Toshiba enters Wi-Fi builder fray

Toshiba’s Computer Systems Group has announced a plan to build out as many as 10,000 Wi-Fi hot spots throughout North America by the end of this year, providing fertile ground for the increasing adoption of wireless-capable notebook PCs made by Toshiba and other computer companies.

The company’s computer group, based in Irvine, Calif., also announced it was working with consulting giant Accenture to provide the billing and settlements processing, and help-desk support functions for the service. Toshiba is targeting its Wireless Broadband Hotspot solution at coffee shops, convenience stores and other popular public locations.

A Toshiba CSG official said in a statement that the company wants to become the dominant supplier of 802.11B infrastructure, seemingly issuing a market-share challenge to current leading vendors such as Proxim and Cisco Systems.

Toshiba’s motivation is clear: Gartner Group has said that by 2005, up to 80% of notebook PCs will have integrated 802.11 interfaces, and that the installed base of Wi-Fi networking cards will exceed 88 million worldwide. There are already several 802.11-capable notebooks on the market, and with Intel due to launch its Centrino Wi-Fi chip next week with the backing of a $300 million ad campaign, the market for Wi-Fi laptops is set to explode.

Under the current payment plan, end users can access Toshiba hotspots for a 24-hour connection per hot spot with pre-paid coupons or credit card. In the second quarter, Toshiba plans for users to be able to access a Toshiba hot spot via their wireless Internet service provider.