Fixed Mobile Convergence

Microsoft, LG to collaborate on converged devices

Phil Goldstein — Mon, 03 Nov 2008 11:42:20 -0500

Microsoft and LG announced a memorandum of understanding that ties the two companies further together on mobile devices.

The agreement calls for greater collaboration on research and development, marketing, applications and services in the converged mobile devices space.

Microsoft CEO Steve Ballmer said that in the face of increasing competition in the mobile devices space, it made sense for both companies to pursue an aggressive, forward-looking strategy. "At the end of the day, the only way to really move forward is to continue to push new technology, new products and new innovations that have the opportunity to help all of our customers, improve businesses, their lives and reduce cost," he said.

Microsoft also plans to invest $60 million in South Korea over the next three years, in different economic areas, including training and business development.

For more:
- see this article
- see this article about the investment

Related Articles:
Microsoft mulling Windows Mobile/Zune convergence
Microsoft: Zune software coming to Windows Mobile

Sound Off - Industry players discuss the economic downturn's impact on the wireless industry

Mike Dolan — Thu, 09 Oct 2008 11:06:52 -0400

Here's what members of the wireless industry are saying about the current economic crisis and its likely impact on the wireless industry.

"I've heard some people refer to wireless services almost like they do coffee. It's the Starbucks mentality--even if there's a recession, people are going to pay for coffee and they're going to pay for wireless. We saw what happened to Starbucks, that hasn't really worked out for Starbucks and they have had their problems. I think there will be similar repercussions on the wireless front. If the economy starts going into a tailspin, parents probably aren't going to want to spend a lot of money on all these services for their teenagers. What happens when the money runs out to support their mobile Facebook and mobile MySpace and all the new applications that they're using? You may see a little bit of a hold-up.

"On the other hand it will probably open up a bigger opportunity for those operators who are focusing on costs: operators who are focusing on all-you-can eat data packages or all-you-can-eat voice packages. Or operators that offer things that are going to save people money whether they're FMC solutions that promote really cheap calling within the house or big buckets of minutes. Anything that's going to save you money will probably be their focus." --Peter Jarich, research director, Current Analysis

"I can't predict the future. The real question is what will happen further in the economy in future months vs. what has happened in the past few months. We've seen some economic impact in recent months but not a dramatic impact. We see it more on the business side where particularly [with] banks we have fewer subscribers...with wireless service.

"On the consumer side what's happened in the last five years in this country and is probably the case in a lot of other countries as well is that wireless has become a staple. There's a recent survey that showed that people would rather give up their TV or give up their Internet access before they'd give up their cell phone.

"We're relatively fortunate compared to other industries. We believe we're more insulated. We're not completely insulated but we're more insulated. "There will be some customers that will be looking for perhaps a phone with not as many bells and whistles and instead of the $99 plan they'll be looking at the $79 plan or $69 plan, but that's what I'd call a minor issue. The larger threat in telecom is wireline. Wireline five years ago used to be the "have to have" and wireless was the luxury. That has flipped and in terms of the industry there's a lot more concern among wireline carriers than wireless because when customers look at their bill if they have both they're more likely to cut the cord than their wireless service.

"I don't want to lead you to believe there's no impact on us; we're looking at our expenses very closely, monitoring the situation very closely, monitoring store traffic very closely. We think there will be some impact on our business but compared to most other industries we're relatively insulated.-- Dan Hesse, CEO, Sprint Nextel at XOHM Launch in Baltimore

"The economic situation isn't impacting us today in light of the fact that we have $3.2 billion coming to us when we close this deal. Now, we have been candid that that's not enough for us to build out the entire country but we can also decide how quickly or slowly we build out the country. We intend to be able to weather the storm and there is a storm right now in the financial markets.

"In terms of other operators, the big guys are cash flowing nicely. I think the industry will weather this storm OK and will be better off than other industries that are more cash-strapped." --Ben Wolff, CEO of Clearwire, during his keynote interview for FierceWireless' The Future of 4G virtual event.

"There's good and bad news. The good news is, for most people their cell phone is their primary phone. I think from a basic service point of view there's more risk to the landline phone in the home than there is to the mobile phone. If you start to cut back spending, you're going to ask: do you really need these two telephones? And you say 'no, I really don't need that landline phone.'

"The bad news is that I could also look at my cell phone bill and say, ‘Do I really need those ringtones? Do I really need those games? Do I need that unlimited messaging subscription? Do I need that data package? And do I need that new shiny phone?'

