One of the biggest challenges facing wireless subscribers is a lack of indoor coverage, and cellular femtocells were predicted to help wireless operators and manufacturers overcome this issue in a cost-effective manner.
But according to research from In-Stat, the small cellular base stations’ benefits may still not be enough to convince consumers to adopt them, particularly as alternatives such as calling on a session initiation protocol (SIP) phone or via unlicensed mobile access (UMA), are getting less expensive.
"Femtocells may have a bright future, but convincing the public they are needed may take some work, especially when customers realize that they are paying for the broadband to power the femtocell," said In-Stat analyst Allen Nogee, in the press release.
In-Stat says that the timing of 3G service rollouts is making this issue more relevant, as carriers realize that 3G services will have limited success without addressing the indoor coverage issue. The cost to address these shortcomings with traditional macro base station solutions is too high and not possible for most mobile operators.
Microcells, picocells, and femtocells seek to address these challenges by providing smaller and less powerful base stations in smaller areas, like public spaces, offices, and homes, allowing carriers to provide better coverage in specific areas without a huge capital investment.
For more on the report, called ‘Dynamics of the Femtocell Market and Business Proposition’, click here.
