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Why AT&T Loves Wi-Fi
Fortune
By Michael Copeland
December 8, 2008

Thus far the Wi-Fi "hot-spot" business has a big problem: There's nothing "hot" about it. No one really wants to pay much for wireless access. So why did AT&T just spend $275 million for hot-spot shop Wayport? Several reasons, all good news for business travelers. With Wayport, which manages Wi-Fi networks for McDonald's and select Four Seasons hotels, among others, AT&T expands its hot-spot footprint by about 2,800 locations in the U.S., to 20,000. AT&T's broadband customers, who have access to its hot spots, just got a nice upgrade. But if you have an iPhone — or any dual 3G/Wi-Fi-device — you're getting a truly sweet upgrade. Why? iPhones and similar gadgets have clogged AT&T's 3G network; Wi-Fi (still much faster than 3G) is a way around that traffic jam. The more Wi-Fi customers use, the less strain on the expensive 3G network. AT&T president Ralph de la Vega says that soon all the high-end wireless devices the company sells will be Wi-Fi-ready.

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