Would this be less susceptible to local surveillance than wifi, e.g. within a few hundred feet? How would it deal with interference from overlapping beams?
Line-of-sight communications are definitely less susceptible to surveillance than WiFi that has omnidirectional broadcast. Even if the signal bleeds due to refraction, at such high frequencies, this loss of power is extremely detrimental to making sense of the waveforms.
Multipath interference can be managed with existing communications techniques, as light isn't the only EM wave that bounces off of things.