"I think the basic services will be OK but the discretionary spending is what's going to be under threat. People also are going to start to look at the basic value of the service and say, 'OK I get dropped calls here every day [and] they still haven't fixed it after three years. Why am I paying these people money when I can go to Company X?' The basic quality and value of the services gets scrutinized more." --Iain Gillott, president, IGR Research

"It's going to take a little bit of time for us to find out if the wireless industry is affected by the downturn. Where we could see it affected, for example, is in the lengthening of handset replacement rates. People replace their handsets now on an average of every 1.7 years. That could become less frequent.

"We could also see fewer customers who are willing to go off-contract and buy phones at full retail price. They will wait and buy phones at the subsidized price in conjunction with a contract renewal with the carriers where they get the full benefit of the subsidized device.

"We could see also some real changes in handset purchasing patterns and even some of the price points of smartphones that we're seeing today are a bit of reflection on the state of the economy where's there's less appetite for $400 devices, but devices that are priced at $200 seem to be hitting a sweet spot with customers in the market for smartphones.

"I think we can also see, and you even see it right now with some of the recent device announcements for the holidays...carriers are beefing up their offerings at the lower end; very good, capable phones but the kind of phone you can get for under $50 for a subsidized price.

"If this downturn appears to be protracted...some of the 'nice to haves' rather than the 'need to haves' will be impacted. 'Nice to haves' might be a data plan, mobile applications or mobile content. I don't think people are going to give up their wireless phones. I don't think they're going to give up their subscriptions. They might go to a more economical subscription and they might start to think more carefully about some of those extra little luxuries like getting an extra ringtone or subscribing to a higher end data plan or even subscribing to a broadband access-type service on a 3G network.

"If that starts to happen, we may see a slowdown where major wireless operators are scaling back their capex budgets for 2009 and they might not roll out 4G networks as aggressively. It might be difficult for operators to get the credit facilities that they need for the various types of cap ex that's required, whether it's improving the coverage of their 3G networks or building out 4G or WiMAX or any flavors of next generation network evolution." --Mark Lowenstein, managing director, Mobile Ecosystem

Will femtocells sweep WiFi on the FMC front?

Wed, 09 Apr 2008 06:59:59 -0400

Ã‚Â

Will femtocells sweep WiFi on the FMC front?

In case there was any doubt, Verizon Wireless certified the recent femtocell hype in the U.S. as a rising trend by announcing plans to launch femto services by year-end.

The carrier's CTO Tony Melone said at the CTIA Wireless 2008 trade show last week that subscribers can expect femtocell products and services that boost coverage in the home sometime in 2008. While Sprint has already commercially launched its Airave femtocell product in three markets, Verizon Wireless' disclosed interest in the technology prompted AT&T to admit that it has been evaluating femtocells too. T-Mobile USA has tackled the poor coverage at home problem by offering HotSpot@Home, a service that makes use of UMA-powered WiFi-enabled devices.

The major sticking point for femtocell's future success is pricing. Sprint's Airaves reportedly cost around $200 and the carrier is subsidizing them for a retail price of $50. Tack on an additional $15-a-month for unlimited calling at home and you'll recoup some of that subsidy over time but it's still steep for a struggling carrier.

What's more, not everyone needs to improve their cellular coverage at home. The femtocell pushers understand that. In Europe, where voice coverage is of less concern, the goal has been to sell 3G femtocells that improve data coverage at home for wireless devices. Considering WiFi's ubiquity that's a hard sell.

Femtocells aren't just a voice and data play, however. Once the pricepoints are at a more comfortable level for carriers these cell-towers-in-the-home could enable home security features. One such application would allow parents who are still at work to log into an online portal that's connected to the home femtocell. The femtocell can report which of the kids are at home based on which devices are connecting to it. The femtocell could even show which of their friends are over if their devices are roaming on the home network, too.

Thanks to Verizon Wireless' commitment to femtocells and AT&T's sudden interest, the technology could be poised to sweep the fixed-mobile convergence battle out from under WiFi. That is, of course, if the price is right. -Brian

P.S. Femtocells weren't the only hot topic at CTIA last week: Join FierceWireless Editor-in-Chief Sue Marek tomorrow at 2 p.m. EST for a Webinar on "The newsmakers of CTIA."Ã‚Â Analysts Linda Barrabee of the Yankee Group and Andy Seybold of Andrew Seybold Inc. will join Sue in dissecting the news, trends and gossip from the CTIA show. Sign up here.

