Filed under: iPod Family, Internet, iPhone
AT&T WiFi portal for iPhone users shows up at Starbucks
According to David, AT&T is giving WiFi users 2 free hours of access per day. But AT&T didn't stop there -- they designed an iPhone-specific portal to sign onto the service. A local Starbucks manager told David that all 7,000+ Starbucks stores in the US should be "finished by summer."
I should note that this iPhone portal isn't specific to Starbucks -- every AT&T WiFi hotspot features the same interface -- and all devices are eligible for the 2 free hours of access (not just iPhones and iPod touches). Any WiFi device should be able to logon to the service. It is nice to see AT&T finally giving connectivity away for free.
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Reader Comments (Page 1 of 2)
Mellotron said 11:43AM on 4-18-2008
Wait, so I can bring my Macbook to Starbucks and get 2 hours of free internet? That's what you're saying, right?
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Stephen Lang said 11:59AM on 4-18-2008
Yes, that seems to be the deal. This is great, how much longer do you want free wifi for anyway? I don't think I've ever sat in a Starbucks for that long.
My MacBook's battery will run out before that too...
Jonathan Allen said 8:52AM on 4-18-2008
As much as I dislike ATT sometimes, this is great news.
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Michaelsviews said 9:05AM on 4-18-2008
I don't see how 2 hours of service is a big deal. It'd be nice if they could get there 3G roll out done through out the US and than worry about the Wifi second. T-Mobile is supposed to be 3G soon also. All the money that AT&T is raking in and charging too much for services like Verizon, there should be free Wifi if your an AT&T customer at all Starbucks and Barnes & Noble's and any other point that AT&T provides Wifi.
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Chris said 10:10AM on 4-18-2008
There *is* free WiFi if you're an AT&T DSL customer.
jus10 said 9:14AM on 4-18-2008
"It is nice to see AT&T finally giving connectivity away for free. "
So I have to go to Starbucks which doesn't provide free wifi and have an iPhone and AT&T account. But it is "free". Good to know.
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Jon said 9:38AM on 4-18-2008
"all devices are eligible for the 2 free hours of access (not just iPhones and iPod touches)"
Marc said 9:31AM on 4-18-2008
I'm glad they didn't leave out us little guys--iTouch users. Cheers!!!
www.mailbysnail.com
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Cynthia said 9:55AM on 4-18-2008
is this replacing the T-mobile hot spots in Starbucks?
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TeleTed said 11:49AM on 4-18-2008
Yes
Matthew said 10:04AM on 4-18-2008
I count six ways to connect there. I'm wondering if they wouldn't profit more, AT&T, by streamlining the service down to one option: free wifi. It's not like you can take it with you, and the good will goes a long way these days.
Besides, cafes offering free wifi are a dime a dozen these days.
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David Chartier said 10:27AM on 4-18-2008
So AT&T (or T-Mobile) makes money by setting up and maintaining a free WiFi hotspot... how?
I used to hang out doing work and schoolwork in many of those "dime a dozen" indie coffee shops who gave WiFi away for free, and the good majority of them have all closed up shop now. There are times when it makes sense to give something away for free, and then there aren't.
Letting students who buy $1.50 cups of coffee and mooch off free WiFi for 6 hours—taking up all the seats in the house so actual paying customers don't have anywhere to sit—is a bad idea.
Starbucks isn't in the business of hiring all the personnel needed to set up and maintain a massive network of WiFi hotspots. AT&T is. But the company can't afford to just give all its services away, and even something like revenue sharing from coffee purchases doesn't work because the vast majority of Starbucks customers aren't walking in with notebooks to use WiFi (whereas virtually every iPhone customer *is* using their provider's network to make phone calls; that's why it works for Apple and its mobile network partners).
Giving stuff away for free doesn't work for everyone. And for a business that has to employ who-knows-how-many engineers and service agents to maintain a network like this, they need a way to make money but still attract customers. Being a T-Mobile Hotspot customer for about 4 years now, I think AT&T's plan is the perfect compromise between giving a reasonable amount of time away for free, and charging a very fair price to those who need more. Remember, before AT&T, T-Mobile was charging $30/month *with a contract,* $40 if you go month-to-month, or $20/month only for Starbucks employees or T-Mobile customers.
This is a much better deal all around for everyone.
Matthew said 10:37AM on 4-18-2008
Chartier,
Kudos on a _long_ reply. Have that in pocket?
I never mentioned SBUX (as wifi provider).
I also didn't suggest that ATT should offer UNLIMITED free wifi. Just a streamlined approach to offering access.
