Board any city bus in Portugal's second-largest municipality, Porto, and you've got free Wi-Fi. More than 600 city buses and taxis have been fitted with wireless routers, creating what's touted as the biggest Wi-Fi-in-motion network in the world.

The service not only provides commuters with free Internet connections but also helps collect data that make the municipality run more efficiently.

The tech startup behind this new service is called Veniam, based in Porto and Mountain View, Calif. It calls its project the "Internet of Moving Things."

Porto is the first test market, but the company hopes to expand to several U.S. cities later this year.

Inside Veniam's Porto office, CEO Joao Barros displays a map tracking Wi-Fi routers on buses and sensors planted around the city.

Inside Veniam's Porto office, CEO Joao Barros displays a map tracking Wi-Fi routers on buses and sensors planted around the city.

Sérgio Rodrigues/Veniam

Veniam's founders took NPR on a bus tour of downtown Porto to demonstrate how the Wi-Fi service works.

"Our equipment's up behind that panel in the front," above the driver's head, says Roy Russell, Veniam's chief technology officer.

Russell and his wife, Robin Chase, founded the car-sharing company Zipcar in Boston 15 years ago. Now, both of them have joined Veniam.

The test of a robust Wi-Fi connection is whether you can keep a Skype call up and running, with video, while moving around. So that's what we try — while careering through different neighborhoods of Porto.

Over Skype, we reach Andre Cardote, Veniam's engineering manager. From his office, he's able to track our bus in real time, watching its Wi-Fi router connect to RSUs — roadside units — or fiber access points scattered across the city, through which it connects to the Internet.

"We're on bus No. 1103, can you tell what's happening?" Russell asks Cardote over Skype.

"You are now connected to the RSU in the municipality building ... [then] to one of the RSUs on top of the rectory building," Cardote replies, as he watches the bus move across the city.

The fiber access point through which the Wi-Fi connects changes, but the Skype call never drops. The fiber network is owned by the city — put in place about 10 years ago to allow public health centers to communicate digitally.

Hopping off the bus, Russell points out the access points on a typical city street.

"They're generally fixed to a pole — a tiny box and an antenna — atop a lamppost or traffic light," he explains. "There's an amazing amount of little sensors and things all over the place that you don't know about."

Veniam YouTube

The concept here is to offload data traffic from 3G and 4G cell networks and use this public Wi-Fi instead. That's a shift that could hurt telecom carriers in the long term.

In Porto, free Wi-Fi has become a public utility, rather than a commercial commodity.

Veniam sells the city Wi-Fi routers and a monthly subscription. Citizens get free Wi-Fi, without having to drain their mobile data plans. In return, the city gets a host of data collected by the Wi-Fi routers from a network of sensors planted around town.

"Environmental sensors, noise sensors. ... In the end, what this project has given to the city is a lot of data," says Filipe Araujo, Porto's city councilor for innovation and environment. "We can understand where the city can save money, to invest in other projects. Waste management has the key role here."

For instance, sensors attached to garbage dumpsters tell the network when the dumpsters are full. The city saves money since it doesn't waste fuel on trips to half-full containers. It can also see which buses are stuck in traffic and reroute them, or change traffic lights in real time.

Veniam CEO Joao Barros says future "smart cities" will rely on this type of Wi-Fi data exchange.

"If you think about it, the cost of sending data through a cellular network is very, very high — about 20 times higher than sending the data through Wi-Fi," Barros says. "So by connecting vehicles to the Wi-Fi infrastructure, we're actually lowering the cost of sending data to the cloud — and also providing Internet access to people on the move, for example on public transit."

Many cities already have such underused fiber networks, which could be repurposed to host public Wi-Fi and receive data from sensors, he says.

"There's no such thing as too much bandwidth. You give people more bandwidth, and they will use it," Barros says. "So the future will be heterogeneous networks — some that operate statically using the Internet, others while you are moving. We are going to find ways for all these different networks to be able to operate together."