Verizon Wireless: Femtocells in 2008

Mon, 07 Apr 2008 06:59:56 -0400

Verizon Wireless CTO Tony Melone said at the CTIA Wireless 2008 trade show last week that the carrier would begin offering femtocell products and service plans sometime this year. The announcement follows a move by Sprint into the femtocell arena. AT&T also is said to be evaluating a femtocell offering.

What remains to be seen is what Verizon will charge for the femtocell device and the service plan. Sprint charges around $50 for the product and $15 per month for service. Verizon's commitment, broader than Sprint's thus far and the only one by a U.S. telco that has both local wireline and wireless networks, may well bring femtocell deployment to its tipping point in the U.S. market. -Lynnette

To read more about Verizon's femtocell plans:
- take a look at this article from AP

Also, check out our recent webinar: Fixed Mobile Convergence:
Are femtocells and UMA/WiFi solutions competitive or complementary?

Related articles:
Sprint formally launches femtocell, Airave Report
Nokia Siemens and Ubiquisys jointly push femtocells Report
Cisco pours cash into U.K. femtocell developer Report
Operators want femtocells Report

Sandvine, Acme Packet push into broadband wireless

Mon, 31 Mar 2008 15:01:19 -0400

As the wireless industry moves solidly toward a broadband world, it is beginning to attract companies that have historically played in the wired broadband DSL and cable markets.

This week, Sandvine is showcasing a service control platform, called the PTS 14700, aimed at tier-1 mobile operators designed to give operators visibility into subscriber data trends and consumption, opening the door to new customized services such as quota management, value-based billing, advice-of-charge, and content zones that facilitate and encourage more mobile data usage.

Sandvine is demonstrating the platform over WiMAX in conjunction with Nortel this week.

"This creates advantages in rapid service creation and innovation," said Tim Donnelly, co-founder and executive vice president of marketing. "The data component is increasing in popularity and creating an opportunity to leverage better applications and subscriber behavior to create new services."

Sandvine has been around for six years, targeting the fixed broadband market. The PTS 14700 is an evolution of its already proven platform in that space. "We've had terrific take up in the wireline environment and started to engage wireless operators that have different characteristics: lower data rates but higher subscriber counts," Donnelly said.

Another prominent fixed-line company is making bigger inroads into the wireless market this week. Acme Packet, a session border control solution provider, is introducing its Open Session Routing (OSR) architecture and products along with an ecosystem of partners to deliver SIP-based fixed-mobile convergence.

The OSR architecture features Acme Packet's Net-Net Session Router, a session routing proxy, working with routing database products and services from Acme Packet's ecosystem partners.

"Tier-one wireless and wireline service providers are looking for more open, scalable and cost-effective core session routing solutions that can evolve as their networks do," said Seamus Hourihan, vice president of marketing and product management at Acme Packet. "Several tier-one deployments of Acme Packet's Open Session Routing solution signal an impending sea change away from monolithic, session-stateful products to session-stateless routing proxies leveraging best-of-breed routing databases."

T-Mobile's WiFi vs. femtocell dilemma

Wed, 05 Mar 2008 06:59:59 -0500

Ã‚Â

T-Mobile's WiFi vs. femtocell dilemma

Why is T-Mobile investing in a femtocell start-up, while its U.S. subsidiary offers a fixed mobile convergence service that uses a WiFi hotspot at home?

Earlier this week, T-Mobile International's venture arm T-Venture disclosed that last year it participated in a $25 million venture capital round for femtocell start-up Ubiquisys. Google also participated in the round, which closed in July 2007. Since the company launched in 2004 it has raised $37 million in venture capital, but Ubiquisys and T-Mobile will not release the amount the carrier has invested in the start-up or what stake in the company it now holds.

As part of the recent announcement, T-Mobile International announced that it was trialing Ubiquisys' ZoneGate 3G femtocell and hinted that NEC and Nokia Siemens Networks are partners in the trials. According to various reports, the companies are testing the femtocell technology in the Netherlands, Germany and the U.K.

Of course, T-Mobile has not announced plans to test the femtocell technology in the U.S. because it is rolling out a competing fixed mobile convergence solution: its UMA and WiFi-based Hotspot@Home service.

While femtocells could be marketed as a way to increase voice coverage in the home, Ubiquisys, picochip and other start-ups in the femtocell sector focus on the technology's ability to boost 3G signals in the home, thus enabling mobile broadband and data services. Voice coverage is a problem for the U.S. market and not as big of a concern in Europe.