I'm not one to hold my opinions on a rail. You make some great points.
Bender Bending Rodriguez said 10:50AM on 4-18-2008
@ Chartier,
Nice reply. While I'm sure most people won't find ways around it I wonder how easy it will be to continue with more than 2 hours. I figure the network will keep track of you MAC address, which is a software version of BIA (burn in address). Since you can alter your MAC address this shouldn't be tough to do, hell a simple GUI app that generates a new one on the fly could even be written with ease.
Eddie said 11:18AM on 4-18-2008
AT&T (or T-Mobile) make their money because for every 2 hour free WiFI user they have another user who pays for DSL and is using his access (thus, the money is pulled from that account), or the EDGE PC card user using WiFi instead (and they make their money from his account). It's all about balancing - the 2 hours free wifi is an incentive, not a money-maker. Shifting income from profitable areas cover the cost.
Scott Russell said 10:08AM on 4-18-2008
I'm totally confused by this. Is the 2 hours of wi-fi service really free? Must you be an AT&T customer/subscriber?
How is this a viable approach for AT&T? It might make sense for Starbucks to subsidize this to bring customers into their stores, but without that, why would AT&T pay for it?
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David Chartier said 10:35AM on 4-18-2008
"I'm totally confused by this. Is the 2 hours of wi-fi service really free? Must you be an AT&T customer/subscriber?"
Any customer walking in with a WiFi-enabled device can get two hours of service each day for free. If you're an AT&T DSL/broadband customer, you get unlimited access to Starbucks hotspots for free.
"How is this a viable approach for AT&T? It might make sense for Starbucks to subsidize this to bring customers into their stores, but without that, why would AT&T pay for it?"
Giving two hours away for free is like a car dealership letting you test drive its cars. It's a sample of the real product to entice you to actually buy. There are lots of people who would actually pay for the full account if the price was right. T-Mobile hotspots, before this AT&T switchover, were charging unreasonable prices for the service, and I expect $20/month for non-AT&T broadband customers to be much more appealing to a wider audience.
As a writer who works out of the home, I find it incredibly valuable to be able to head to a neighborhood Starbucks to work for the morning or afternoon and get out of the house. I've been splitting a T-Mobile hotspot account with a friend for a few years now because it was useful to both of us, and sharing it made it economically feasible. Plus, since a real networking company was running the hotspot, it has much better performance and reliability than the crappy little router indie coffee shops squeeze atop their shelves between the syrup and the dusty employee manual.
Matthew said 10:50AM on 4-18-2008
"Giving two hours away for free is like a car dealership letting you test drive its cars. It's a sample of the real product to entice you to actually buy."
Now I see where you're coming from. That, frankly, is an inapt analogy, one that applies to a vast _minority_ of SBUX customers.
If you don't agree, I ask you this: what percentage of SBUX customers stay in-store for more than the 5-to-15 minutes it takes to get their cup in hand?
My guess, as I've never seen a formal estimate (and I look for this stuff, because I own SBUX shares), is something in the range of 15-25%. The rest take their coffee and roll.
Therefore, I'm assuming that ATT is more interested in gaining customers in _general terms_ (read ATT Wireless, broadband, etc, across the board) than they are holding out hope that they'll get SBUX customers to sign up for their pay-for WiFi services.
Peace
John Oldridge Jr said 10:14AM on 4-18-2008
I am a new AT&T user and frankly, I'm a little disappointed in their coverage. I live in the city of Monrovia, Ca. and near some foothills. I also am a Verizon user and I get great service where I'm at, but with AT&T, my service is scarce and sometimes...no...most of the time I get the "No Service" readout on my iPhone. I have written AT&T several times now and I think they don't care whether service works or not in my area. I love my iPhone but I hate the service. How can they advertise on TV that they have the most bars when for a fact they don't and Verizon does???
-John-
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Michael said 10:27AM on 4-18-2008
It takes an act of GOD to get an AT&T pole jockey to come out and realign the cell towers antenna's in some states. In Smalbany NY goto the corporate store and bitch and something is done with in 2 weeks only because there pole jockeys are on the second floor. In areas all around where I live there are GREAT and NOT SO GREAT reception. Remember that GSM is not the same as CDMA technology.
I'd go to the local corporate store ask for a manager and explain the problem, document everything call customer care and have them document and make notes and at the end you should have enough ammunition to ask to get out of your contract early with out there stupid ETF fee's and sell the iPhone on eBay or Craigslist or keep it.