Granted, some ISPs may configure their routers' default gateway as .254, but it is absolutely, positively not required, nor is it relevant in any way to the original poster's problem. Nearly every retail router sold in the USA, by companies such as Linksys/Belkin, D-Link, Netgear, TPLink, etc, come with a default gateway of 192.168.1.1 or 192.168.0.1, and you can arbitrarily change it to whatever you wish, as long as (a) it is within one of these private IP address ranges:
10.0.0.0/8 IP addresses: 10.0.0.0 -- 10.255.255.255
172.16.0.0/12 IP addresses: 172.16.0.0 -- 172.31.255.255
192.168.0.0/16 IP addresses: 192.168.0.0 – 192.168.255.255
Source:
https://www.arin.net/knowledge/address_filters.htmlSetting up the OBiWiFi, in fact, has absolutely nothing whatsoever to do with any router at all. The procedure calls for initiating a connection
from the computer to the OBi, not the router, and it is the Obi, not any router, that is offering that address. It's an arbitrary, temporary address, being sent by the OBi, acting as an access point, to the computer.
These are the correct setup instructions:
http://www.obihai.com/faq/OBiWiFi-sec/How-do-I-set-up-OBiWiFiAlternatively, the OP can temporarily connect the OBi 202 to a hardwired Ethernet port on a router, get it set up on the OBiTALK portal, and then go to the OBiWiFi Configuration page to manually type in the SSID and passphrase.