The voice-centric T-Mobile USA Hotspot@Home service certainly edifies that claim. T-Mobile USA provides Hotspot@Home users with either a Linksys or D-Link router that acts as a standalone wireless hub for in the home. Once set-up, calls will automatically route over the WiFi network when available (either at home or when close to another T-Mobile hotspot) and will seamlessly hand off to T-Mobile's network when out of WiFi range.

While the debate over whether Europe is ahead of the U.S. when it comes to mobile broadband deployments saunters on, it's clear that it has the U.S. beat when it comes to the femtocell trend. Fixed mobile convergence looks to be a strict voice play in the U.S. for the coming year: Especially since the carrier with the only disclosed investment in femtocells is only now just beginning to roll out its 3G network.Ã‚Â -Brian

T-Mobile's HotSpot@Home BB 8820 pushed back?

Mon, 25 Feb 2008 06:59:54 -0500

According to a report over at EngadgetMobile, T-Mobile USA has pushed back the launch of its HotSpot@Home/WiFi enabled BlackBerry 8820. The carrier previously listed the device's launch date as March 5 on its website, but now the launch date reads "TBD." T-Mobile already carries the BlackBerry 8800 and the BlackBerry Curve with WiFi capabilities.

For more on the handset:
- read this report from EngadgetMobile

RIM: Home media servers and prepaid for BB

Wed, 13 Feb 2008 06:59:57 -0500

Research In Motion made two big announcements this week at Mobile World Congress: It would start offering home media servers for its BlackBerry users and it would be launching a prepaid billing option for the handset users. The home media service, called "Unite Servers," is very similar to a fixed-mobile convergence service, except it uses an existing computer in the home to sync the device up to its email--instead of communicating over the carrier's data network.

Alcatel Lucent is powering a new prepaid option for BlackBerry users. The plan keeps track of the amount of data sent by the user and charges accordingly.

For more on RIM's news:
- check out this press release about the prepaid option
- read this article from Electronista

ALSO NOTED: AT&T's new marketing director; Mobile users outnumber non-users; and much more...

Thu, 07 Feb 2008 06:59:50 -0500

> Carl Icahn prepares to debut his blog. Article

> AT&T hires new marketing director, Chris Schembri. Article

> ITU: mobile users outnumber non-users for the first time. Article

> ARM to show off Google's Android on a device next week at Mobile World Congress. Article

> Rumor Mill: Vodafone to brief vendors on LTE plans. Article

> Orange looks to expand into emerging markets. Article

> BT dumps FMC offering after poor consumer uptake. Article

And Finally... Why the blogs are excited for Intel's Silverthorne. Article

T-Mobile USA launches Katalyst for @Home

Mon, 10 Dec 2007 06:59:58 -0500

T-Mobile USA has launched yet another UMA phone for its T-Mobile @Home service: Samsung's t739 Katalyst. The carrier already offers the Nokia 6086 and the BlackBerry Curve 8320 for the fixed-mobile convergence service, but the Katalyst is the first slider phone it has offered for it. The phone also features a 1.3 megapixel camera, Bluetooth and a microSD slot. The phone will retail at $79.99 with a two-year contract.

Hotspot@Home, launched in June, allows T-Mobile customers to connect via the firm's cellular network and its 8,500 WiFi hotspot locations across the country.

For more on T-Mobile's newest UMA handset:
- see this image slideshow of the Katalyst handset
- read this press release

Alltel's WiFi deals point to FMC?

Fri, 12 Oct 2007 06:59:59 -0400

Ã‚Â

Does Alltel's WiFi deal point to FMC plans?

This week Alltel inked a significant deal that will bring WiFi services to its subscribers. The carrier announced a white label deal with Sky Dayton's Boingo Wireless that will give Alltel subscribers access to Boingo's nationwide network of WiFi hotspots. The deal could be indicative of the carrier's future plans for fixed-mobile convergence in the home.

Like T-Mobile USA before it, Alltel's move to offer WiFi services via hotspots could lead to a service like T-Mobile's Hotspot@Home. The UMA-based T-Mobile service lets users handoff calls to their home WiFi routers to save their cellular minutes and to improve coverage in the home. Now that Alltel has the Boingo deal in place and plans for an EVDO/WiFi unlimited package, offering UMA phones is probably the next step.

One increasingly popular alternative to the UMA/WiFi fixed-mobile convergence play is a femtocell in the home. These mini-basestations typically plug into a subscriber's home routers and increase the oft weak cellular signal at home. Femtocells seem to be a more attractive option for carriers with stronger 3G network deployments, since future femtocells will be 3G-enabled and encourage mobile content consumption while at home. Carriers with little to no 3G coverage at present seem to be going the route of UMA/WiFi-based solutions instead of the femtocell.

