Wi-Fi: Cheaper and Better?

Cheaper and faster than high-speed cellular, Wi-Fi is already widely available for bandwidth-intensive users, although comparatively limited locations. But Wi-Fi promises to become even more pervasive, as well as speedier, and could begin to support new types of cutting-edge services.

Today, Wi-Fi hotspots allow connections within about a 50-foot radius of the access point, at typical speeds of 54Mbps (802.11g). Most users actually receive less than half that, depending on how many other people are using the network and what type of connection links the wireless access point to the Internet. And Wi-Fi comes standard in most laptops as well as many PDAs, making connections easy.

In the future, Wi-Fi will be built into more types of devices, enabling new networking opportunities in the home and office. In the home, stereos, TVs, speakers and home media networking systems already have Wi-Fi, allowing users to stream music from a computer or the Internet to the stereo. Right now, this area is a bit of a hodge-podge of incompatible devices and many require pro-level installation, but connections will become more transparent in the future. If you can plug in your RCA cables, you will be able to use wireless media networking.

In both home and office, expect a storm of Wi-Fi phone handsets that use VoIP to connect calls over the Internet, vastly reducing or eliminating long-distance charges. Some handsets are available now, but require you to use a particular service, such as Skype or Vonage. In the future, Wi-Fi handsets should be more generic, and also allow landline connections.

Hotspot Roaming

Probably the biggest complaint among current hotspot users is the fact that you can't roam across many popular networks, so you have pay for day passes in places that aren't covered by your monthly plan. This can often double the cost of hotspot access. While aggregators are working hard to alleviate your aggravation, the situation is not going to change any time soon. Hotpot operators are still aggressively adding new locations, and until things settle down a little, they will be loathe to let others take advantage of their investment.

Eventually, you should be able to roam with Wi-Fi just as easily as with your cell phone. Meanwhile, the best bet is probably to use a hotspot aggregator like Boingo, which makes agreements with operators to allow their customers to use tens of thousands of hotspots. Boingo customers pay $22 per month for unlimited use at Boingo hotspots. But this does not include access to the coveted T-Mobile network (including Starbucks, Borders, and many airports), which will run you another $30 a month.

New Wi-Fi Standards

Early Wi-Fi adopters have already been through two or three generations of equipment and standards, moving from 802.11a (11Mbps), to 802.11g (54Mbps), and then to enhanced-G or MIMO technology (102-125Mbps). Yet more upgrades and new standards are in the works. Late next year, the much-hyped 802.11n standard should be ratified, with equipment appearing in 2007. That will provide blazing fast speeds up to 540Mbps, a full 10 times faster than 802.11g. It will also improve range by three or four times, making it much easier to get connected at your local hotspot, or even next door! In case you're wondering, your current Wi-Fi adapters will be able to connect just fine to 802.11n routers, so you won't have to run out and buy new ones.

Another Wi-Fi upgrade in the works is 802.11s, also know as the mesh standard. Today, every Wi-Fi access point must be connected to some sort of wired line, such as DSL, to link back to the Internet. But for users who would like to install multiple access points, connecting to the wireline at each access point can become a problem. The mesh standard will allow access points to forward traffic from one to another, until the traffic finally reaches a router connected to the Internet. This technology will be useful in office buildings or even cities that are building large Wi-Fi networks. A standard has not been settled on yet, but it should appear in the next couple years.

Also in the offing is 802.11e, supporting what's known as quality of service. Once Wi-Fi equipment supports 802.11e, it will become easier for users to make voice calls over Wi-Fi networks, and to use Wi-Fi for things like streaming audio and video. Boingo is testing a VoIP service with Skype called Zones. For $8 per month, customers with a Wi-Fi phone or Skype software on a laptop can make and take phone calls from Boingo hotspots.

The final frontier for Wi-Fi, as we mentioned in the previous section, is integration with cell phones. A few companies are already developing phones that work in both Wi-Fi hotspots and on cellular networks. That means users can access higher speed and potentially lower cost Wi-Fi networks when available, or the more expensive and potentially slower cellular network elsewhere. Some of the cellular companies, including Cingular and T-Mobile, also have hotspots. "We already offer Wi-Fi and see it as a complement to 3G," said Ritch Blasi, director of media relations at Cingular. He envisions current customers roaming from a hotspot, where they'll get the highest speed connection, to the cellular network, where they get connectivity outside of the hotspot.