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BusinessWeek on Wi-Fi

ydeepakjois writes "BusinessWeek is running a series of articles on the potential of wireless high-speed access, the Wi-Fi industry and the challenges faced by it. There is also an interesting bit about a business model for wireless carriers."

37 of 110 comments (clear)

  1. This is going to be a joyous thing by thedbp · · Score: 5, Interesting

    When Centrinos are commonplace and WiFi hotspots are provided and subsidized by Intel and the like around the country, those lucky bastards who bought iBooks and PowerBooks w/ AirPort YEARS ago will have a nice little windfall of free bandwidth as they roam around the landscape.

    Being ahead of the curve has always been good for Apple users - sometimes you find that the industry sort of settles around what you've been doing/using for years ... for instance, Macs have had built-in ethernet since 1991, and the first true a/v models that features composite and s-video input and output w/a second DSP chip specifically for the heavy a/v lifting, debuted in 1993.

    I feel like a Boy Scout w/ my Mac - always prepared. And not in the hot entree type of prepared - I mean the "ready for anything" type of prepared.

    1. Re:This is going to be a joyous thing by benjiboo · · Score: 5, Insightful

      Battery life on laptops needs to improve before wireless access is truly a useful thing. You couldn't anticipate being able to pick up a mail or video conference with such a big possibiliy of running out of juice. This is especially important as it's mainly useful to business users - even the most hardcore geek can do without the web for a few hours whilst traveliing etc.

      --
      Vacancy for signature. Apply within.
    2. Re:This is going to be a joyous thing by timeOday · · Score: 2, Informative
      What is this, an ad for Centrino?

      Anyways for what it's worth, a LOT of conferences nowadays set up wireless access and it is very popular. Just walk around at lunchtime and you'll see many people checking email (or just surfing the web or whatever). As for videoconferencing, that's not even popular over wired connections.

    3. Re:This is going to be a joyous thing by Surak · · Score: 4, Insightful

      At the risk of sounding somewhat like the Mac fanboy the parent poster is (as I am not a Mac fanboy myself), I'll point out that iBooks are supposed to get something like 5 hours of battery life in real-life use. Centrinos are supposed to get 5-7, I'm guessing 4-5 in real-life use. Personally I'd like to see notebooks that can do 8-10 hours -- IOW, a full day's work.

      I personally don't see anyway for battery life to improve unless people are willing to compromise on performance and whizbang features. Battery capacity itself is as perfected as it's going to get...the key is to cut down consumption. But everytime someone figures out how to cut consumption on one component, the laptop mfrs stuff more features in rather than focusing on a laptop that has the longest possible battery life.

      Unfortunately, too many people will buy laptop "X" with 17" display, DVD+R+RW/CD/R/RW combo superdrive, ultrawhizzy 300 GB hard drive, with the latest and greatest ultrawhizzy superfast processor and 1.5 hours of battery life rather than laptop "Y" which only has a 13.1" or 14" display, a relatively slow-clocked processor, with a somewhat slow, but powersaving hard drive, no removable storage and 7 hours of battery life.

      That's because they've bought into the marketing hype and have forgotten that the number 1 advantage of a laptop is to be able to work anywhere, anytime. Laptops don't NEED to be desktop replacements, they should be thought of as desktop complements, rather than replacements.

    4. Re:This is going to be a joyous thing by ePhil_One · · Score: 2, Insightful
      That's because they've bought into the marketing hype and have forgotten that the number 1 advantage of a laptop is to be able to work anywhere, anytime. Laptops don't NEED to be desktop replacements, they should be thought of as desktop complements, rather than replacements.

      Nonsense. While a laptop doesn't NEED to be a desktop replacement, if its a "desktop companion" it radically changes the function. If I chose a desktop companion laptop, it would be and "ultraportable", the biggest I'd consider would be the new 12" powerbook. I could carry it into wiring closets to attach to network equipment, keep documentaion handy, check website, and test network functionality.

      But I couldn't pop it open an work on spreadsheets and the like, update my resume, etc., even though technically its capable?

      Why?

      Version control. A while ago, I juggled three computers, home computer, work computer, and a laptop. Could never tell where the latest document was, and would often fork my own documents constantly, or not have the info I thought I had because it had been done on one of the other systems. Which one? Who knows.