That certainly seems to be the case for T-Mobile USA. So why does Alltel, with its substantial EVDO footprint, need a WiFi deal with Boingo? Is it a stop-gap for the carrier as it builds out its EVDO network?

According to a recent Current Analysis report, the Boingo deal gives Alltel more of a level playing field in comparison to AT&T and Sprint who offer WiFi access, but have not combined it with 2.5G/3G access in a bundle. The research group says that Alltel now compares more favorably against Verizon Wireless, who has not been active in the U.S. WiFi market. Current sees the move as one largely benefiting the "road warrior."

Regardless of its motives, Alltel now has a network of WiFi hotspots at its disposal. So it may want to heed femtocell proponents, who point out that a UMA/WiFi FMC solution requires new handsets. They also claim WiFi drains a device's battery life far quicker than a femtocell's cellular signal will. So femtocell or WiFi? What's it going to be Alltel?Ã‚Â -Brian

P.S. Come join us for the now legendary Fierce party at CTIA I.T. and Entertainment, a Union Affair. RSVP

Group certifies first UWB chipsets

Wed, 10 Oct 2007 06:59:55 -0400

The WiMedia Alliance, the group behind the ultrawideband high speed wireless technology, has certified the first chipsets for UWB. UWB will bring about wireless USB and next-gen Bluetooth. UWB is designed to deliver 480 Mbps over a few meters, making short range data transfer quicker. Not only is UWB faster, but proponents say it will help conserve battery life. The group certified chipsets from 12 vendors, including Intel, Alereon and Staccato.

For more on the new chipsets and UWB:
- read this article from PC World

Sourdough bread, Rice-A-Roni and wireless IT

Wed, 03 Oct 2007 09:27:16 -0400

This year's annual CTIA Wireless I.T. trade show kicks off in San Francisco Oct. 23-25 and continues the split-personality themeÃ¢â‚¬â€that is a focus on entertainment and the enterprise.

While mobile entertainment continues to dominate the show as it has done during the past several years, its less sexy brethren, the mobile enterprise, continues to plod along. Wireless in the enterprise is making steady headway for the simple reason that workforces are becoming increasingly mobile, and remote employees need to be more productive. Most of all, enterprises want to save money on IT costs.

Cost savings is what fixed-mobile convergence (FMC), otherwise known as dual-mode WiFi/mobile service, is supposed to give to the enterprise. FMC promises least-cost call routing and converged messaging benefits as well as more enhanced services, such as richer unified communications applications including presence, instant messaging and other collaboration tools.

Still, FMC faces significant barriers in the enterprise. The Yankee Group recently noted in a report that enterprises have a "not now" attitude about FMC services. They like the productivity benefits of FMC, but aren't impressed enough by the cost savings.

The market research firm suggests that enterprises may want FMC to be a low-cost or free capability included in a broader package of services.

According to the research firm, enterprise adoption of FMC remains low, with only 2 percent of large enterprises in Europe deploying FMC and even fewer in the U.S. and Canada. The Yankee Group says competition from alternative mobility initiatives, technological immaturity and reduced priority placed on voice communications by IT decision-makers have contributed to the low adoption rate. In addition, 29 percent of large enterprise IT decision-makers surveyed in the U.S. consider the technology "nice to have," but not a "critical" application on their IT/networking road map.

As such, Yankee Group says these statistics don't bode well for FMC in the form that carriers are marketing it. Carriers are pushing the idea that FMC can reduce costs for the enterprise. Yankee Group recommends that the focus needs to shift from cost reduction to an emphasis on productivity.

Given the fact that some carriers have approached FMC with trepidation, not sure of what the economic model or the demand might be, and the weak demand for FMC solutions in the enterprise, one has to wonder where this enterprise market is going. Is it only stalled or dead in the water?

Maybe Sprint will blaze some trails in the enterprise. The operator recently revealed it plans to work with enterprises on the rollout of its WiMAX network, enabling businesses to install femtocells inside their office environments and take advantage of automatic roaming onto the carrier's WiMAX network outside.

The advantage for enterprises, according to Sprint, is that the service will be similar to WiFi but more secure and with easy roaming onto a carrier network. Sprint has issued RFPs for WiMAX femtocells, and the carrier expects large enterprises to buy and deploy femtocells for consistent coverage across their offices and campuses, maintaining control over them as they do with current WiFi networks.

