Feb 3, 2009

Femtocells May Be Tough Sell To Consumers; SIP and UMA Alternatives Linger

Femtocells can provide wireless users with better coverage and free calling within the house, reports In-Stat (http://www.in-stat.com). But that might not be enough to convince consumers to adopt them, the high-tech market research firm says. The growing number of Wi-Fi cellular phones means the cost of the femtocell alternative, calling on a SIP phone or via UMA, is getting cheaper.

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.

Recent research by In-Stat found the following:

  • Worldwide shipments of cellular femtocells will grow to more than 30 million in 2012.
  • The US will represent about 40% of total femtocell shipments.
  • According to In-Stat's end-user survey, 44% of likely femtocell subscribers would drop their landline phone service.