Update on Helium’s Partnership with AT&T
The decentralized physical infrastructure network (DePIN), Helium, recently announced a collaboration with telecommunications giant AT&T, aimed at expanding WiFi access for its users. The announcement, made on April 24, revealed that AT&T customers can now utilize Helium’s community-developed WiFi network, which boasts over 93,500 hotspots, primarily located in the United States.
Helium Network’s Operational Framework
The Helium Network functions through the contributions of individuals and businesses that set up and manage small cell towers acting as hotspots. Participants in this network are rewarded with digital assets for their contributions, enhancing overall coverage and service quality.
Statements from Helium’s Leadership
Amir Haleem, co-founder and CEO of Helium Mobile, expressed that the partnership with a leading company like AT&T is set to significantly accelerate Helium’s adoption and create tangible benefits for both network users and AT&T customers. He hinted at further developments and announcements in the pipeline, indicating that this collaboration marks just the start of many upcoming initiatives.
Revenue Sharing Insights
Mario Di Dio, the general manager of network at Helium, shared insights regarding revenue distribution, noting that while specific percentages are confidential, node operators stand to gain from the partnership. Existing Helium Hotspot owners will profit from a surge in new users—specifically, AT&T subscribers. As these mobile users connect to nearby hotspots, the increased traffic translates into higher rewards for hotspot operators based on the data they facilitate.
Connecting Decentralized and Centralized Networks
The collaboration with AT&T facilitates WiFi authentication through AT&T’s Passpoint WiFi roaming service, enabling customers to automatically connect to available WiFi networks. This integration merges decentralized nodes with traditional service networks. Di Dio elaborated that “passpoint-based offload is a Telco industry standard,” ensuring that when users connect to the Helium Network, their authentication is managed end-to-end by AT&T, without compromising personal data with Helium or the hotspot providers. Helium asserts that its decentralized network currently supports over 800,000 daily users, and the company has also struck agreements with Telefónica’s Movistar in Mexico, along with other unnamed mobile operators to enhance network coverage.
Background on Helium’s Legal Challenges
In January, the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Helium’s developer, Nova Labs, just days before the previous SEC chairman, Gary Gensler, departed from office. The lawsuit accused the company of distributing unregistered investment products. However, earlier this month, the SEC settled with Nova Labs, dismissing the lawsuit after a civil penalty of $200,000 was paid. A company representative commented that this resolution establishes that the sale of hardware and token distribution for network expansion does not inherently classify them as securities under SEC regulations, preventing future charges against Helium on similar grounds.