Converged services will be one of the hot topics at CTIA Wireless I.T. -Lynnette

P.S. FierceMarkets will bring you all the news and scoops from the CTIA I.T. Show. We are the official online show daily for CTIA. We will deliver all the news in our regular issue and at a custom micro-site entitled "CTIA Live!" Click here to check out the website.

Metric: 435M SIP phone users by 2012

Wed, 03 Oct 2007 06:59:56 -0400

According to a recent report from Informa Telecoms & Media, there will be 435 million users of SIP-enabled phones by 2012. Sales of handsets with active SIP functionality will reach 275 million units this year, but the inflection point for sales will land sometime in either 2010 or 2011, the report predicts. The figures take into account both IETF SIP and IMS SIP. Informa's Malik Saadi said that "growth will be mainly driven by the strong will of device vendors to get involved in the content space but also by the increasing number of new entrants among VoIP and Internet content providers who are determined to challenge the mobile operator walled-garden service offering."

For more on the SIP report:
- read this article from TMC

Nokia launches the 6301 UMA handset

Thu, 20 Sep 2007 06:59:54 -0400

Nokia launched a UMA-enabled handset, the 6301. The handset sports a stainless steel design and allows users to seamlessly transfer calls to and from GSM networks to WLAN networks via Unlicensed Mobile Access technology. Nokia has plans to release the handset in Europe, but not yet in the U.S., despite UMA-based services cropping up here: like T-Mobile's recently launched FMC service.

For more on the handset:
- read this press release

Behold, the not-necessarily-mobile phone

Wed, 19 Sep 2007 06:59:59 -0400

Ã‚Â

Behold, the not-necessarily-mobile phone

Last year the wireless industry added a new set of words to its lexicon: Femtocell, picocell, ubicell and so on and just this week U.S. mobile users began purchasing these "in-home cell towers."Ã‚Â Sprint announced on Monday that its subscribers in Indianapolis, Denver and Nashville (soon)Ã‚Â can now purchase a femtocell--which the carrier calls an Airave--and a corresponding service plan. The Airave (photo)Ã‚Â is a rebranded version of Samsung's Ubicell, and aims to boost cellular coverage for Sprint subscribers while they are at home.

Sprint's latest offering drew comparisons to T-Mobile's recently launched FMC service, and for good reason: Hotspot@Home makes use of UMA technology to port a user's cellular calls over WiFi while at home. Femtocells and UMA are competing as well as complementary ways to achieve FMC and boost cellular signals. The key difference is that femtocells make use of standard cellular signals, while UMA uses cellular-to-WiFi hand-off. Sprint has clearly decided on the femtocell route, while T-Mobile USA is putting its weight behind UMA.Ã‚Â

That's not to say that UMA and femtocells are mutually exclusive, however. Kineto Wireless, the original developer of the UMA standard, has been working with Ubiquisys and Netgear on femtocells that make use of UMA as a backhaul solution. So it seems that at least for now, there's plenty of room for both technologies in the FMC space.

Offering a solution that makes it easier to use one's mobile phone in the home makes sense for T-Mobile USA and Sprint Nextel, since neither depends on landline voice service revenues like rivals AT&T and Verizon. One has to wonder though what comes next for these carriers, if they succeed in gaining traction in the home through a femtocell or UMA-enabled router. Will last year's predictions of IPTV-slinging femtocells prove prescient? Or are femtocells and UMA merely blips on the long road to fixed-mobile convergence?

Let me know if you think these recent FMC offerings are game-changers, now that the mobile phone is no longer just for the road. It works (much more consistently) right from your living room couch. -Brian

Sprint formally launches femtocell, Airave

Mon, 17 Sep 2007 06:59:54 -0400

Last month we reported on a rumor that claimed Sprint would launch its femtocell service in Q1 of next year, but it turns out the carrier has launched the service for subscribers in Denver and Indianapolis today. The "Airave" femtocell is a rebranded version of Samsung's Ubicell, and aims to boost cellular coverage for Sprint subscribers while they are at home. Here's what the device looks like (click to enlarge):

While Sprint is not counting any of the minutes an Airave-equipped customer uses at home against the subscriber's calling minutes, the service costs an additional $15 per month for individuals and $30 per month for subscribers with family plans. The Airave itself costs $49.99 at Sprint stores. The service will expand throughout the Denver and Indianapolis areas and will be launching in Nashville soon. Expect a nationwide launch early next year.

