Monday, June 25, 2012

USA’s Biggest Hotel Chains Considering Pulling Free WiFi


Massive usage in internet bandwidth is leading some of the biggest hotels in the US to ponder whether they should keep offering completely free WiFi.

Currently, all hotels are still offering WiFi, but many large hotel chains like Marriott International and Carlson Hotels are now giving guests a choice of an upgraded connection that offers faster speeds and more bandwidth, for an additional cost, of course.

The demand is growing out of control with free internet access being the most highly requested amenity offered during a hotel stay. With the increase smart phone and laptop presence for travelers, hotels are seeing bandwidth demand rise.  Dave Garrison, the CEO of iBahn, references data acquired in the months of March 2011 to December 2011, saying they have seen a 50% increase in data usage from hotel internet connections.

The increase of bandwidth usage increases the costs for the hotel to provide smooth internet service. Hotels have been beefing up their connections, and with the additional costs on their end, they are open to the idea of offering different speeds of internet with different cost brackets.

IBahn recently stated that 40% of their guests have 2 different WiFi devices, while a 1 in 4 of their guests are carrying 3 or more.

This battle for bandwidth could spell additional fees for travelers.

Michael Patton, CEO of POTHOS, believes this is the wrong decision to make. "When more than 70% of travelers saying internet is the single most important service offering. Just like TV, this service should be for free as it is a business and life requirement for us to stay connected." 

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