WiFi Billing: And it Came to iPass

Posted on July 8, 2008
Filed Under Beijing Olympics, China Business, China Distribution, China Internet, Wireless Networks |

China Tech News reports:

China’s Coordinate Technologies Communication Limited has inked a deal to give iPass Wi-Fi coverage in 600 locations in China that represent the first phase of a rollout that will eventually include the entire CTCL footprint of nearly 1,600 hotspots.

Through its partnership with CTCL, iPass will ensure seamless connection for the mobile worker in major Chinese business hubs including Beijing, Shanghai, Shenzhen, Guangzhou, Qingdao, Tianjin, Shenyang and Qinhuangdao. The CTCL network covers a variety of venues including nearly 50 international and domestic airports, more than 700 hotels including the Shangri-La and Crowne Plaza chains, Starbucks coffee shops and conference facilities.

“CTCL’s partnership with iPass will be critical to opening our footprint to thousands of new business users within China as well as overseas travelers who have a need for secure and reliable Wi-Fi access,” stated Jason Liang, CEO of CTCL.

iPass has international clients, CTCL operates primarily (if not exclusively) in China. Any guesses for what’s being trumpeted? From iPass’ press release:

This relationship not only increases iPass’ Global Broadband Roaming footprint in one of the world’s most critical economies, but gives iPass users extensive Wi-Fi coverage across the key cities hosting the Beijing Games in August. With a total of approximately 2,500 active wireless broadband locations available across China and Hong Kong, iPass covers more than half of all available commercial Wi-Fi hotspots*, and complements this with a nationwide mobile broadband and dial-up footprint.

Through its partnership with CTCL, iPass will ensure a seamless connection for the mobile worker in major Chinese business hubs including Beijing, Shanghai, Shenzhen, Guangzhou, Qingdao, Tianjin, Shenyang and Qinhuangdao. The CTCL network covers a variety of venues including nearly 50 international and domestic airports, more than 700 hotels including the Shangri-La and Crowne Plaza chains, Starbucks coffee shops and conference facilities.

CTCL’s customers include China Netcom (Jason Liang’s previous employer) and China Mobile. It’s not clear if their WiFi services will use iPass (China Mobile’s, at least, I’m not sure where China Netcom stands in the great WiFi explosion), or to what extent iPass’ existing international customers with China operations (such as Starbucks) will be integrated in time for the Beijing Olympics.

It’s essentially a services distribution deal. It’s significance is not so much that iPass is coming to China, but that the WiFi market is maturing rapidly enough in China that it’s worth jumping into.

I’ve no idea about the details of the deal, but my guess is that CTCL held all the cards. It’s not like the people abroad who actually make it to the Olympics are all iPass customers. Plenty of companies, in all sorts of industries, have been seduced by China’s population figures. Making money out of them is another question entirely.