Cable firms cracking down on Wi-Fi; Broadband providers threaten to cut off customers

July 9 — Broadband providers are cracking down on popular Wi-Fi networks, threatening to cut service to customers who set up the inexpensive wireless systems and allow others to freely tap into their Internet access. Time Warner Cable of New York City has given 10 customers less than a week to stop using their accounts to provide a wireless local area network available to anyone within 300 feet. The letters are just an initial volley; Time Warner expects to send additional letters, while AT&T Broadband also is preparing similar letters for some of its customers.

The crackdown is reminiscent of the cable industry’s attempts to target cable thieves in the 1980s, and it reflects the soaring popularity of wireless Net access. After being introduced just a couple years ago, so-called Wi-Fi “hot spots” that tap into cable or digital subscriber lines (DSL) are now in at least 15 million homes and offices. The problem is that one paying subscriber can set up a local network that allows several other people to access the Net, for fun or for profit. Hot spots have been set up by everyone from individuals just looking for a way to work in another part of their homes to businesses, cafes, hotels, airports and conference centers that cater to their tech-savvy customers. Some city governments have even stepped in, setting up networks in business parks or public gathering spots.

The carriers have largely ignored the phenomenon, and the recent warning letters represent the first time the cable providers have taken action to punish people who set up the networks. Only one major company offering high-speed Internet access — Covad Communications — has a policy that addresses Wi-Fi, and it permits access from nonpaying customers without any extra fees. For now, Time Warner Cable and AT&T Broadband appear to be targeting people whose locations are advertised by grassroots groups like NYCwireless and San Francisco’s Bay Area Wireless Users Group, which identify and share information online about hot spots. “They waived a banner in our faces and said, ‘Look what we’re doing!’” said Suzanne Giuliani, a spokeswoman for Time Warner Cable of New York City. The company wasn’t actively looking for violators, she said, but only reacted when someone pointed out the NYCwireless Web site to them. For now, the crackdown is a “one-time effort,” Giuliani said, but the company hasn’t ruled out doing it again depending on the situation. The company’s letter tells customers that they’ve been identified as sharing bandwidth and says they have a certain number of days to respond or their service will be cut off. The letter isn’t likely to be a surprise, because most people submit their information voluntarily to these lists. But it is possible that some locations are listed without the paying customers knowing because there are “sniffers” that can locate and identify access points.

The free wireless network groups behind the Web sites are angry their customers are being targeted — but acknowledge that hot spots likely violate rules against redistributing bandwidth. Advertisement

And while some people set up hot spots with the intention to share their Internet access, there are plenty of people who simply set them up for their own use and can’t control the fact that the access “bleeds” for about 300 feet, allowing others to piggyback on the service without the account holder even knowing. “It’s very shortsighted that they are developing such a hostile relationship with early adopters of their own technology,” said Anthony Townsend, a spokesman for NYCwireless. Giuliani said the company considers it not just theft, but a drain on the existing resources for other subscribers. There is also possible criminal culpability that comes from opening up a network for anyone to use without paying. “Individuals utilizing (their subscription) in this manner to carry out criminal activity would be able to do so in an anonymous manner,” the Time Warner Cable letter warns. “In such circumstances, when law enforcement is attempted to trace such activity, the trail would end with your account.” AT&T Broadband says its warnings will be dispatched in a matter of weeks. It’s now actively searching public network Web sites, then sniffing for signals in a given area advertised as being part of a free network. It can prove to be an elusive hunt, though. “With cable theft, you can follow wires and see someone physically tapped in,” said AT&T Broadband spokeswoman Sara Eder. “Finding who’s redistributing the signal through Wi-Fi is a little more elusive.” There is an easy way to block unwanted users. Access points from equipment makers D-Link Systems, Compaq Computer and Agere Systems have a way to lock up the network by demanding a password. But the security settings are turned off when the equipment ships from the factories to make it easy to install, said Rob Enderle of the Giga Information Group.

