Femtocells Panacea for Wireless Connectivity

Lousy wireless coverage within the enterprise may be a growing problem, but its one easily solvable thanks to femtocells, notes In-Stat.

In its report, Small Cells Will Play a Very Large Part in 4G: Worldwide Femto, Pico, and Microcell Market Analysis,” the research firm says femtocells will have the largest amount of growth in the compact base station market  good news for enterprises that want to extend their wireless communication coverage inside the corporate walls.

Indeed, In-stat believes femtocells and enterprise femtocells will help mobile operators provide better indoor coverage to their subscribers and relieve backhaul and infrastructure costs. Femtocells are also an emerging player in the fixed mobile convergence space, as they can seamlessly hand over a call in progress from the femtocell to the outside cellular base station.

Enterprise femtocells may even save businesses money,” said Allen Nogee, principal analyst and author of the report. If PBX features are incorporated into enterprise femtocells, they could displace many wireless PBX and IP PBX installs, as well as the purchase of wireline phones. Additionally we expect consumer demand for femtocells to be strong because they allow better in-home cell coverage, which has been especially lacking in the U.S.”

In-Stat believes annual femtocell shipments will reach 31.8 million by 2014, with a worldwide annual enterprise femtocell revenue CAGR of 125.7 percent between 2009 and 2014.

In contrast, picocell (carrier installed) units are forecasted at 378 percent CAGR from 2009 to 2014, with several million metropolitan picocells shipped to operators worldwide by 2014. Microcell base stations, meanwhile, will also increase but at a slower CAGR of 14.2 percent.

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