The innovation here is that the device has a LCD screen that not only gives you a signal strength rating, but also the name of the the network and -- most crucially -- whether it is encrypted.
The typical $20 keychain-type finder gives you a string of LED lights to let you know that there is a wireless signal and how strong it is. If you are in your local coffee house or at an airport, that might be enough. If you pick up a signal there, it most likely means there's a public network. But in many locations -- a hotel lobby, for instance, or a conference hall -- you might actually be picking up the company's private network. Digital Hotspotter will let you know whether there is an open network around you.
A tap of a little button on the front of the device turns it on; it shuts off automatically. Tap the button again and it will re-scan to see if there are other networks in your vicinity. Each tap cycles you through all the networks it can detect. It is not uncommon in these days of WiFi congestion for another network to mask the signal of the network you actually want to use.
Digital Hotspotter is a little bigger than I would like -- it's larger than most mini-MP3 players -- so it is going to have to be stashed in a gadget pocket on your laptop bag rather than in your own pocket. But if you are dependent on WiFi to stay in touch on the road, Hotspotter is a valuable addition to your road warrior's tool kit.