iiNet allowing users to resell wireless IP access

iiNet teamed up with Tomizone are allowing users to resell wireless internet access!

This is a great idea, as one of the bigger set backs in many other countries, and obviously forming in Australia with growth in wireless is users tapping another users internet connection, either by wardriving, or poor network security process (plug and play).

The idea behind this might be to encourage users to instead of leaving their networks wide open, is instead, to allow access, either freely, or at a charge to any other users that your access point can reach, and you gain from it.

This could spell problems for ISPs though, at least for iiNet, as they are essentially encouraging users to takeup free wireless services.

What I can picture happening is users instead setting up large interlinked wireless networks to resell the same internet service, or share with friends.

Essentially you would:
1. Sign up with iiNet (for ADSL2+, they are very expensive for TW services).
2. Get the hotspot setup.
3. Grab a Linksys WRT54G, install DD-WRT on it.
4. Install WRT54G at a strategic border point on your current wireless network.
5. Configure WRT54G as a repeater, ap, client.
6. Repeat steps above.
7. Charge users for GBs used, and increase iiNet plan to cope with capacity.

Basically, you’d be able to provide services to neighbours, or friends and so forth via wireless networks, and this would in turn mean iiNet don’t get the customer numbers they might have, should this not have occurred.

Why go pay $50 for a service you can get for $10 ?

You could probably end up chaining two internet connections together at one place, and starting a ISP from that, with users all interconnected using wireless networks.

This would spell trouble for Telstra too, as VoIP could be the preferred choice of Voice in that area, meaning that with the right setup, and a few APs over a neighbourhood, any old user with around 1k to spare could set up a ISP, and telco, and chew a good chunk of line rental profit away from Telstra.

Fantastic iiDea. It’s not all self destruction for iiNet, but its definitely severe destruction to Telstra if a few smart users go and enable a few neighbourhoods like that, and carry services for users away from Telstra’s high line rental.

You would look at this from a angle of enabling a few homes with it, and being the cheapest in town for it. You would be, as you’d just be sharing bandwidth that you buy at a affordable price anyway.

Now if only they could do regional backhaul in a similar affordable, reliable manner!

Enjoy!