      With a "desktop replacement", I use the same computer everywhere. Sure, maybe the battery only lasts two hours (I've never seen a laptop go much further than this except when brand new), but how often am I that far away from a power outlet?

      Actually, My palm does a really good job at being a desktop companion. Keeps my contacts, schedule, etc., stays in sync with my desktop (even key spreadsheets and documentation with its 256MB SD card) and has some handy games for keeping me entertained. Now only if it had a serial port for managing the network equipment...

      --
      You are in a maze of twisted little posts, all alike.
  2. What about the Security by Montgomery+Burns+III · · Score: 5, Insightful
    I have read several of the recent BW articles lauding the beaty and wonder of WI-FI. I was apalled at the lack of concern about the security issues associated with wireless communications.
    While it is great to talk about the productivity gains of the tools, we dare not ignore the threats against:

    Confidentiality
    Integrity
    Availability.
    --

    'ta
    1. Re:What about the Security by samhalliday · · Score: 3, Insightful
      the security issues are the same as they are with a hard line connection on a local network... regards snooping and so forth. if you want a secure connection, you dont use telnet, and you dont trust unknown keys in ssh/ssl. if you want your actions recorded for all to see, better use telnet :-/

      'nuff said.

    2. Re:What about the Security by timeOday · · Score: 2, Insightful
      What about the security? The good ole' wired Internet doesn't provide confidentiality or integrity anyways. That's why we have ssl. And supressing WiFi isn't going to increase availability of anything.

      Treat a WiFi adapter just like a connection to the Internet, and you can't go far wrong.

    3. Re:What about the Security by arvindn · · Score: 2, Insightful

      True. Too often a technology rapidly gains popularity and then the world finds that it is missing some vital component which, with hindsight, should have been built into the protocol in the first place. Worse, the extra feature can not be tacked on to it without breaking compatibility. Had SMTP had a better authentication system, spam would probably not exist today. Another example is gnutella - it didn't scale. But there is often no way to provide for the future since it is impossible to know what direction a technology is going to take. Burdening it with too many security related features early on might prove a barrier to adoption. One way out could be to make it extensible at every level (like X window. See how well it has withstood the test of time.)

    4. Re:What about the Security by Montgomery+Burns+III · · Score: 2, Insightful
      With all due respect, I am not attempting to stifle or suppress WI-FI technology.
      I sincerely believe that the security issues associated with WI-FI are somewhat more challenging than "connectivity to the Internet" in that, many folks are tempted to simply plug WI-FI into their internal corporate network without knowledge that they may be leaking their confidential data to bypassers.
      --

      'ta
    5. Re:What about the Security by Matey-O · · Score: 2, Interesting

      Not if you don't mind folks seeing your bills as you pay them.

      You can secure the transactions by running through SSH or setting up a vpn tunnel...there's some overhead, but I'd guess your computers could encrypt faster than the hardware in your 802.11 setup.

      --
      "Draco dormiens nunquam titillandus."
  3. this is a nice idea... by sickboy_macosX · · Score: 4, Interesting

    But it would be nice if we could see wifi hotspots in other smaller cities like Seattle Wireless has set up in their town. I think if ISP's could lower the equipment costs for their WI-FI equipment down from 600 dollars to about 100, or 200 more people would catch on. That and someone needs to come up with a way for the Wireless Providers to be able to shoot over the hilly and rocky mountains like we have in Southeast Idaho. And if we could fix the speed barrier, get the bottle neck up from 11mbps to 54 or even higher, that would rock!

    --
    --- /* In Soviet Russia, the Mac OS X kernel panics you! */
    1. Re:this is a nice idea... by Xerithane · · Score: 2, Informative

      I think you mean Seattle Wireless (.net). seattlewireless.org doesn't resolve for me.

      --
      Dacels Jewelers can't be trusted.
  4. What about free-as-in-beer by pork_spies · · Score: 3, Insightful

    We really have a chance to make this wave of the 'net' very different from the previous round - and that means taking control and offering an alternative vision (see Consume).
    Who care about what Business Week says? It's about as interesting as 3G phones from their end - ie not at all interesting, just another way to part us from our money. Yes, let's all buy wireless cards, but learn the lesson of P2P and make them available to all.

