Windows Phone Thoughts: Wi-Fi: Will It Fly or Will It Die?

"Yes, Wi-Fi, or 802.11b wireless networking, is springing up all over these days, from local Starbucks coffee houses to McDonald's restaurants to RV parks. And there are good reasons for its proliferation. First, it utilizes unlicensed radio spectrum, so virtually anyone can set one up anywhere. Second, the hardware is both inexpensive and easy to install, at least when compared to running coaxial cable throughout a building. Third, it's relatively fast, depending on your backhaul method: cable modem, digital subscriber line (DSL), or T1 line. Bottom line, Wi-Fi can provide a near-magical high-speed wireless connection to the world with little time, cost or effort.

But there's a cloud lurking behind Wi-Fi's silver lining. For one thing, no one's really discovered how to make money, or even break even, running a high-speed wireless data service -- whether it be proprietary, such as the recently resurrected Ricochet network, or an open standard, like T-Mobile's Wi-Fi Hotspot concept. Also, coverage is far from ubiquitous; in fact, it's downright skimpy. And it's those two issues that are beginning to be attacked by the major telecommunications carriers hoping to sway consumers to its 3G networks for wireless data access outside the home and office."

What do you think? Will carrier solutions like 3G prevail, or will WiFi kill the carriers?