Once Viewed As An Unsound Luxury, Wi-Fi Gaining Steam In Workplaces; Business Spending Up; Companies can cut cords with wireless technology in their office networks.(INTERNET & TECHNOLOGY)

Byline: MIKE ANGELL

Offices still lag homes when it comes to wireless networking, or Wi-Fi. But they're catching up.

Consumers have embraced Wi-Fi as a way to share broadband connections among several computers in their homes. Yet business customers -- already networked via wires -- have seen Wi-Fi as a luxury rather than a necessity.

But that sentiment is changing, say industry watchers and Wi-Fi gear sellers. As security concerns ease and demand from employees grows, the business case for using wireless becomes clearer. While still nowhere near as big as the wired networking market, business Wi-Fi sales are poised to surge.

Wireless has "definitely been picking up momentum in the latter half of 2004," said Greg Murphy, chief operating officer for AirWave Wireless, a privately held Wi-Fi software firm in San Mateo, Calif.

Estimated sales of business Wi-Fi gear passed $1 billion in 2004, according to Synergy Research Group. That would make it the first year business Wi-Fi gear sales have topped that mark.

Growth forecasts for this year haven't been released yet. But Synergy analyst Aaron Vance says the improving economy bodes well for corporate Wi-Fi rollouts.