BroadBand Telecom plans US$10mn Wi-Fi investment

US wireless Internet (Wi-Fi) network integrator BroadBand Telecom aims to invest US$10mn in 2004 to help finance implementation of hotspots across Latin America, a company executive told BNamericas. The company put up just over US$2mn this year to help finance installation of hotspots by Chilean multi-service provider Manquehue Net, BroadBand Telecom's first in-country partner. Manquehue operates 15 hotspots at sites including Sony stores, Casapiedra conference center, various Santiago hotels, country clubs and universities. BroadBand Telecom aims to unite several operators in different countries to create a regional network offering the same value added services, much as Manquehue does within Chile, said the official, the US company's Latin America VP Marcelo Lefort. Paid up Manquehue clients automatically gain access to all the company's hotspots, and will enjoy similar access to hotspots across the region under the BroadBand Telecom umbrella, he said. Regional coverage will be built around BroadBand Telecom's agreements with major carriers such as AT&T (NYSE: T), MCI and Equant, which can offer additional services such as hosting, Lefort said, adding that the company will nevertheless require partnerships with local telcos along the lines of its agreement with Manquehue. Another major component of the regional network will be an agreement with the Starwood-Sheraton chain of hotels, with more than 40 sites across the region. BroadBand Telecom and Starwood-Sheraton are in the final stages of drafting their contract, Lefort said. The BroadBand Telecom network also extends to the company's laboratories in California and negotiations are in progress with a hotel in Brazil, which Lefort said has reserved the right to announce the service launch when it sees fit. Another aspect of coverage will be roaming agreements with other Wi-Fi service providers, and in Chile Lefort expects to secure deals with major telcos Telefonica CTC Chile (NYSE: CTC) and Entel probably next year.