Answer:
1. The Wi-Fi Sleep Policy is for setting when the device will switch from Wi-Fi to the mobile data connection. By default, it is set to switch when the screen turns off. You can modify this setting to keep the wireless connection switched on while the device is plugged in, or even select to never switch to the mobile data connection.
2. wifi sleep policy means that it will completely shut off when the screen goes off. The phone will use the 3G connection when wifi is asleep for any data requests. I verified this by looking and my data usage on verizon's website. My data usage dropped significantly when I set the wifi sleep policy to never. I also saw significantly less battery drain. You're basically saying always try to use wifi when it's available. The only thing to be aware if you set your wifi to never sleep is that when you are not within range of a wifi area the phone will go into search mode which will use more power. So I use the HTC wifi widget to easily toggle the wifi off when I won't be near a wifi area for a while.
3.With the policy to turn off when the screen is off:
- expected outcome: WIFI switches to 3G/Edge
With the policy to not turn off when plugged in:
- expected outcome: WIFI stays on when screen is off when plugged in
With the policy to never turn off:
- expected outcome: WIFI stays on when the screen is off always