2007 6
Free WiFi with Ads
Published by MartinVarsavsky.net in Fon with No Comments
At Fon if you get a Fonera (our social, WiFi router that partitions WiFi networks creating a private and a public signal) and you keep it on, you can roam the world for free connected to other people´s Foneras. With this simple proposition Fon has created the largest WiFi network in the world by number of hotspots or by number of countries. Our formula protects those who share from viruses, it protects their privacy and it reserves most bandwidth for their own use so foneros feel safe. Fon also protects ISPs or Telcos from the leeching that now normally occurs when people who do not pay for broadband roam by connecting to other people´s open routers (Linksys and Netgear come open) so ISPs and telcos prefer Fon to open WiFi that leads to less broadband uptake and higher churn. So Foneros can roam the world for free feeling safe. ISPs in turn, allow Fon because even though in theory it may violate their terms and conditions in practice it makes them sell more broadband and reduce churn (with Fon customers who travel a lot don´t churn). But what happens if you are not a fonero and you find Fon WiFi signal?
Right now what happens is that you can surf Skype, Google and Excite Japan for free because they are our investors and sponsors. Or you have to pay 3 euros or dollars for the first 24 hours to surf any point in our network and 2 euros or dollars any day thereafter. But at Fon we are now experimenting with another possibility and that is that instead of being sponsored by individual web sites that WiFi is sponsored by companies showing viral type ads. So by watching one of those you can surf say 30 minutes for free, then you see another ad and surf another 30 minutes and so on. And if you want to surf commercial free you can become a Linus Fonero share a little bandwidth at home and roam the world for free, and never see commercials and surf the open Internet, or you can become an alien Fonero meaning that you buy daily access to our network and you can also surf for that day anywhere.
The next big development at Fon will be the deployment of the flat panel Fontennas which greatly increase the range of the Foneras to around 200 meters. With these antennas Fon´s coverage along a street will be greatly extended. At this point we may be ready with the Ad platform and the money we make from this Ads we will use to subsidize our growth so Linuses can have more Fonspots to roam into. With Bills we will have to come up with a formula to pay them for ads served similar to Google AdSense. Same with our ISP and Telco partners, we have to come up with a fair formula to share Ad revenue with them.
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steven on April 6, 2007 ·
Any date soon concerning the launch of the fontenna?
btw when using a “fontenna” wouldn’t that mean we can’t use myplace anymore?
eg the fontenna will change the broadcast from 360° to only 180° … pointed to the street…
so in house we will not have any signal left?
Gregoire on April 6, 2007 ·
This is a great idea. Many people will use this system.
dema on April 6, 2007 ·
Hi Martin, ads surfing is an idea , why not !
I wish anyway to ask you something specific . As FON is also on fly wifi connection , why not to launch prepaid login coupons ?
I recently set up a fon coverage in one hotel , ( started just yesterday ) but I’m sure that sooner or later I will have to face difficulties in Alien login system .
What I mean is that one guest requests internet access , I tell him that he needs to go to fon login page , insert his email address , register as alien and buy a one day pass for 3 euro.
Guest almost for sure tell me that is too much complicated , and suggests that I shall give a login and charge him for internet access.
What do you think about it ?
Yours truly
Anton
Jan-Sebastian Winckelmann on April 6, 2007 ·
I don’t think that I would keep my Fonera open if Fon started some kind of free ad-based access to my DSL line. Especially when there is no registration process involved which identifies the user (like today at least by the credit card payment).
Bye,
Jan
jovialiste on April 6, 2007 ·
It´s almost eleven, but there are not news Martín articles on spanish blog of an entrepreuner. Why?
Because today is an holy friday?
Pardon me, I am a good believer, but this is not an excuse for d´ont read.
Jordi - FON on April 6, 2007 ·
Steven, factory is producing the first lot of Fontennas Panel as we speak and we are arranging international shipping dates. You will both improve coverage to the street and to the inside of the house. The largest range is achieved to the street (the side with the FON logo) but it also provides a good reception inside the house. You will be able to continue using your My Pleace as usual in the house and also use it now in the street if you want because both signals will be received/send by the Fontanna, not just the FON_AP.
Martin Varsavsky on April 6, 2007 ·
We have alien passes Anton, we will get back to you directly.
Martin Varsavsky on April 6, 2007 ·
Jan,
Is this because in Germany the law requires a registration or because you don´t feel comfortable yourself with people surfing without disclosing their identity?
Roman Jakob on April 7, 2007 ·
Hello Maritn,
I have to agree with Jan. As a linus it’s pretty important for me that users have to register before they can use my Internet connection.