The crackdown probably won’t affect the robust cottage industry of so-called “wireless Internet service providers” (WISPs) that began sprouting last year. WISPs, including Joltage and Boingo, are stitching together a nationwide network of hot spots. WISPs are for-profit concerns, though, charging for daily or monthly access to any of their locations. So far, WISPs haven’t reported any problems or threats from cable or broadband providers. Most partner with broadband providers with more relaxed policies about sharing bandwidth, then offer those services to new network members at reduced prices.

For example, Web provider EarthLink sells Wi-Fi access though a deal it has with Boingo. About 70 percent of Boingo’s hot spots use the high-priced broadband services generally offered to businesses, premium subscriptions crafted to serve offices with hundreds of people on a single computer network. As a result, the sharing bandwidth policies are more relaxed, said Boingo spokesman Christian Gunning. Joltage has a deal with Atlas Broadband, a reseller of broadband services. Joltage Chief Executive Michael Chaplo said new Joltage members are always told that their broadband provider must allow sharing of the bandwidth. If not, he said, Atlas Broadband services are offered to them as an alternative. But that isn’t stopping new hot spots from using any provider they want, Chaplo said. “We can’t enforce our policy or guarantee it,” he said. “But obviously we’ve got the answer; it’s Atlas.”

It’s not clear if the high-speed Internet access providers will eventually turn their attention to more established companies that provide Wi-Fi access, such as airports and hotels. Last week, the Fairmont Hotel chain announced that all 38 of its hotels in six countries now offer wireless access in all public areas of the hotels. Depending on their arrangement with providers, some hotels may have problems. Most hotels using wireless networks also have the more expensive commercial DSL services, which have limited or no shared-use policies, according to Mike Henderson, marketing director of StayOnline, which sells wired and wireless equipment to the hospitality industry. “I’ve seen guys taking a regular cable modem and some equipment from (Wi-Fi maker) D-Link and stringing it up in their lobby just to say they have it,” he said. “Those guys are the ones that will be in trouble.” For the average customer looking for free access, it’s getting easier all the time to find hot spots. Aside from checking the grassroots sites, there is sniffer software, usually free, that tells a Wi-Fi card in a laptop or PDA (personal digital assistant) to search for the nearest network. A more low-tech approach that has caught fire in Europe is called “warchalking,” where people chalk symbols on a sidewalk or building to indicate a nearby hot spot. A simple solution to companies cracking down on shared access could be for Wi-Fi fans to vote with their wallets — and pick a high-speed Internet access provider that allows for Wi-Fi use, such as Covad or any of the smaller Web providers that have already approved Wi-Fi use, proponents say. Adam Shand of the Personal Telco Project in Portland, Ore., said he’s negotiated agreements with two small Web providers in the Portland area. “Some ISPs say, ‘What, are you crazy?’” he said. “Others, say, ‘Why not? If it causes a problem, we’ll let you know.’”

True there are some types of DSL that require login but most DSL and Cable modems do not...

But in any case you would install a firewall router between the DSL modem and you PC (I use Linksys for most homes I set up)

These router can be set up with the account name and password so the link is always on

The PC then connect to the router, most times using DHCP were the router assigns a private IP address normally in the 192.168.X.X range, as the router see the PC's request to access the network..

The PC’s then only talk to the router and the router in turn talks to the ISP for all the PC’s using one IP address and account for all the PC's

The routes inturn routes incoming traffic back to the proper PC

This is why there also call a Gateway router as they act as a Gateway between your local LAN (your PC’s) and the WAN (the Internet in this case)

A little more info on this subject

Wi-Fi Anyone?
Arik Hesseldahl, 06.24.02

Want high speed Web surfing without being tethered to a cable modem or telephone line? Build your own Wi-Fi network, or just tap into one.

