Gric's broadband pricing plans offer unlimited dial-up plus 50 hours of broadband (Wi-Fi plus Ethernet) for $49.95 per month, or 50 hours of dial-up plus 100 hours of broadband for $59.95 per month.
Gric reported that its virtual network spans more than 300 major telcos, ISPs and wireless ISPs but did not elaborate on its wireless partners. The company is a contributing member of the WiFi Alliance WISPr committee and says it supports the alliance's efforts to enable the hotspot market. Gric also plans to support seamless roaming between Wi-Fi and 2.5G/3G wireless networks.
Complementary offerings include more than 23,000 dial-up access points, ISDN access in 49 countries, PHS (Personal Handyphone System) access in Asia, Ethernet access in 580 hotels worldwide and managed VPN services.
Gric supports 802.11b and cellular technologies, and expects support for 802.11g, GPRS and 1XRTT (CDMA2000 1X) by the end of 2004. Authentication is through its Mobile Office client software, which also provides access information for different locations. Gric is an excellent choice for customers needing a single global network for Internet access, and because of the large number of hotspots supported, was a top contenders in our MSE RFI.
Gric Communications, (408) 955-1920. www.gric.com
iPass
At its inception, iPass was a dial-up network service provider that let users obtain ISP service globally with a local call. It accomplished this by acting as a network aggregator, reselling service from a multitude of ISPs and employing client software to facilitate connections. Like its closest competitor, Gric, iPass has extended its business model to include wireless hotspots, offering an impressive 3,990 locations in 500 cities, 79 airports, 2,013 restaurants, 888 hotels, 10 convention centers and 1,000 other locations. In addition, its traditional dial-up access spans 15,000 access points in 150 countries, assuring subscribers some form of connectivity in many parts of the world.
IPass concentrates on sales to large enterprises. For smaller customers, iPass has partners that resell its service, using a combination of their own brands and the iPass name. The company offers pricing on a per-minute basis, saying that its studies show this model proves more economical for most customers. Pricing in the United States is typically 12 cents per minute.
The company's client software, iPassConnect, is similar in functionality to the Boingo client and provides a number of helpful functions, including a consistent user interface independent of the network provider and the type of access network; location of service based on city, state and country; the ability to connect to the Internet at these locations; and user authentication.
The wireless networks iPass supports utilize 802.11b, though PHS is available in some overseas markets. As an aggregator, iPass will support whatever new wireless technologies its partners deploy.
On a roaming basis, iPass supports the activities of the Wi-Fi Alliance. It also has defined a protocol, called General Interface Specification, that specifies how client software can interact with an authentication gateway, enabling the use of that client in any network supporting the protocol.
Strategically, iPass is collaborating with Intel on its Centrino platform. Clearly, iPass has a wide array of business relationships, and with its dial-up business as a base, its emphasis on a uniform global network experience and the large number of hotspots it supports, the company is in a good market position and rates as one of our top RFI contenders.
iPass, (650) 232-4100. www.ipass.com
T-Mobile USA
The largest nationwide cellular operator, with service in 45 of the top 50 U.S. metropolitan-area markets, owns and operates the largest hotspot network in the world, which it acquired when it bought Mobilestar. T-Mobile's network, now called T-Mobile Hotspot, is unique in that it emphasizes carrier-grade equipment and is the only large network currently operated by a cellular operator in the United States.
T-Mobile Hotspot has 2,200 locations nationwide, including 15 airport gates or terminals, 2,100 Starbucks in 23 states and 75 Borders Books and Music locations. T-Mobile says it plans to serve 2,600 Starbucks in 27 states and 400 Borders stores by year's end. Internationally, the service supports 200 Starbucks in the United Kingdom, Canada, Germany, Austria and the Netherlands.
Pricing is $29.99 per month for unlimited use with a 12-month contract, or $39.99 without a contract. Prepaid plans are $50 for 300 minutes, and metered plans run 10 cents per minute with a 60-minute minimum. Enterprise customers can obtain discounts and plans that combine hotspots with GSM/GPRS service. T-Mobile says it intends to integrate its nationwide GSM/GPRS network with its T-Mobile Hotspot service, tying together billing and authentication mechanisms. The company also intends to support the IEEE 802.1x network security framework. These developments are planned for later this year.
The network uses 802.11b, but T-Mobile did not state which WLAN technologies it plans to support in the future. Authentication is via a secure Web page, and hotspot locations are listed on the T-Mobile Web site. The company is also developing client software, which will include a location directory.
