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Discover the risks and challenges of open Wi-Fi networks in coworking and flexible workspaces and how to protect your members and operations.

Illustration of Wi-Fi warning on computer screen representing network risks in coworking spaces

Risks and Challenges of Open Network Setups in Coworking Spaces

Choosing the right network setup in coworking and flex spaces isn’t always straightforward. Open networks are often the go-to choice because they are quick to deploy, simple for guests to use, and don’t require much infrastructure. While this convenience is real, it can come with tradeoffs that can quietly impact member experience, security, and operational control.

 

In this post, we’ll break down the pros and cons of open networks vs. more controlled alternatives, and look at what’s really at stake when it comes to your workspace’s connectivity.

Why Some Coworking Spaces Use Open Wi-Fi

Open Wi-Fi has clear appeal, especially for smaller coworking spaces or those just getting started. It offers practical advantages that make setup and day-to-day operations easier:

 

  1. No setup hassles – Members and guests can connect instantly without needing IT support.
  2. Minimal infrastructure – There is no need to manage multiple segmented networks, which simplifies deployment and reduces costs.
  3. Guest-friendly access – Open networks make it easy to accommodate day-pass users and short-term bookings.

This kind of setup works well when convenience is the top priority. But as your space grows or begins to attract clients with higher security expectations, that same simplicity can start to pose challenges.

Open Network Risks in Coworking Spaces: Security Threats To Know

Open networks can expose connected devices to anyone else using the same network. Without safeguards like client isolation – laptops, printers, and smart cameras may be visible and accessible to other users, often without anyone realizing it. This kind of exposure can lead to security threats, including:

  1. Man-in-the-middle attacks
  2. Spoofing, phishing and session hijacking
  3. Data breaches and privacy violations
  4. Unintentional device exposure between members

These risks are especially concerning for enterprise clients or teams that must meet compliance standards such as HIPAA, SOC 2, or PCI. Many of these members assume their traffic is isolated, but on an open network, that assumption may not hold true.

Can You Deliver a Private Office Experience Without Private Networks?

Not effectively. Without network segmentation, every device shares the same digital space, making it difficult at times to deliver the experience members expect from a private office. This creates challenges when it comes to:

  1. Reliable internet performance, especially during peak usage
  2. Privacy from neighboring companies or individuals
  3. Support for compliance with frameworks like HIPAA, SOC 2, or PCI

Without dedicated networks or proper segmentation, these expectations can be difficult to meet. Members may assume they’re operating in a secure, isolated environment when they’re not. For teams in regulated industries, that disconnect isn’t just inconvenient, it can result in serious compliance violations.

How Can Open Networks Create Operational Inefficiencies?

Beyond security concerns, open networks can complicate daily operations and limit your ability to manage the workspace most effectively.

 

 1. Lack of Visibility or Control

Open network setups typically lack the built-in tools needed to monitor activity or troubleshoot problems. When issues arise, it can be difficult to answer key questions like:

  • Who is currently connected to the network?
  • Which devices are consuming excessive bandwidth?
  • What’s causing the slowdown?

Without access to monitoring and controls, diagnosing and resolving issues becomes more time-consuming and reactive.

 

2. Bandwidth Congestion or Inconsistent Performance 

When everyone shares the same network, all devices compete equally for bandwidth. Without traffic shaping or prioritization, a few high-demand users, like those on video calls or uploading large files, can impact performance for everyone else.

There’s no way to allocate bandwidth by client, office, or activity. As a result, even premium members may face slow or unreliable connections during busy times.

Best Network Setup for Coworking Spaces: Why a Hybrid Setup Is a Smart Choice

You don’t have to choose between ease of use and operational control. A hybrid network setup gives you both, maintaining the flexibility members expect while adding the tools you need to scale confidently and securely.

A well-designed hybrid setup typically includes:

 

  1. Open or semi-open guest Wi-Fi with safeguards like client isolation and bandwidth limits to improve security and reduce congestion
  2. Dedicated VLANs for private offices or company accounts, routed through firewalls to provide network separation, better performance, and greater control
  3. Portal-based access, such as a captive portal with user registration, to create accountability and reduce unauthorized use
  4. Bandwidth tracking and allocation per company to ensure fair usage and enable performance guarantees

 

This type of setup supports operational efficiency, fast troubleshooting, protects member privacy, keeps guest access simple, and provides a scalable foundation for growth.

Factor Open Network Alternative (Segmented/Private)
Speed to Deploy ✅ Fast ❌ Slower setup
Tech Support Load ✅ Low upfront ⚠️ Higher setup, but lower long-term issues
Security ❌ Risky ✅ Stronger controls
Member Experience ⚠️ Fine for hot desks ✅ Better for private offices
Enterprise Readiness ❌ Poor ✅ Can attract high-value clients
Compliance ❌ Lacking ✅ Enables regulated clients
Upsell Potential ❌ Minimal ✅ Tiered offerings, static IPs, etc.

Conclusion: Convenience Shouldn’t Come at a Cost

Open networks offer a flexible solution for fast-moving coworking environments, especially in the early stages. They are simple, accessible, and make it easy to welcome guests and short-term members. As your space grows and begins to serve teams with more advanced needs, evolving your network setup can help you stay ahead. A hybrid approach balances ease of access with stronger security, enhanced performance, and more control without sacrificing the flexibility your members value.

 

With the right setup, your network becomes a tool for connection and community that scales with your space and adds value for everyone who uses it.

Build the Network Foundation for A Smarter Workspace Today.

Connect with our team to explore how you can move beyond an open network and build a smarter, more secure, and scalable connectivity strategy, designed for modern coworking spaces and the members who rely on them.

 

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