Start-up opens world to WiFi

A number of big-name technology investors have put $21.7 million into a company that wants to build a global WiFi community allowing members to share WiFi hotspots so they can access the Internet while traveling.
The start-up, called FON, based in Madrid, has received a first round of venture capital from Internet telephone company Skype, search engine Google, and two venture capital firms, Index Ventures and Sequoia Capital.
FON will enable its users to synchronize their home WiFi hotspots so that, if they have paid for a broadband connection at home, they will enjoy instant access to all the other hotspots on the FON network.
For Google and Skype, the incentive is clear: It allows people to more frequently use applications like the Skype phone service or Google Maps and Google Talk, because they will be able to access them on the go, on a variety of devices.
FON hopes to partner with Internet service providers to allow users to have access to the service.
The service, which officially launches today, has been tested for the past two months, and has gained 3,000 users around the world, said FON Chief Executive Martin Varsavsky.
FON offers people free software to download to their computers, which will then open up their WiFi routers, allowing password-protected access for others. At first, the service will only be compatible with Linksys routers, but FON plans to offer a download compatible with other routers, Varsavsky said.