You've heard the promise of the Wireless Web. You turn on your PDA or laptop, open your browser and tap into the Web at cable modem-like speeds. No matter that you are traveling in the backseat of a fast moving car, sunbathing at the beach, or doing research from the quadrangle of your college campus. Next-generation networks will allow for anytime, anywhere Web surfing. The reality, of course, is that it'll take a while for those next-generation networks to become ubiquitous.

In the meantime, you can still experience high-speed wireless Web surfing by tapping into wireless local area networks at places like Starbucks, convention centers, airport club lounges and hotels. While Wi-Fi networking technology (also known as 802.11b) is more limiting than the third-generation networks the service providers promise, the experience is similar. Today, there are some 1,200 publicly available wireless networks in North America and that number is expected to grow to 25,000 by 2005.

Small businesses are also quickly installing Wi-Fi networks. They are appealing, in part, because a company need only get one high-speed net connection-either cable modem or DSL. Then, all employees can connect to the high speed line wirelessly. Another reason companies are deploying wireless networks: they are cheaper to install than laying network cable around the office.

To use these networks, you need a computer equipped with wireless networking technology. About 40% of all laptops sold this year will come with Wi-Fi capabilities already built in to the unit. If your laptop is not equipped, you can add it by purchasing a network interface card from manufacturers like Linksys, D-Link, Agere Systems, Cisco Systems and Apple Computer. The cards run about $100 or less. For this, you get a card that can connect you to your office network, including printers and file servers, and also to the shared, speedy Internet connection, all without any additional wires.

Cards like Agere's Orinoco Gold and Cisco's Aironet 352 -- as well as the latest versions of Apple's Airport -- tend to be more expensive: up to $150. But they are also more secure using 128-bit encryption wired equivalent privacy versus the more common and easier to break 64-bit encryption.

Besides Starbucks, you can use Wi-Fi technology to tap into the free wireless networks that have popped up in neighborhoods all around the world. In many cases, these networks are set up by wireless geeks who share the values of the early pioneers of the Internet. They want to share the wealth of their broadband connection out of the goodness of their hearts.

To find free wireless access points in your area, log onto PersonalTelco.net, which maintains a list of such networks around the world. Other U.S.-based sites based around specific cities include FreeNetworks.org (http://www.freenetworks.org), Nycwireless (nycwireless.net), Seattle Wireless (seattlewireless.net) and the Bay Area Wireless Users Group (bawug.org).

Though it varies by situation, connecting is often as simple as opening a networking control panel in Windows, or telling a Macintosh to "turn Airport on," and simply launching a browser. Ideally you should be within 100 feet of the wireless network access point, though it's not uncommon to see wireless networks that can cover a full city block or more.

Ultimately, though, Wi-Fi may be most useful to you at home, and it's easy to install a network. The first thing you'll need is a broadband Internet connection, either via cable modem or a DSL line. Next to the cable or DSL modem, you'll need to install a wireless hub (the central point of connection between all PCs, printers and other network devices) and a router (which acts as the connection point between a home network and the Internet.) It's not uncommon to find a router and hub built into the same device. Of course, you'll also need the network interface card that slides into your laptop.

All the equipment comes in kits from a number of manufacturers. While D-Link, Linksys and Apple Computer offer easy-to-use home networking systems that cost between $200 and $300, we were especially impressed by the 2Wire Homeportal 100W ($200) networking product which supports not only Wi-Fi, but also a second home networking technology that uses home phone lines. The system works with the cable or DSL modem you already have and includes both the hub and router. It supports both phone line and Wi-Fi networking, and works with both PCs and Apple's Macintosh (it doesn't yet support Mac OS X, but Apple's $300 Airport hub does). The Homeportal 1000W is basically the same thing, but includes a built-in DSL modem, and goes for about $300. Both are often sold over the Internet and by telecom service providers, including Earthlink, Verizon, Bellsouth, and SBC, all which offer occasional promotional deals.

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