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Wi-Fi is serving as a standard for broadband connectivity in homes, offices, and at many public locations. WEP is a security protocol for WLANs designed to give security equivalent to that provided on Wired Networks. It is a framework that uses RC4 encryption algorithm. Many flaws had been discovered in the RC4 algorithm by the experts. In the RC4 the encryption is performed by a 'Bit-by-bit' 'exclusive or' operation with the secret key and if the key becomes known by unauthorized individuals, the key is compromised and data of the sender in the network can be interpreted by the hackers.
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