O2 rules out free Wi-Fi network for Ireland

O2 IRELAND says it has no plans to follow its British counterpart in rolling out a free Wi-Fi network across the country. The operator said it would instead focus on improving its 3G network, as this is where it expected consumer demand to remain in the years ahead.

Earlier this week O2 UK announced plans to create a wireless network that could be freely accessed by all users, including customers of rival operators. Initially the network will be based around the company’s existing 450 hotspots but promised to double this to 900 by 2013.

A spokeswoman for O2 Ireland, however, said population differences made this type of service less advantageous in an Irish context:

“In Ireland the population is more widely dispersed and we don’t see the same concentrations of people in such small areas,” said Fiona Dowling, referring to the limited range of a Wi-Fi signal.

“To this end and in response to the type of demand we see, we continue to invest heavily in the network and we’re currently in the process of rolling out a high speed 21Mbit/sec network.”

O2 customers using an iPhone or iPad can already access free Wi-Fi through a deal the company has with wireless internet provider Bitbuzz, which has 192 hotspots in Ireland.

Bitbuzz also has a similar agreement with Three Mobile and managing director Shane Deasy said he sees these deals becoming more significant over time.

“Bitbuzz was always positioned to be a network operator and we would prefer customers to deal directly with their service providers,” he said.

“While our revenue per user is declining we’re happy because what we’re trying to do is grow our network.”

One of the main reasons mobile operators are offering wireless access to customers is to lessen the load on 3G networks. The explosion in smartphone usage has put these under increased pressure, with the growth in tablets likely to make things worse.

Joe Brunoli, managing director of international Wi-Fi provider free-hotspot.com said this rise in smartphone usage had also led to an increase in traffic on his company’s network.

“We saw a huge spike in traffic in early January as people rushed out to try their new iPads,” he said. “The rise in hand-held devices means we’re now looking at expanding to places you wouldn’t expect to see someone take out a laptop too, like pubs or doctors’ surgeries.”

Free-hotspot.com offers ad-supported, free-to-access wireless internet through 80 hotspots in Ireland. Brunoli said he welcomed O2 UK’s announcement but he wanted to know more detail about it. “I’d be interested to see how they’re going to get other companies to host their hotspots and what kind of info you have to give over to them when you register.”