"The military has recognized the robustness of network coding and is now funding research into its use in mobile ad hoc networks, which can form on the fly. Such networks are valuable in highly changeable environments, such as on the battlefield, where reliable communications are essential and establishing and maintaining an infrastructure of fiber-optic cables or cell towers is difficult. In an ad hoc network, every soldier's radio becomes a node in a communications system, and each node seeks out and establishes connections to neighboring nodes; together these connections establish a network's links. Every node can both send and receive messages and serve as an intermediary to pass along messages intended for other receivers. This technique extends communications capabilities far beyond the transmission range of a single node. It also allows enormous flexibility, because the network travels with the users, constantly reconfiguring and reestablishing connections as needed.
-Mike