  5. Wow by arvindn · · Score: 2, Informative

    Business week seem to have got a really good tech section. Check out some of the articles in the "recent tech features" sidebar on the left.

  6. business travelers... by garcia · · Score: 5, Insightful

    this is my biggest problem w/Wi-Fi "hot-spots". There has to be more people than just "business travelers" that want wireless Internet connections...

    This is NOT a good business model people. I do NOT want to have to goto the local airport or downtown coffee shop (not my type of place) in order to get connected while I am out of my house.

    I want connections EVERYWHERE and ANYWHERE. I want to goto the local bar, sit down w/my NTN Playmaker, my Budweiser, and my 12 Wild Wings, watching Football, and hop on the net to surf, AIM, ssh, etc.

    I am NOT a business traveler. I will probably never be one.

    Good business models include a LARGE cross-section.

    1. Re:business travelers... by Shenkerian · · Score: 2, Insightful
      Good business models include a LARGE cross-section.

      If you meant to imply that all good business models include a large cross section, you're absolutely wrong. That mentality fostered the .com business models of "building brand recognition" that ultimately went nowhere. There are many spectacularly successful business models that are very narrowly targeted, but do very well at saturating their target market (think Mercedes-Benz).

      --
      You tell me how "whilst" differs from "while," and I'll stop calling you a pretentious jackass.
    2. Re:business travelers... by GlassUser · · Score: 2, Funny

      Mod this man up. If they're not geek chicks, they need to stay out of my personal space.

  7. Why is this so hard to understand? by grumpygrodyguy · · Score: 4, Insightful

    There is also an interesting bit about a business model for wireless carriers.

    There is no business model for wireless, that's why it's so great!

    It's 100% commodity based. Companies build commodity products, and the consumer purchases them to become part of the ISP. Mesh routers, 802X nodes, etc are all self-sufficient "black boxes" purchased by users for users.

    The last thing we need is another middle-man sending us a bill for something that's free!

    --
    The government has a defect: it's potentially democratic. Corporations have no defect: they're pure tyrannies. -Chomsky
    1. Re:Why is this so hard to understand? by stripes · · Score: 2, Insightful
      There is no business model for wireless, that's why it's so great!

      Yeah, but if there is a business model that includes profit there will be a lot more wireless sites to use (if you are willing to pay), and it shouldn't have a big impact on the number of free ones.

      Having a model where some folks "give it away" is great, the lack of a for-profit model isn't great.

    2. Re:Why is this so hard to understand? by div_2n · · Score: 2, Insightful

      Someone has to pay the costs for keeping up the equipment and the high speed connection everyone is using.

      How do you figure that my T1/T3/etc is free? What about the $500-800 bucks for a quality WAP/Router that dies and has to be replaced?

      Look, I am all for free services. But the bottom line is that somewhere in the chain someone has to pay. Are you suggesting mass mooching?

      The only way this would be a truly free endeavor is if the idea of a structured network went out the door and everything was truly meshed down to the web pages you want to visit. No more copper or fiber lines because all data is flowing over the air to and from each device like one gigantic peer to peer network.

      I don't want to think about how ineffecient that would be or how security would cease to exist.

  8. Interference by Tweakmeister · · Score: 3, Interesting

    I think you'll find WiFi slowly fazed out for different technologies, namely ones that are...proprietary.

    Interference and crowding may prove to become too much of an issue as everyone hops on the bandwagon.

    This being said, WiFi is a great technology to pave the way in wireless.

    --

    Colossians 2:8

  9. And the routers.... by lylum · · Score: 2, Funny

    and the manufacturers will continue to ship Wi-Fi access enabled routers for home use that are wide open. So truly everyone can access the internet from anywhere! (and do anything they want since there is no way to track them down...) Isn't that a threat for national security? haha....

  10. Fortune had an article in print... by Xerithane · · Score: 2

    and I was utterly disappointed to read, "This transfers at a rate of 11mbps, that's roughly equivalent to 10 minutes of digital music or 500 single page word documents every second."

