McCombs School of Business
Knowledge

Wireless - Overview

The telecommunications and the computer industries are converging to launch a new revolution: the Wireless Network. Using a laptop computer with a wireless card is now a reality. As long as you are within a few hundred feet of an access point (AP) to a wireless local area network (WLAN). Moreover, the new concept of wireless personal area network (WPAN) extends the wireless Internet to a wide range of products, including mobile telephones and handheld devices. Because of the strong expected growth for the wireless network market, many companies eagerly contemplate introducing one of the new prevalent standard in the wireless world into their offices. This article will explain these different emerging technologies. It will explore whether these solutions are in competition, or if there is a place for everybody. Whether you are a simple individual user, or a business contemplating a new network, this report will allow you to define more clearly which wireless solution you should opt for.

While some folks still say "people just don’t want their computers to be mobile" (Ferro 5), the wireless LAN industry is one of the fastest-growing segments of the communications industry. "Cahners-Instat foresees the industry growing from the $1.1 billion in 2000 to $5.2 billion by 2005" (Abramovitz 1). Moreover, the cost-benefits of this technology are attractive: "The wireless LAN paid for itself within 12 months" (Armenta 6). However, there is still one point that seems to keep some people from going wireless: security.

With wireless, where information is transmitted via the air, the threat is real. Fortunately secure solutions are available, a Virtual Private Network (VPN) seems to be the most reliable one. Nevertheless, the biggest security problem is that many companies fail to use those features, either because they don’t think it is worth it or because they lack the expertise.

The two most popularwireless technologies on the market are IEEE 802.11b and Bluetooth. These two technologies have often been presented as competitors. "A lot of people talk about how Wi-Fi might be beating Bluetooth, but it’s a different market altogether" (Ro). Although these two technologies seem to be complementary rather than competing, their coexistence is not a snap. Collocation in the frequency band results in the potential for interference between them.

Since 802.11b and Bluetooth share the same band frequency, 2.4 GHz, they can potentially interfere with each other. Neither was designed with specific capability to combat the interference created by the other. If the separation between a Bluetooth device and a 802.11b device is more than three meters, the performance of both systems is good. Between 3 meters and about a half-meter, the degradation becomes significant. When they are brought in close proximity, interoperability is impossible.

Wireless networks are poised for a terrific growth. They offer lower costs and more convenience than wired networks. Security is a real concern, but solutions are available and just need to be applied properly. Since they are complementary rather than competing, Bluetooth and 802.11b wireless technologies are expected to coexist. However, concern over interference arises when they operate in the same environment.

Comments and feedback to Pierre Tournois or Pablo Villegas Garcia.