While other cellular carriers such as AT&T Wireless are also deploying hotspot networks, T-Mobile is in the lead, in a strong position because of its large base of existing subscribers who may wish to augment their GSM/GPRS accounts with broadband capability. With respect to the RFI, T-Mobile had attractive pricing and an impressive network, but could not provide as many locations as the aggregators.
T-Mobile USA, (800) 981-8563. www.t-mobile.com
Wayport
A leading hotspot network operator that emphasizes deployment of its own network, Wayport distinguishes itself in two important ways: First, it offers Ethernet connectivity in many locations, particularly hotel guest rooms. This is a sound strategy because more business notebook computers have Ethernet ports than wireless capabilities. Second, Wayport concentrates on physical locations, such as hotels, that are frequented by off-site employees and business travelers.
Wayport's network includes 450 hotspot locations across 246 cities, six airports and 444 hotels.
Pricing includes both wireless and Ethernet connections. With a one-year contract, unlimited monthly use costs $29.95; without a contract, it's $49.95. Daily rates typically run $9.95 at hotels and $6.95 at airports. Customers can also buy prepaid connection cards, which cost $25 for three connection periods, each lasting 24 hours at a particular location, $50 for eight connections and $100 for 20 connections. Wayport will customize enterprise accounts.
For roaming, Wayport does not extend its network through agreements with other operators, instead opting to provide other carriers, ISPs and aggregators with access to its network. Roaming agreements are currently in place with AT&T Wireless, Boingo, Gric, iPass and Verizon Wireless. Wayport is the founding member of a roaming initiative called Pass One, however none of the other operators reviewed cited Pass One support.
Wayport supports 802.11b. By the end of 2004, it plans to support 802.11a and 802.11g, as well as 802.1x security. Authentication is via a Web page or client software. Users can learn of locations via a Web page or through a printed location guide.
The number of hotels that offer Wayport coverage is impressive. Enterprises whose employees access their networks mainly from hotel rooms--not an uncommon scenario--would do well with Wayport's service. For MSE, Wayport's emphasis on business locations was a good fit, as was its pricing, but it did not provide as many locations as some of its competitors.
Wayport, (512) 519-6000. www.wayport.com
Hotspotzz
Hotspotzz operates its own hotspot network and also provides a full set of conventional ISP services--an attractive model for smaller companies that don't want to have separate ISP and hotspot accounts. Hotspotzz is also the only hotspot operator with an aggressive deployment plan for campgrounds and taverns.
Hotspotzz's 574 locations, distributed across 58 cities, include 64 restaurant/coffee shops, three hotels, one convention center, two shopping centers, three hot zones (a continuous portion of a metropolitan area) and 500 KOA campgrounds. The company says it will add coverage at more than 1,000 taverns by year's end, projecting a total of 2,500 locations.
Per-user pricing is extremely aggressive, at only $9.95 per month for unlimited use, with no contractual commitments or $14.95 including dial-up service. Short-term plans include $5.95 for 12-hour blocks and scratch cards that offer one hour for $2.95, four hours for $4.95 and 24 hours for $7.95. Groups of 50 or more receive a 25 percent discount.
Roaming partners include iPass and Airpath Wireless, and Hotspotzz says it plans to support all major roaming initiatives by year's end. Added services include dial-up access (using the same user name and password as hotspot service), e-mail accounts, spam and virus protection, personal Web accounts and Web acceleration.
The network uses 802.11b, and Hotspotzz says it plans to deploy 802.11g and Bluetooth by 2004. The operator uses Web-based SSL authentication and informs users of locations via its Web page and e-mail.
To expand its network, Hotspotzz has an ISP affiliate program, where any ISP can purchase and install a Hotspotzz-enabled access point. Hotspotzz handles the authentication and customer relationships, but the ISP keeps 100 percent of the revenue generated. Presumably, Hotspotzz's payoff is gaining a broader network for its subscribers. This is good example of the innovative business models operators are using to develop the market; however, the Hotspottz network's consumer-oriented hotspot locations were not a good fit for MSE.
Hotspotzz, (887) 580-6231, (801) 924-0900. www.hotspotzz.com
Surf and Sip
Surf and Sip Surf and Sip's strategy is to operate its own network, minimize complementary services and keep costs down. Of its 350 hotspots across 200 cities, 300 are in restaurants, consistent with the name of the company, with the remainder in hotels and marinas. Thirty-nine of the locations are in San Francisco, where the company is based.
Per-user pricing is $20 per month with an annual commitment; otherwise you'll pay $30 per month. Pay-as-you-go plans include a one-day rate of $5, a seven-day rate of $20, and a 30-day rate of $40. Surf and Sip also offers 30-minute and 120-minute cards at $5 per hour. The company did not specify any discounts for large numbers of users, suggesting a more consumer than enterprise focus.