For more on the Airave:
- read the press release

T-Mobile may extend VoIP with Hotspot@Home

Mon, 13 Aug 2007 06:59:56 -0400

T-Mobile USA has submitted a wireless router for testing by the FCC, several reports indicate. The extrapolation is that T-Mobile intends to extend its wireless hub and HotSpot VoIP capabilities into a full-fledged VoIP landline service. The router appears to support two landline phones and two cellular phones per unit, according to reports.

Hotspot@Home, launched in June, allows T-Mobile customers to connect via the firm's cellular network and its 8,500 WiFi hotspot locations across the country. T-Mobile offers two HotSpot-compatible handsets--the Samsung t409 and the Nokia 6086. The handsets themselves sense whether or not WiFi is available.

For more:
- CNet provides and excellent overview of T-Mobile's build-up here
- TG Daily provides a perspective on T-Mobile's VoIP strategy here

Related Articles
T-Mobile CEO says wVoIP won't catch on Report

Sorting Through The Femtocell Fray

Thu, 02 Aug 2007 13:04:44 -0400

By Peter Jarich

The telecom market is no stranger to hype. Year after year, new technologies are introduced, all promising to meet a broad array of operator and end-user requirements. Marketing campaigns ensue. After a good deal of market Ã¢â‚¬ËœeducationÃ¢â‚¬â„¢ the new technology is seen as an inevitable success. Technology development and deployment delays ensueÃ¢â‚¬Â¦along with an inevitable backlash. Somewhere in this process, the new technology gets its own conference or tradeshow.

Femtocells are clearly following this formula. With UMA and other dual-mode FMC solutions preceding it, the market education phase has been a short one Ã¢â‚¬â€œ but it has also resulted in some undeniably inflated expectations along with the inaugural Ã¢â‚¬ËœInternational Conference on Home Access Points and FemtocellsÃ¢â‚¬â„¢ held by Avren Events in London from last month.

The basic value proposition of femtocells is simple to understand: all the benefits of WiFi-based FMC without relying on a limited supply of relatively expensive dual-mode devices. To this end, AvrenÃ¢â‚¬â„¢s conference had no sessions dedicated to selling the femtocell vision. The focus was where the femtocell market stands today, where itÃ¢â‚¬â„¢s going, what it will take to get there and which questions are still largely unanswered. And, with several topics and themes repeated multiple times over the course of several days, a clear snapshot evolved.

