BY PAUL MALONEY While the Internet radio industry continues to occupy itself
with CARP and the proposed potentially lethal royalty rates for
streamed music, the past month did in fact see some
significant movement in another area of interest for the radio/Internet
nexus: Wi-Fi.
Wi-Fi, more technically known as "802.11b," is
a high-speed wireless network technology that (aside from eliminating
the need for physical cables) enables data transfer that's even
faster than DSL lines. It's quickly becoming a popular network solution
in businesses and homes.
According to an Analysys
study quoted in Cyberatlas Wireless Markets (here),
"more than 21 million Americans will be using public wireless
local area networks (WLANs) in 2007, attracted by the cheap and
superfast remote Internet access provided in airports, shopping
malls, coffee bars and hotels."
Internet radio's tether to the workstation has always been
considered the technology's main shortcoming -- especially
if it's to hold its own against other media entertainment sources
(such as its traditional broadcast ancestor). Being such, those
in the Internet radio space have watched with interest as reliability,
bandwidth, and the viability of the wireless networking/wireless
Internet access technology have increased. And now that Wi-Fi's
300-foot range limit is being overcome by companies looking to build
Wi-Fi networks, might Internet radio be closer to finally "cutting
the cord?"
San Francisco-basedSputnik,
Inc. and New York-based Joltage
Networks are two brand new "wireless local area network"
(WLAN) access services that will sell Internet access by establishing
regional and nationwide networks of Wi-Fi "access points"
(APs).
The APs, optimally commercial operations like hotels or
cafes where Wi-Fi access doesn't yet exist, agree to be
"micro-wireless ISPs" (WISPs) for the larger network.
Thus, the wireless network is built, allowing other users with Wi-Fi
enabled laptops and PDAs to seamlessly "gateway" from
network to network as they roam.
Sky Dayton, founder of EarthLink,
launched Boingo Wireless
in December. Boingo, unlike the two newer companies, accesses existing
wireless ISPs who use Wi-Fi to become part of their national network.
Dayton described his company to CNet News.com (here)
"as a 'service provider without its own network.'" The company
reportedly has agreements with close to 600 different Wi-Fi providers
to join the network.
Already, some companies who are players in the Internet radio
space are taking steps towards a wireless world. RealNetworks
made available this month a mobile version of its RealOne media
player optimized for Compaq's
Pocket PC device, which will now ship with the software. Operating
over the 802.11b wireless connection, PocketPC/RealONE users might
someday connect to a Wi-Fi network and enjoy wireless, high-speed
delivery of music and video wherever they are.
Some in the radio world aren't too keen on the new technology,
however. This month, Sirius Satellite Radio filed a petition with
the FCC, asking that wireless device emissions in the 2.4 GHz frequency
range (where 802.11b and another wireless technology called Bluetooth
operate) be sharply limited. Sirius says the technology has the
potential to interfere with the licensed 2.32 to 2.34GHz frequency
space, which is used by Sirius and rival XM Satellite Radio. Lawyers
say the FCC will likely call for public comment on the petition
later in the year (See story in 802.11Planet.com here).
Certainly, where wireless technology will take Internet radio
remains to be seen -- and there are more pressing issues at hand.
Obviously the laws must be in place to allow this industry to survive,
but it's through technology (like wireless) that we'll see real
growth and innovation.
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From a press release: "Cox Interactive Media (CIMedia)
announced today that it has launched broadband content
programming for a new Cox High Speed Internet service operated by
Cox Communications, Inc. in 20 U.S. markets...
"Programming includes local and national search, movie
and restaurant guides, local weather, classifieds, local and national
news, local event calendars, sports and recreation guides, stock
updates and other useful content. Special broadband content -- such
as movie trailers, music videos and games -- is also available...
"Tom Bates, CIMedia vice president of product and marketing...noted
that the launch of broadband programming in 20 markets has had an
immediate, significant impact on CIMedia network traffic.
"For example, in existing CIMedia markets, unique visitors
increased by more than 100 percent in the week after the
sites launched...while daily page views increased by 128 percent.
In total, the impact of the new broadband sites led to a 15 percent
increase in page views and a 26 percent increase in unique visitors
on the CIMedia network in the week following the site launches.
Notably, CIMedia visitor frequency has also increased dramatically
in Cox High Speed Internet markets...
"CIMedia...is a subsidiary of Cox Enterprises, Inc.
Cox Enterprises is one of the nation's leading media companies with
more than 100 TV stations, radio stations, and newspapers in the
US"
Radio & Records is attributing Sirius's
14% stock jump to a decrease in concerns over the company's financial
stability, following two significant announcements from the satellite
broadcaster yesterday.
The stock closed up 63 cents, at $5.06 (5.6 million shares
traded hands) following announcements that Sirius had renegotiated
its financing deal with Lehman Brothers -- and that their nationwide
coverage rollout would be complete ahead a schedule.
Ladenburg Thalmann analyst John Stone told R&R
the new rollout plan "puts chipset availability and functionality
issues to bed once and for all." He also told the news source that
by eliminating the need to pay back Lehman this year, the company
go the benefits of financing, without the drawbacks. "Unlike a financing
round," Stone said, "the renegotiations did not increase outstanding
shares."