The company's roaming partners are iPass and Boingo--the arrangement allows iPass and Boingo subscribers access to the Surf and Sip network, but Surf and Sip subscribers cannot access the iPass and Boingo networks. Surf and Sip did not list any specific roaming initiatives it intends to support, and for all technology questions, indicated it would support whatever prevails. Current access points use 802.11b.
Customers obtain information about hotspot locations via the Surf and Sip Web page and e-mail. Despite its inexpensive rates, Surf and Sip was not a good fit for our RFI because of its locations and number of hotspots.
Surf and Sip, (415) 974-6321. www.surfandsip.com
Toshiba America Information Systems
Toshiba is a relative newcomer in this market but brings an aggressive deployment plan and the broadest range of components, including a hotspot network, access point hardware, flexible offerings for service partners, as well as laptops and PDAs with integrated Wi-Fi capabilities. Toshiba's commitment to this space is evidence of how strategic this market has become for the computer and communications industries. Toshiba's approach is to minimize network deployment costs by providing low-cost access points that integrate the access-control function, to centralize all other functions, and to use low-cost backhaul connections such as DSL.
Toshiba's network is in a rapid stage of buildout, and Toshiba did not state what how large its network would would be by June 1 (as the RFI requested). However, the company indicated an ambitious goal of 10,000 hotspots globally by the end of this year in locations that include coffee shops and hotels.
Pricing depends on the location and is often determined by an entity other than Toshiba, such as the hotel. Costs typically range from $6 to $8 per 24 hour session, $5 to $7 per two hour session and $3 to $5 per one hour session.
Toshiba supports the Wi-Fi Alliance's WISPr effort but so far has made only one roaming agreement, with iPass, public. However, the company says it intends to have roaming agreements with a sufficient number of providers so that a single user account will provide Internet access at any public location. We like to see companies aim high.
Its technology is based on 802.11b and will likely include 802.11a, 802.11g and Bluetooth by the end of 2004, like Boingo and most other participants, though Toshiba was one of the few to specifically mention future Bluetooth support. Toshiba does not provide client software and uses Web-based authentication. It informs users of locations through its Web site, partners' Web sites, the Wi-Fi Zone Web site and various other promotional campaigns.
Planned complementary offerings include wireless printing and location-based services, and eventually, voice calling from PDAs. As for our RFI, Toshiba is perhaps a bit early in its deployment cycle but brings to the market vast resources and influence. In addition, its low-cost infrastructure helps make the business model viable.
Toshiba America Information Systems, (949) 583-3000. www.toshiba.com/tais
Deep Blue Wireless
Deep Blue Wireless is a small network operator with coverage concentrated in hotels and restaurants in 11 California cities, the largest cluster in the San Francisco Bay area. Unlike other operators that are expanding coverage as rapidly as possible in what amounts to a land grab, Deep Blue is choosing locations carefully so that it can maintain a positive-cash-flow business model. This is the opposite strategy of its competitors, which are deploying thousands of hotspots in the hope that hordes of subscribers will make the business model work eventually.
Deep Blue offers a total of 50 hotspot locations, including 15 restaurants/coffee shops, 15 hotels and one convention center, in Monterey, Calif. Coverage is also available in apartment buildings, residential communities and on a temporary basis for corporate events.
Pricing depends on location: It's free in some restaurant/coffee shops where the owners provide service to encourage customers, $5.95 per day at other restaurants/coffee shops and $8.95 at hotels. In most cases, the location manages the customer relationship and pays Deep Blue a monthly fee. The company also offers an unlimited use plan for $19.95 per month. Discounts of 10 percent to 20 percent are available for larger blocks of subscriptions.
Roaming partners include Boingo and iPass, as well as some smaller WISPs through which coverage extends to a few hundred hotspots nationwide. Planned complementary services include voice over IP, driverless printing and location-specific information. Deep Blue supports 802.11b and says it plans to support 802.11a, 802.11g and Bluetooth in the future. Authentication is via a Web page. Users obtain information on hotspot locations through a Web page and printed material.
Deep Blue specializes in tailoring solutions that address the requirements of specific locations, such as access technology, billing and coverage. Focusing on locations such as hotels and restaurants for its key customers, rather than end users, may prove a good strategy. But Deep Blue Wireless was not a good fit for our RFI because of limited locations and number of hotspots.
Deep Blue Wireless, (877) 895-HELP. www.deepbluewireless.com
Peter Rysavy (www.rysavy.com) is a consultant who has spent the last 12 years specializing in wireless deployment strategies.
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