    I really wish people would stop using this "roughly equivalent" analogy. What type of digital music are we talking? It doesn't answer anything really. If we're talking about a .WAV or other lossless format, 11mbits a second transfers what... a minute, if that a second? Nevermind the lack of understanding of big-B vs. little-B.

    This is off-topic, just something I read and wanted to bitch about.

    --
    Dacels Jewelers can't be trusted.
    1. Re:Fortune had an article in print... by realmolo · · Score: 2, Funny

      11 megabits per second...

      At that speed, it would take you 50 years to build a highway from the Library of Congress to the Grand Canyon and fill it with enough encyclopedias to fill an Olympic-sized swimming pool.

  11. Also see: E-week by Montgomery+Burns+III · · Score: 3, Informative
    --

    'ta
  12. Wi-Fi.. great for what it is by Fnkmaster · · Score: 5, Insightful
    I mean, it's great that Wi-Fi hardware is so cheap and commoditized and everything, but what people keep seem to be missing is that A) the cheap commodity hardware is designed for small local area coverage, which is fabulous for business LANs and easy home networking, but bad for a general mobile wireless service B) hotspot-only coverage just doesn't provide a strong enough value proposition C) the purely commoditized nature of the hardware makes for a zero barriers to entry business. Anybody can build a network of hotspots on one payment system. But even if everybody used the same payment system, there would certainly be some value from it, but not at such a striking level that it is likely to happen. D) The only businesses that really have a striking imperative to need hotspots there are coffee shops, hotels and other places that make a living off of having people linger. McDonalds wireless - bad idea (I know they are experimenting with it), they want to get you in and out as soon as possible.


    The fact is, 3G wireless networks are going to win out in the long run. Being able to open your laptop in the coffee shop and surf the web is great, but the bigger "wireless" market is vehicular embedded communications devices, fully connected PDAs, email-on-the-go, web browsing from where-ever you want. And no, futzing with my fucking cellphone keypad to send a stupid SMS message just doesn't count, I want it all on my Palm Pilot/Windows CE device, I want it seemless, I want it universal, I want it affordable.

    1. Re:Wi-Fi.. great for what it is by Locutus · · Score: 3, Insightful

      That's it guys, WiFi isn't going to enable the PDA and handheld. It's too power hungry and please don't try to tell me you can use WiFi on your existing handheld just fine. 1 hour of use and then back to the charger is NOT useful and only allows snake oil salesmen like Bill Gates to do demos. It's not usable in the business market or at home IMHO.

      Bluetooth has alot of the answers. It enables PDAs, handhelds, laptops, etc to have internet connectivity on the road via Bluetooth -> mobile phone connections. Using a Bluetooth WAP, you can get the connectivity at the office or home.

      In a class 2( 10meter ) configuration, you'll typically get 4x longer runtime than WiFi. Security becomes less of a problem because it's security-by-proximity( you can see who's trying to break in ). Heck, you want a secure meeting with wireless connectivity? Put a Class 3( 1-3meter) WAP in the middle of the meeting table.

      IMHO, WiFi should be the secondary wireless system and Bluetooth the primary one.

      LoB

      --
      "Anyone who stands out in the middle of a road looks like roadkill to me." --Linus
    2. Re:Wi-Fi.. great for what it is by GlassUser · · Score: 2, Interesting

      I can use wifi on my handheld just fine. HAH! I'm not lying either. Nice little CF card, and I can tap away for a couple of hours minimum (that's continuous use). External battery sleeves make it easy to stay powered yet free, or I could always plug in if I needed.

  13. Economist by jaaron · · Score: 2, Informative

    The Economist has a set of related articles in this week's edition.

    --
    Who said Freedom was Fair?
  14. Easy: VPN by div_2n · · Score: 4, Informative

    The only real stop gap solution at this point is to have a VPN server on the other side of the wireless connection. That way, your packets can be sniffed all day and would be crackers have to deal with breaking VPN crypto.

    I suspect that in the end, that will be the way to go regardless of new advancements in WEP that may or may not come about.

    The bottom line is that somewhere, the day will have to be encrypted in some way because it is open in the air for anyone to grab. If you put the burden of the horsepower required to encrypt/decrypt on your WAP, then your ability to serve large numbers of clients diminishes.

