Payoffs Eclipse Wireless LAN ConcernsPayoffs Eclipse Wireless LAN Concerns

Judging from recent product and partnership announcements, communications vendors are counting on wireless LANs to spur network spending this year. Security hazards and erratic service could jeopardize these ambitions. Yet despite spotty operations and possible breaches from drive-by hackers, wireless LANs have a burgeoning following among IT and network executives.

Productivity increases are driving businesses to install wireless LANs. Demand for the technology has surged in the past 12 months, more so in the United States than Europe. The expected boost in worker output helps offset possible security and performance failings, says Richard Jameson, market research firm RoperNOP Technology Group's managing director.

The wireless outlook is healthy, according to RoperNOP's Technology Confidence Barometer study. Twenty-nine percent of the study's 329 U.S. companies have deployed one or more wireless LANs. Another 30% are considering implementing one in the next 12 months. That's promising news for companies backing Wireless Fidelity technology, such as Aruba Wireless Networks, Avaya, Motorola, and Proxim (see "Another Try At True Anytime, Anywhere Wirelessness," Jan. 17).

Business-process improvements also are a factor. Some companies promote wireless devices to enable the real-time retrieval and analysis of operational data. About half of wireless users and planned adopters expect wireless LAN use to improve the performance of mobile workers and increase the mobility of their office staff.

Wireless access points, called hot spots, found in public places aren't having a big impact on wireless adoption. Fewer than a quarter of the study's participants consider them an important business tool, and only 14% report having actually used one.

What will it take for your company to invest in a wireless LAN this year? Let us know.

Helen D'Antoni
Senior Editor, Research
[email protected]