fwiw though, I believe a bunch of the higher end hotels can't implement free wifi, because they set up Wifi a while back and got locked in to contracts with the companies that set it up for them--which haven't expired yet.
Hotels first started deploying wifi in what, 2002-4? How long were these contracts exactly?
If they contracted with a firm to provide bed linens, and haven't seen the performance of these linens in service, would they sign 20 year iron-clad deals? If their customers complain that the per-night cost of the linens are equal to buying them, or hate them to the point of bringing their own sheets, would they still stick to their guns?
Would they appeal to the Federal Sheet Commission for help blocking third party sheets?
Or would they say "this isn't worth it"? They're in the business of accommodating guests, not antagonizing them. So then find a way out of this contract or just eat the termination fee. After all, if the deals are so bad, the minimum + a reasonable modern deal may break even or come out ahead. Every contract has a way out, particularly when performance goals are not met, and I'm just skeptical that an entire industry of multi-billion dollar companies got so thoroughly taken for a ride by upstart wifi installers in 2003.
High end charges, low end is free or non-existent, and then there's a mid-range where it's specifically called out as a free amenity and quality is pretty decent (Kimpton, Joie de Vivre, etc.). The theory that I've seen passed around is that high end hotels know that you're good for it, and their clients are accustomed to various upcharges already.
It also seems to be extremely uniform for different hotels in a chain; e.g. I have never seen a non-conformist Hyatt that doesn't charge.