In late August, EarthLink Chief Executive Officer Rolla Huff announced plans to eliminate about 900 employees. The company, which struggled financially this year, said it could not afford to consider any more municipal wireless projects until it solidifies a new and more profitable business model. The announcement dramatically affected the wireless plans of several cities already doing business with the company.

San Francisco's plan needs to be cleared by the city's Board of Supervisors, even though Newsom negotiated a deal with EarthLink and Google earlier this year. Newsom and Board of Supervisors President Aaron Peskin partnered last month to advance a ballot initiative that would allow city residents to vote this fall on whether they support building a free, wireless broadband network.

A Newsom spokesman said the stories about "the death" of the project have been greatly exaggerated and that Newsom is going to continue to seek free wireless service for the city.

Another high-profile broadband project fizzled this month in Chicago, which also was considering a proposal from EarthLink. The Windy City shelved its plan when negotiations stalled over who would pay to build the network, which was expected to cost $18.5 million. Chicago had received bids for the project from AT&T and EarthLink.

Chief Information Officer Hardik Bhatt said the city expected the wireless plan to be much less expensive and became discouraged by rapid changes in the broadband marketplace.

Another project in Houston, which had teamed with EarthLink, is unraveling. The city has delayed its plan for nine months while the company reassesses its broadband strategy.

Some cities are still moving forward, however. Officials in Los Angeles this week announced plans to study building a citywide broadband network.

The city has hired the consulting firm Civitium to study the feasibility of its wireless initiative. The consulting team will include Jim Baller, an attorney who has regularly represented municipalities building their own broadband networks.

Los Angeles already provides free wireless service at its libraries and in scattered spots throughout the city. The study, which will examine its previous experiences with wireless hot spots, is expected to be delivered to Mayor Antonio Villaraigosa by the end of the year.

A few lawmakers are even pushing statewide wireless plans. The Greenville News in South Carolina reported that state Sen. Jim Ritchie, a potential GOP gubernatorial candidate, told a local technology group he wants the Palmetto State to be the first with a statewide broadband system.