Having conquered the PC laptop space, Wi-Fi now is targeting the smart phone. The emergence of dual-mode, WLAN-enabled cellular handsets represent the convergence of 3G cellular services and Wi-Fi hot spot networks. According to several leading industry analyst firms, the market for dual-mode phones is positioned for exponential growth. ABI Research expects the market for dual mode Wi-Fi/Mobile handsets to reach 100 million units annually by 2009.

The dual-mode Wi-Fi/CDMA platform is a complement to traditional voice and data services on cellular networks. When in range of a Wi-Fi signal, or "hot spot", users can enjoy multimedia services at significantly faster data rates (as high as 54 Mbps), improving their overall experience. The addition of Wi-Fi to a handset enhances cellular network connectivity by offloading high-bandwidth applications from the cellular network. This is especially attractive to mobile virtual network operators (MVNOs) who do not own their own networks and must purchase cellular access at the prevailing market rates.

Of course none of this means much unless mobile phone manufacturers address the need for wireless LAN “hotspot”-enabled handsets. This spring in Europe Nokia has been showing off its model 6136 which enables the seamless handover of a voice or data call from a Wi-Fi network to a cellular network. With it, consumers can use the Internet for their mobile phone connection, even in areas where mobile phone reception has been poor previously. The phone automatically selects the optimal network for the best possible connection.

The 6136 is a clamshell, quad-band GSM phone featuring a stylish, lightweight design that offers all the latest must-have features: a 1.3-megapixel camera with 8x digital zoom, video recording and streaming and e-mail access from the XHTML browser.

One of the first phones in the U.S. to feature Wi-Fi is Samsung's t709. The device allows for mid-call switching between Wi-Fi broadband and cellular networks, giving consumers seamless connectivity while traveling between the office, home or on the road. The t709 also allows calls to channel from access points, through the Internet and onto a cellular network,

The t709's network capabilities and multimedia features are captured in a compact black slider design weighing only 3.3 ounces.  The device packs a full slate of features, including a 1.3-megapixel camera, an MP3 player, a video player, dual stereo speakers and a 262K-color TFT screen.

HP’s latest PDA phone, designated iPAQ hw6900, is the industry's first to combine cellular, Wi-Fi, Bluetooth and GPS technology in one device. The handheld has four integrated radios so customers can stay connected wherever they are around the world. Included are Quad-band GSM/GPRS/EDGE, Wi-Fi, GPS and Bluetooth wireless technology. There are other goodies: a 1.3-megapixel camera with video-recording capabilities, a built-in GPS receiver and navigation software.