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Will patience create a Wi-Fi winner?

Richard Shim CNET News.com

Published: 23 Sep 2003 13:15 BST

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Sky Dayton, who started EarthLink, now the US' No. 2 Internet service provider, may again be in the right place at the right time.

In late 2001, Dayton founded Boingo Wireless to sell Wi-Fi access to subscribers around the United States. Instead of building a new network, Dayton's big idea was to patch together a Wi-Fi network out of existing providers -- the same idea that he used to create EarthLink.

Since then, Wi-Fi card prices have fallen, and the technology is increasingly supported by notebook computer markers. What's more, the number of installations of hot spots -- public areas where broadband access is available through Wi-Fi networks -- is increasing.

Taken together, all of this is expected to help support an easy-to-understand hot spot business model. However, the service industry still has to continue to expand the scope of wireless networks with improved seamless roaming for the market to grow.

But as the numbers grow, so to do the expectations. CNET News.com caught up with Dayton for his perspective on the future of Wi-Fi technology and wireless computing.

Q: How will Wi-Fi affect people's perception of wireless?
A: Wi-Fi is introducing a lot of people to the concept of wireless data, and they are going to think, "Hey, I want 3G in my car, or I want to use it where Wi-Fi isn't available." At the same time, it's increasing the range and variety of devices to connect to networks. So, it's a whole new range of applications that we haven't thought of. An iPod is a natural. You can download music before you jump on a plane. As chip prices come down, Wi-Fi can be built into everything -- digital cameras, Game Boys and cell phones.

Where does Boingo Wireless fit into the hot spot scene?
Boingo is really an enabler to let major brand players have a viable Wi-Fi offering. So, we work with EarthLink and T-Mobile to allow their customers to get access to these networks easily.

How does the hot spot market compare with the cellular market?
Wi-Fi turns the traditional wireless model on its ear because the carriers don't need to worry about whether the user is going to need a device. The user already has the device that connects to the network before the network is even built. People are getting those devices at home and to use in the office, and I think it is safe to say that every broadband endpoint is going to have a Wi-Fi connection on the end of it. The last hundred feet of the Internet for users in homes and offices is going to be Wi-Fi.

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