    In other words, leave the WAP duties up to the WAP and leave the encryption duties up to a VPN server. No changes to current technologies required.

  15. Re:Profitable by Surak · · Score: 2, Informative

    Operating positive means that your operating expenses are less than your operating income. Free-cash-flow positive means that you basically always have a positive cash-flow situation -- you always have cash on-hand. Net-income-profitable means that after taxes, overhead, and direct expenses, yada yada, you have a positive net income... Err...IOW you made money after you paid everything out, including taxes.

  16. Frequency limitations are to blame by div_2n · · Score: 2, Informative

    The limitations causing hills to be a problem are built into the 2.4 ghz frequency. Physics is to blame and cannot be changed. Signals such as FM radio have a much better ability to penetrate uneven terrain.

    The way to get around the problem of obstruction of signal, multiple repeater sites are necessary. There is a cost associated that makes it hard to justify if there isn't significant population density to cover an area.

    As far as upping speed to 54 mbps in the 2.4 ghz range, 802.11g will make that a reality. It is already here with 802.11a. 802.11a technology is a little more expensive currently though.

    Still, it doesn't matter because the further away from a WAP you are, the lower your data throughput will be. If your WAP is getting interference from another WAP, your maximum data throughput will be much lower than 54mbps anyway.

    Do not look for current wireless technologies to replace wired ones with equivalent functionality anytime soon. The best they can do is fill in broadband gaps by serving up a 128/256/512/1024K connections to those willing to pay for it.

  17. Personal Telco Wireless Project in Portland, OR by mrs+clear+plastic · · Score: 3, Interesting

    It's interesting to notice that none of the articles mentions anything about the Personal Telco wireless project in Portland, Oregon. This is a grass roots effort to provide limited free access to wireless
    internet in parts of Portland, Oregon.

    I also know that there are similar efforts going
    on in other cities.

    I also did not notice (it could be there as I only
    skimmed the articles) anything about the war-chalking that goes on in some areas to identify places where one can get a wireless session.

    Mark

    --
    Cleara
  18. Re:What about the Security - There are answers by Montgomery+Burns+III · · Score: 2, Informative
    Unfortunately, fear can bring paralysis. I believe that a thoughtful review of the subject will reveal that there are mechanisms available to bring about secure WI-FI functionality, e.g.: 1. Access Points must be placed on an isolated network segment connected to a firewall. 2. End users must be authenticated through the use of strong, two-factor authentication before being allowed to connect to the wireless network. 3. All wireless communication must be strongly encrypted (triple-DES or AES). This encryption must be through the use of an add-on product, such as a VPN concentrator. 4. WEP should be used (in addition to the other requirements listed above.)

    Lets provide secure solutions, they exist.
    --

    'ta
  19. WEP = worthless equivalent privacy by div_2n · · Score: 2, Insightful

    #1: Exactly what I was getting at. The first stop data should travel through to be secure is a VPN/Firewall before it gets anywhere else.

    #2: Not a bad idea. I assume you mean authenticate via RADIUS to get access to the WAP and then VPN to access the other side.

    #3: Absolutely. This is the ONLY way currently to guarantee security of data.

    #4 I disagree with completely.

    WEP is clearly and easily breakable. It can be a pain to keep up with WEP keys.

    At best it keeps complete beginners from viewing data packets.

    At worst it adds overhead to WAP's that doesn't need to be there with a VPN solution filling the void.

    The issue of additonal overhead is especially important if you are trying to serve greater than 50 clients per WAP. Actually many manufacturers currently recommend no more than 30 to 50 clients per WAP. If you throttle bandwidth and don't use WEP, you can get more without too much of an issue though.

    The quick, easy and practical solution to securing wireless is:

    1) Securely authenticate with an encrypted password (not WEP).

    2) Encrypt data via VPN once authenticated.

    Anything else is added overhead. The above two step process is EXACTLY what happens when using VPN over the wires. No WEP present there.

  20. Re:Abbreviaton? Acronym? by rushfan · · Score: 2, Informative

    WiFi stands for "Wireless Fidelity"

    More info + propaganda available at:
    See http://www.weca.net/OpenSection/why_Wi-Fi.asp?TID= 2

    Rushfan