Fonera, whose novel routers require you to share your connection in trade for access to other Fonera users' connections, has updated their hardware: the new Fonera 2 supports USB storage, BitTorrent and 3G dongles.

To clarify what that means, a little Fonera refresher: All Fonera routers are open to all Fonera users, meaning that in exchange for providing Wi-Fi to the occasional Fonera-owning passerby, you get to tap into other Fonera users' connections whenever you're away from home. It's a pretty cool idea, but it's not clear that there are enough Foneras in existence for the concept to work in practice, at least in the US.

But the new Fonera 2 hardware is attractive in its own right. It is equipped to turn into a NAS with any external HDD, and even supports Time Machine. USB 3G dongles can be plugged in to share a cellular connection over Wi-Fi, and an inbuilt BitTorrent client rounds out the banner features (but there's plenty more to see here, and in the above video). The Fonera will run a reasonable €50 ($70) when it launches in Europe this month and worldwide in May. [Gadget Lab via Slashdot]