I’ve been following the development of FON since its early days in November 2005 and have talked to many friends about the business model. My experience from these talks is that the question of security and liability is a big concern for existing and potential foneros over here in Germany. In fact there has been a ruling by a German court recently, that an owner of an unsecured private WiFi access point can be held responsible for the harm done by a third (anonymous) party through his or her internet connection.
I would suggest that you give linuses the possibility to opt-out if they don’t want provide anonymous, ad-based internet access.
I also have a question. Do you provide any kind of assistance to professionals who wish to sell foneras to customers like small hotels or restaurants? I am thinking of things like technical documentation and sales support.
Cheers, Roman
Jan-Sebastian Winckelmann on April 7, 2007 ·
Hello Martin,
Yes, one reason would be the german law. Without the identity of a user of my Internet account I may be charged because of disturbance liability (“Störerhaftung”) when illegal activities are carried out. But this is not finally decided by higher courts, I may be liabable in any case:-(
I think it would be a good idea to have a registration procedure which involves mobile phones. A user has to supply his mobile phone number to receive the initial password by SMS for accessing Fon. At least here in Germany every SIM card has to be registered on a legal entity.
In any case: Fon should offer legal and financial help for Foneros here Germany which are accussed because of illegal activities carried out via the Fonera. This would help to dispel the concerns of many potential Foneros and leads to legal certainty.
My other reason to be sceptical is that an ad-financed shema would turn the community approach of Fon upside down. Now we have quite lot of Linuses and some (I guess to rare) paying Aliens, then we would see a huge number of potential user of the ad-based service. I actually don’t see any other Foneros accessing my Fonera because I live to far away from public places. But with an ad-based shema a lot of my neighbors may be able to use my Fonera constantly (not to mention Foneros at public places). But what benefits do I have? Yes, I’m allowed to use other Foneras without paying or watching ads, but actually I never had the chance to access another Fonera they are just too rare on places where I stay. And for me an ad-based service would be sufficiently enough for my needs, so I can switch of my Fonera, have no legal problems and still have the ad-based service available.
One solution could be that also Linuses benefit in some way if ad-based users are accessing his Fonera. Maybe the charges for Internet connections are lowered etc. (the ISP must participate anyway), free Skype dial-outs, free merchandise etc. But the benefits for the Linuses must be selected carefully as they shouldn’t be treated as commercial business which would lead to legal and tax problems in some countries.
I can imagine that is really difficult to find a working business model for Fon. I like the whole idea of Fon, but please act very carefully, the public opinion towards Fon is changing right now and not to the positive side. Very much the same as e.g. for Google…
Happy Easter for you and your family!
Bye,
Jan
Martin Varsavsky on April 8, 2007 ·
Roman,
I have blogged about this in Spanish and nobody has shown the same concerns about wanting to know the true identity of who is surfing on the public Fon areas. But the good news is that if Germans are so security minded Fon’s systems are so flexible that we can leave things as they are in Germany and think of ad sponsored revs with rev shared with Foneros for the other countries. Fon wants to do what Foneros want to do.
Roman this is a consultation process and we could indeed do that, an opportunity to opt out.
But if we introduce ads like Google we will give all Linuses the ability to make a share of those ad revenues.
Martin Varsavsky on April 8, 2007 ·
Jan,
I don´t think that people would access the foneras of their neighbors with ads. Since Fon was started anyone has been able to access the Google or Skype sites without paying because Google and Skype are our partners and sponsor us. But why would people connect to their neighbor and watch ads every 15 minutes say to get free wifi if they have their own wifi?
Roman Jakob on April 10, 2007 ·
Martin,
I really appreciate the openness and transparency of FON as an organisation and the possibility to be part of the public consultation process. Your personal blog, as well as the localized corporate blogs have at least in my case contributed a lot to FON’s credibility and underscored its trustworthiness.
Concerning the “security issue” I just wanted to add one general thought in response to Jan’s last comment. I’m in a pretty similar situation like him. I chose to be part of the community because I like the idea of a grass-roots movement to create a global WiFi network. My “utility” from being a fonero has been rather small so far. Nevertheless I keep my contribution up, since pros and cons are quite balanced for me at the moment. Changing the terms of the exchange by introducing anonymous ad-based service would in my point of view disturb this balance at my expense.
I hope this contributes some to understand how actual (linus) foneros think of their participation in the FON community.
Best, Roman
Martin Varsavsky on April 12, 2007 ·
Roman,
We have been doing some research on this and we now think that we could first ask for people to register and then show them the ads or have them pay.
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Steve on April 6, 2007 ·
hi martin,
but what about security, does an alien who uses ads-system coming up, also need to register as a Fonero, BEFORE looling videos?