What if you could cut out the last mile and connect directly to all of those high-bandwidth fiber-optic lines? That's what Wi-Fi does. Its technical name is IEEE 802.11b High Rate, and it is a standard that enables wireless networking within a range of 300 feet. As Andy Kessler of Velocity Capital Management LLC wrote recently, Wi-Fi "uses the 2.4 gigahertz spectrum the FCC set aside for things like microwave ovens and cordless phones." In so doing, it enables truly broadband connections -- up to 11 megabits of data per second.
That's a third-generation network without the cost of building a third-generation network. The only downside is that it is necessarily localized -- the range can't be greater than 300 feet. But that may not be much of a problem. Can you really send email while you're driving?
People in most major metropolitan areas can now buy Wi-Fi antennas for their homes, apartments, or offices -- which will enable many of the same capabilities offered by 3G at a lower cost. The big players in the telecom and wireless industries dismiss Wi-Fi as the "ham radio" of wireless. Maybe. But as the financial woes of the big telecom players increase, look for Wi-Fi to emerge as the future of the wireless world.
John Ellis (jellis@fastcompany.com) is a writer and consultant based in New York.