In June 2003, a third modulation standard was ratified: 802.11g. This works in the 2.4 GHz band (like 802.11b), but uses the same OFDM based transmission scheme as 802.11a. It operates at a maximum physical layer bit rate of 54 Mbit/s exclusive of forward error correction codes, or about 22 Mbit/s average throughput. 802.11g hardware is fully backward compatible with 802.11b hardware and therefore is encumbered with legacy issues that reduce throughput when compared to 802.11a by ~21%.

The then-proposed 802.11g standard was rapidly adopted by consumers starting in January 2003, well before ratification, due to the desire for higher data rates as well as to reductions in manufacturing costs. By summer 2003, most dual-band 802.11a/b products became dual-band/tri-mode, supporting a and b/g in a single mobile adapter card or access point. Details of making b and g work well together occupied much of the lingering technical process; in an 802.11g network, however, activity of an 802.11b participant will reduce the data rate of the overall 802.11g network.

Like 802.11b, 802.11g devices suffer interference from other products operating in the 2.4 GHz band, for example wireless keyboards.