Femtocells coming to a home near you?

Expect 40 million subscribers by 2011, says analyst...

By Natasha Lomas, 23 January 2008 11:54

NEWS

Femtocell technology - which boosts 3G network coverage indoors by piggybacking on a broadband connection - could find its way into tens of millions of homes in Western Europe in two years' time.

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Analyst house Frost & Sullivan is predicting subscribers in this region will number more than 21 million by 2010, rising to more than 39 million by 2011.

Femtocells improve the quality of service of 3G networks indoors where coverage can be patchy, meaning mobile users can enjoy both voice and data services from the comfort of their favourite armchair.

One barrier to rollout is the need to reduce the cost per unit of the hardware so consumers are not put off by a high price-tag. But Frost & Sullivan suggests operators may get around this by renting femtocells to customers.

Luke Thomas, programme manager at the analyst house, said in a statement: "Carriers have realised that it would be [a] long [time] before the cost of the femtocell will reach €100. They are now considering renting out femtocells to users for a long contract period, rather than allowing them to buy it outright."

Networking giant Cisco has recently made a show of its interest in the emerging tech by investing in ip.access, a Cambridge-based femtocell manufacturer - opening up the possibility of femtocells being integrated into other consumer entertainment hardware, such as set-top boxes, which Cisco already sells.

Comments

There are 3 comments. Join the discussion

  1. 1. Julian Nicholls

    Sorry, are they saying that they want ME to pay THEM for the use of MY broadband to expand their network?

    Can anyone see a flaw in this logic?

  2. 2. Simon

    Re: Julian

    Not exactly. I think they are expecting you to pay to expand their network coverage into YOUR home for YOUR use. I'd consider it IF the price is right as none of the networks have proper coverage at home (and I'd want to be free to switch providers with it as required).

    It might leak a bit, but primarily it's to cover your house for YOU and your visitors.

  3. 3. anonymous

    Look for a trade off from the carrier. In return for the purchase or lease of the equipment and use of your nbroadband connection, there will be some sort of increase in the minutes of use on your phone, or no charge for all calls made over the device.

    I bet that's what you'll see.

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