both. That decision in turn affects which infrastructure equipment would be required to implement the network, the cost of running it, and the pricing model users would be charged. Moreover, it remains unclear as to how many city blocks any future citywide Wi-Fi network would actually cover.

"It could be that a variety of technologies are used, such as they have in Fredericton and in other North American cities," said Doug Cooper, country manager, Intel of Canada. "It's not yet clear if it'll be the entire downtown core or specific streets. In order to get coverage in an area as large as (Toronto's) downtown core you'd probably have to use what's called a Wi-Fi Mesh Network, with access points each forwarding the signal to the next access point and thereby create a web of connectivity.

"But that would require thousands of access points."

Intel has been working with municipalities around the world to develop similar citywide networks through its Digital Communities program. Cooper said municipal governments everywhere are under pressure to go digital. Thus if the timing of the announcement by Toronto Hydro and the City seems premature, the benefit can still be found in the effort to kick-start the project while pumping up the channel and small to mid-sized business (SMB) opportunities that would arise.

"Many cities are taking advantage of the Internet to deliver services more efficiently and cheaply," he said. "This is a hot topic for municipalities right now . . . there's a recognition by a lot of municipalities to embrace this now flattened world and despite the ubiquity of wireless Internet, one area that has not (offered its services online) quickly is government."

Cooper remained focused on the positive elements the network will eventually provide.

"Imagine city repair workers being able to call up an underground water and sewer map and schematics where ever and whenever they need to. Or in the not too distant future, a city ambulance recalling patient records for an auto accident victim," he said. "Why wait until you get to the hospital to learn the victim is allergic to penicillin or some other medication? Wireless networks will change the speed and efficiency of information access.

"Though a lot of details are missing, this is a great opportunity for Canada, for the channel, and for SMBs to get connected to the digital world."

The announcement pits Toronto Hydro as a player in the estimated $8 billion Canadian wireless market. Surely, the likes of Bell Mobility, Rogers Wireless and Telus Mobility aren't pleased.

"I think Bell and Rogers are probably formulating their opinions on the subject," Cooper responded cautiously.

Warren Shiau, senior IT analyst with the Toronto-based Strategic Counsel, said Rogers has already questioned the move, stating a utility shouldn't use taxpayers' dollars to experiment on whether this is a good business opportunity.

"Whether or not it affects Rogers, Bell and Telus depends on how it's priced. There's always lots of talk about how blanket municipal Wi-Fi will make Internet access ubiquitous, help lower income families, promote business, etc., but the reality is it won't be ubiquitous unless it's free or of negligible cost," he said. "That would worry the wireless carriers; and phone line and cable Internet service providers as well."