Veniam's prototype in Porto was funded by the European Union, Portuguese regional authorities, and private investors. It debuted last year, and more than 70 percent of local smartphone owners in Porto are already using it.

Copyright 2015 NPR. To see more, visit http://www.npr.org/.

Transcript

ROBERT SIEGEL, HOST:

And now All Tech Considered.

(SOUNDBITE OF MUSIC)

SIEGEL: Our focus today is public Wi-Fi. Coming up, what it's like disconnecting from your mobile phone service and just relying on Wi-Fi for a month. But first, we're going to go to a city where public Wi-Fi is in the air in a novel way. The founders of the car-sharing company Zipcar have teamed up with a Portuguese businessman to create the world's largest moving Wi-Fi network. Its routers are mounted on buses and taxis. Lauren Frayer reports from Portugal's second-largest city, Porto, where this new network is being tested before it comes to the U.S.

LAUREN FRAYER, BYLINE: Board any city bus in Porto and you've got free Wi-Fi.

UNIDENTIFIED BUS DRIVER: One-eighty-five.

FRAYER: More than 600 city buses and taxis have been fitted with Wi-Fi routers, creating the biggest Wi-Fi-in-motion network in the world.

Should we try it?

ROY RUSSELL: We should try it.

FRAYER: I hopped on a city bus with Roy Russell. He and his wife founded Zipcar in Boston 15 years ago. Now he's with Veniam, the tech startup behind Porto's new Wi-Fi. Roy opens his laptop and logs on.

And then you've got to put a password?

RUSSELL: Nope, no. It comes up with a splash screen.

FRAYER: So it says, welcome, you are connected to the Internet.

RUSSELL: Yep, in English and Portuguese.

FRAYER: The test of pretty strong Wi-Fi is Skype, with video, while moving. So we log on.

(SOUNDBITE OF SKYPE CALL DIALING)

FRAYER: So we're making a Skype call while we're riding the bus connected to Wi-Fi.

RUSSELL: Hello, Andre, are you there? Oh, there you are.

ANDRE CARDOTE: Hey. Can you see me fine? I'm seeing you pretty well.

FRAYER: We have a clear video link with Veniam engineer Andre Cardote in his office, where he's watching our bus connect to the network through RSUs - roadside units.

RUSSELL: Can you tell we're on bus 1103? Can you tell what's happening (laughter)?

CARDOTE: Just a sec.

RUSSELL: Switch over.

CARDOTE: You are now connected to the RSU in the municipality building to one of the RSUs on the top of the rectory building.

FRAYER: So we've changed access points.

RUSSELL: So it's changed to a different access point, yep.

FRAYER: But we're still on Skype with you.

CARDOTE: Yeah, yeah, yeah, you won't notice.

FRAYER: Our bus's Wi-Fi router connects to a fiber network owned by the city. This enables commuters to surf the web for free without going through their 3G cell provider, something that could hurt telecom companies long-term. As the buses and taxis drive along, they also collect data from sensors planted around the city.

FILIPE ARAUJO: The environmental sensors, noise sensors - in the end, what this project has given to the city is a lot of data. And we can understand where the city can save money.

FRAYER: City Councilman Filipe Araujo says the sensors tell authorities when to empty garbage dumpsters or change traffic lights. The city makes back the money it pays Veniam by making public services more efficient. Veniam CEO Joao Barros believes this type of Wi-Fi data exchange is the future for smart cities.

JOAO BARROS: You give people more bandwidth, and they will use it. And so the future will be heterogeneous network, some that operate statically using the Internet, others while you are moving. We are going to find ways for all these different networks to be able to operate together.

FRAYER: More than 70 percent of Porto's commuters are using Wi-Fi-in-motion. Veniam hopes to expand to several American cities later this year. For NPR News, I'm Lauren Frayer in Porto. Transcript provided by NPR, Copyright NPR.

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