Beyond WiFi
Industry watchers map new wireless frontiers
By Paul Boutin 

No doubt 2003 was the year of WiFi. The wireless networking technology, renamed from its nerdy industry standard number of 802.11b, made its way into in tens of millions of laptop and desktop computers, plus wireless network hotspots to serve them. Gadget makers unveiled WiFi PDAs, home-entertainment centers, even a cordless telephone that connects to the nearest hotspot to route calls over the Net. Intel threw $300 million into its "Unwire" campaign to persuade consumers to adopt WiFi. Airports, hotels, coffee shops and truck stops installed hotspots to lure big-spending customers who can't afford to be away from the Net.

What comes next after the WiFi boom? Industry watchers say WiFi will keep growing in 2004. There's already a faster version of the technology, nicknamed 54G, that runs up to five times faster than last year's 802.11b equipment — a boon for passing video files around a home network, or sharing data in the office. But WiFi also has its shortcomings: Hotspots only reach up to 150 feet indoors and 300 feet outdoors, usually less. As a result, getting online via WiFi usually means seeking out a hotspot, the way you used to hunt for a phone booth to make a call. Hotspot operators often charge their customers for access, too, using any of several dozen systems that usually don't accept one another's customers. Some hotspots charge as much as $15 minimum, even for a just few minutes' access to check e-mail. It's like trying to make a call from your hotel room in the days before cell phones.

It's probably no surprise that the next hot wireless Internet technologies are coming from cellular phone carriers. Many cell phone users don't realize that their mobile handset is a digitally networked computer, much like a PC on the Internet. Your voice is digitized into packets of binary data — ones and zeros — that are routed through the air to an antenna, and then onto a high-speed network of wires, fiber optic cables and satellite links. Technologically, it's not a big leap to expand the cellular phone system to handle e-mail, Web pages, instant messages, even music and video. The biggest roadblock has been cost, which kept phone companies from investing after the stock market crash.

In 2004, though, high-speed cellular networks will finally become widespread in the United States. Americans have a choice from two basic kinds of cellular service: GSM, widely standardized in Europe and Asia; and CDMA, a different approach that's become popular in the States. Both kinds of networks are now being upgraded with new hardware to deliver speeds from 50 Kbps (comparable to a dial-up modem) to 250 Kbps (almost as fast as entry-level DSL service) from anywhere in town, using a cellular connection. They work with smart phones and PDAs with built-in cellular antennas, or with laptops that have a cellular modem card installed (look for built-in cellular hardware on 2004 laptops).

For now, cellular Internet service costs a bit more and runs a bit slower than WiFi. A card for your PC runs from $150 to $300, while data plans from wireless carriers start around $39 per month. But what they lack in speed and savings, they make up for in the ability to get online from almost anywhere, including a moving car or train. Amtrak commuters on the New York-to-Boston run can chat live with their co-workers during the trip. E-mail in the elevator? Check. Instant messages during a sales meeting? Check. Web surfing from the passenger seat of the car, while doing 55 mph through the Mojave Desert? Check, check and double check.

Bluetooth and RFID

Another wireless technology belatedly on the rise is Bluetooth, a short-range system that replaces cable clutter around your desk with wireless keyboards, mice, printers, and phone headsets, and makes it easy to connect to other people's hardware without adapted cables. Unlike IR (infrared) systems, Bluetooth can reach through walls, furniture, or clothing to connect devices not in plain sight. If you've got a Bluetooth-equipped cell phone, you can use it as a modem for your laptop.

The other wireless technology to land in consumers' hands soon will be radio frequency identification (RFID) tags. These are the wireless version of UPC bar code stickers, and work just like the keychain fob office workers use to unlock the building doors — they're scanned at close range by an electronic reader, and don't need batteries. Wal-Mart is pushing its biggest suppliers to start tagging shipments with RFID units to make inventory easier. As consumer products with the tags make their way into the home, there'll be other ways to put them to use. Italian appliance maker Merloni has already built a prototype refrigerator that scans any RFID tags on packages inside it. Are you out of butter at home? Now you'll be able to open a browser window and check from your desk.

Paul Boutin is a technology writer for Wired magazine and Slate. He has worked as a software engineer and manager at MIT and in Silicon Valley.