Saturday, December 5, 2009

Why Wi-Fi?

So, you may be wondering:Why should I build a community wireless network? The answers to this question are as varied and diverse as the communities themselves that have deployed wireless networks.

Early models for building wireless networks focused around their commercial potential. For several years, a number of companies (both venture capital and privately funded) embarked upon the task
of setting up as many for-pay hotspots as fast as possible across the country.This “land grab” mentality was met with limited success. While some market existed for paid Internet access in “captive audience” scenarios (such as hotels and airports), most venues are now discovering that the cost and hassle of the billing process make it more attractive to just offer Wi-Fi as a free service or “amenity” that compliments their business.

For example, coffee shops and hotels are not in the business of being an ISP. By offering free access, they can focus on what they do best—making lattes, yummy treats, and providing lodging for guests. Retail locations have now discovered that offering free Wi-Fi has enormous benefits as a marketplace differentiator. In other words, while the early models were to hope that Wi-Fi could be used as a revenue source, nowadays, these venues have made a significant change in perspective.They realized that millions of people had Wi-Fi built into their laptops, but a very small percentage were willing to pay for Wi-Fi when roaming outside of their home.With Wi-Fi revenue at miniscule levels, and deployment costs getting lower and lower (thanks to cheaper and cheaper hardware!), these venues understood that it made more sense to offer Wi-Fi for free as a way to attract more customers.

We’ve seen this paradigm before: hotels (like any industry) are always looking for a way to attract new customers and gain a competitive edge. Decades ago, hotels advertised these differentiators in bright neon lights. First is was “Air Conditioning,” then “Color TV,” then “HBO,” and now “Free Wi-Fi.”

Beyond the commercial applications, one of the most exciting areas of Wi-Fi proliferation has been in residential neighborhoods—in particular, in disadvantaged and low-income neighborhoods. However, regardless of your socio-economic status, the idea of sharing bandwidth and saving money has always been an attractive motivator.With the advent of 802.11, we can now legally share our
Internet connection and get to know our neighbors better at the same time!

No comments:

Post a Comment