Google, eBay, buy into p2p WiFi
p2p news / p2pnet: Google, eBay’s Skype and venture-capital firms Index Ventures and Sequoia Capital are to spend $21.7 million on FON, a Spanish p2p wireless project which resembles a kind of commercialized Semi-FreeWan, to mint a phrase.
The four are buying into FON, based in Madrid, a system designed to allow people to share their Net access with others. But perhaps more important, it will expose millions of people around as targets for advertising and commercial services offered by Google, eBay, and associated firms.
It’ll also open up interesting p2p file sharing possibilities. And the four investors have the unwitting help of Linus Torvalds and Bill Gates, backed by Aliens and foneros,
FON is at the moment in Beta and only available for a Linus, "any user who shares his/her WiFi in exchange for free access throughout the Community wherever there is coverage," says the site.
"A Bill is a user who, instead of roaming for free, prefers to receive 50% of the fees that FON charges to Aliens" which are, in turn, "users who do not share their WiFi access and therefore must pay FON a modest fee every time they connect through a Fonero access point."
The FON revenue model is based on Aliens but for now, isn’t available for Aliens or Bills. But, "Eventually, a Bill will be able to share his/her connection in exchange for a percentage of the revenue generated from his/her Hotspot," says FON.
Dreamed up by Argentinian entrepreneur Martin Varsavsky, founder of Spanish telecom and Net companies Jazztel PLC and Ya.com, FON is presently having "advanced conversations" with ISPs in "various countries," it says, going on:
"Through strategic alliances with FON, the ISPs will be able to offer their customers wireless access to the FON Community around the world. Let us remind you that only users who have broadband access can activate a FON access point (which we like to call FON ‘Hotspots’). So if you still only have a dial-up connection, you will need to upgrade to cable or SDL in order to enjoy the FON Community everywhere."
FON is aimed at users of any mobile with a built-in WiFi – including gamesters and for now, works on Linksys WRT54G/GS/GL versions 1x to 4x, although, " let us assure you that we will soon be announcing more FON compatible routers," says the web site.
Coverage would be anywhere with an active FON access point, found through the FON maps.
"Whenever a FON user activates a new FON Hotspot, he/she identifies the approximate or exact location (depending on his/her preference) on the maps," it says. "This allows other users in the Community to locate these points right away. The maps will be global, but for now we only have the precise information available for the US and Spain.
FON plans to have access points in strategic areas without coverage and, "has a special interest in providing WiFi coverage in economically disadvantaged areas".
"Am I responsible if a user uses my connection for any illicit activity?" – ask the FAQ. "No," it states unequivocally. "As long as you have not actively participated in the commission of a crime or do not have knowledge that a particular individual is using your connection to commit a crime or illegal activity, it is our understanding that you are not responsible."
Then, equivocally, "Nevertheless, this may vary depending on the laws of each country. Furthermore, FON discourages any inappropriate use of your connection by making sure that each user of the FON Community has registered and is identifiable."
Does that mean FON would hand names over to any entity which is claiming users are doing something they shouldn’t – allegedly infringing copyrights, for example?
"FON complies with the applicable data protection laws," it states.
"Fon needs only two to four participants, or foneros, per city block to give good wireless coverage, Mr. Varsavsky maintains," says Reuters. "If users are part of Fon, they receive wireless access as they roam for free. Non-Fon members pay for WiFi service, which Fon plans to split with local Internet access providers."
But Fon could, "face legal challenges from phone and cable television carriers that bar users from sharing Web access, just as Hollywood sued and put the original Napster out of business for encouraging millions to illegally share music," says the story.
Stay tuned.
Also See:
FreeWan – FreeWans: highways to the future, September 24, 2005
Reuters – Wireless startup firm gets big-name backers, February 6, 2006
