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Committee advances new free Wi‑Fi contract with Advanced Wireless Group expected to generate revenue for SFO
Summary
The committee advanced a lease with Advanced Wireless Group to provide free Wi‑Fi at San Francisco International Airport; AWG would pay the airport about $2.225 million in year one and establish advertising on the landing page; the budget analyst called the agreement "an excellent deal."
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The Budget and Finance Committee forwarded a new agreement with Advanced Wireless Group (AWG) to provide free Wi‑Fi across San Francisco International Airport, a contract the airport presented as converting passenger expectation for free internet into a revenue source.
Kathy Weidner told the committee SFO moved from a pay‑for‑service arrangement with T‑Mobile to a free access model after passenger feedback, and that the RFP process produced the AWG agreement. Under the proposed contract AWG would pay $2,225,000 in the first year and $250,000 in the second year; if the airport exercises additional option years the minimum annual guarantee would increase by $25,000 per option year. AWG is authorized to sell limited advertising on the Wi‑Fi landing page; the airport retains the right to sell its own opening‑page advertising in the future but has no immediate plans to do so.
Supervisor Kim and others asked whether the service covers the entire airport and whether the airport considered building an in‑house system; Weidner said the contract covers airport‑wide service, including the rental car center, and that in‑house operation was explored but proved less cost‑effective.
Budget analyst Mr. Rose recommended approval, estimating SFO would receive about $1,375,000 over five years assuming option years are exercised; he described it as “an excellent deal” in his report. There was no public comment. The committee moved Item 2 forward with recommendation without objection.
Next steps: The contract was forwarded to the Board of Supervisors for consideration on the Board’s agenda.