Femtocell Rationale. With the first femtocell trials still underway, the specifics of actually rolling out a femtocell-based service are unknown. Surprisingly, however, there is limited insight into why an end-user would want a femtocell. Improved indoor coverage can be delivered by repeaters, dual-mode solutions or even additional macro-cell base stations. Improved capacity would follow. Femtocells remove the need for subscribers to purchase dual-mode devices, but this assumes they see the value in FMC services and are strong 3G users Ã¢â‚¬â€œ 2G networks, after all, already provide strong coverage. The primary rationale, then, is operator-driven: transport offload, an enticement for subscribers to use 3G, improved macro-cell capacity, etc. In short, the customer draw (today) is cheaper voice services while the operator draw is cheaper data delivery. But, with other solutions delivering cheap voice, the operator rationale dominates.
Ownership. Compact, low-capacity 3G base stations are not a new development. Femtocells, however, make them a residential reality by bringing costs down. But, this raises a critical question, Ã¢â‚¬Å“who actually pays for the femtocell?Ã¢â‚¬Â If the end-user buys it, the service offer (and savings) will need to be very compelling. If the operator buys it, the costs of rolling out a femtocell solution quickly escalate. Most operators agree that they would need to, Ã¢â‚¬Å“ownÃ¢â‚¬Â the femtocell since it is an extension of their network Ã¢â‚¬â€œ something that would leverage their spectrum assets and something they would want to manage. Sprint, with its vision of WiMAX devices (femtocells included) being completely unsubsidized, was the most vocal outlier.
Marketing. Femtocell service launches would require their own, dedicated marketing efforts. Beyond the basics of FMC marketing, femtocells come with their own unique value proposition and obstacles. At a minimum, broader acceptance will require one common, accepted terminology for the device: femtocell, home access point, home base station, 3G home gateway, home node, ugly grey wireless box, etc. Without one, market confusion should be expected. Likewise, while fears of RF exposure are unfounded given low-power output, it will still be necessary to make sure end-users understand this point. Ultimately, if the femtocell value proposition is tied to mobile data usage, the success of the femtocell market depends most of all on basic 3G or WiMAX marketing, getting devices and services into the hands of users.
Love of Existing, Open Standards. Operators could launch femtocells that operate as little more than WiFi access points, interfacing directly into an open Internet and improving the data performance of 3G (or even 2G) devices. That isnÃ¢â‚¬â„¢t FMC, though. It doesnÃ¢â‚¬â„¢t provide any integration with an operatorÃ¢â‚¬â„¢s mobile voice or data infrastructure. It doesnÃ¢â‚¬â„¢t provide seamless connectivity with an operatorÃ¢â‚¬â„¢s OSS and BSS solutions. From an integration standpoint, then, thereÃ¢â‚¬â„¢s no shortage of solutions for connecting femtocells into an operatorÃ¢â‚¬â„¢s mobile core, the three front-runners being SIP/IMS, UMA and an Ã¢â‚¬â„¢RNC concentratorÃ¢â‚¬â„¢ or gateway approach linking into the core via existing Iu interfaces. While too early to declare any one option a winner, operators are clear on two things. First, the use of Iu interfaces into the core is particularly appealing. Yes, most operators are moving on SIP and IMS. Iu, however, promises to integrate into existing kit in an easily understood way. Secondly, an open interface from the femtocell into the gateway is expected. 3G networks have been built with base stations and RNCs coming from one vendor. Femtocells, however, may take diverse forms with different capabilities serving different market segments. No operator wants to be locked into a single brand of home base stations simply based on their network gateway vendor.
Defining Ã¢â‚¬Å“OpenÃ¢â‚¬Â. So, what is an Ã¢â‚¬â„¢openÃ¢â‚¬â„¢ interface? Generally, itÃ¢â‚¬â„¢s any interface whose specifications have been made public or, at least, released to interested parties. Unfortunately, this doesnÃ¢â‚¬â„¢t mean that the interface is generally accepted or even easily adopted. Take the example of NSNÃ¢â‚¬â„¢s new Femto Gateway. The vendor touted its reliance on standard and open interfaces. Yet, it also noted that it will, Ã¢â‚¬ËœcertifyÃ¢â‚¬â„¢ the femtocells that interoperate with the gateway. Why is certification necessary? Because Ã¢â‚¬ËœopenÃ¢â‚¬â„¢ does not mean Ã¢â‚¬ËœstandardÃ¢â‚¬â„¢ and even where standards are employed, there are often various implementations of the standard. While itÃ¢â‚¬â„¢s understood that Iu-based solutions are attractive, itÃ¢â‚¬â„¢s also expected that a diverse set of open interface options from the femtocell to the gateway may fragment the market, opening up opportunities for UMA and SIP solutions.
Costs, Costs, Costs. Noted earlier, the promise of low-cost home base stations Ã¢â‚¬â€œ something end-users and/or operators could afford Ã¢â‚¬â€œ has helped to make femtocells a viable FMC solution. The question of, Ã¢â‚¬Ëœhow cheapÃ¢â‚¬â„¢ is a rhetorical one. Costs on par with WiFi APs would be ideal but difficult to obtain until scale ramps up significantly. Confounding scale, however, is the fact that there is no standard set of functions or capabilities a femtocell is supposed to deliver. Femtocell vendors are pursuing their own interface strategies. Most have diverse solutions for interference mitigation as well as security. Some will want to include WiFi in the node. DSL is the current expectation for backhaul. Cable and even fiber options are likely to followÃ¢â‚¬Â¦likely integrated into various forms of set-tops and residential gateways. A single chip femtocell solution, it was argued, is feasible and would enable a sub-$50 bill-of-materials (BOM). Until vendors and operators agree on common forms and functionalities, few vendors will risk developing such a solution and cost constraints will remain.
Trials and RFPs. Of course, one of the biggest questions surrounding the femtocell space is, Ã¢â‚¬Ëœwhen will it take off?Ã¢â‚¬â„¢ There is little doubt that femtocells will get deployed. But, if this takes years, interest is bound to fade and competing solutions will gain ground. Luckily, vendors and operators, alike, leveraged the opportunity of the Femtocell conference to talk about their plans. Orange, already delivering UMA services, revealed its interest in a femtocell RFP (request for proposal). T-Mobile noted its commitment to femtos, even as its US arm launched a UMA offer. News of VodafoneÃ¢â‚¬â„¢s RFP hit the wires, O2 confirmed its investigations and Sprint, once again, noted plans for WiMAX femtocells. Softbank even held proof-of-concept demonstrations in Japan.
The Importance of RF Planning. The biggest technical issue keeping would-be femtocell operators up at night is RF planning. For the sake of capacity, operators will want to launch femtocells on the same channel as their macro cell network. This raises the specter of interference: indoor vs. outdoor not to mention indoor vs. indoor (e.g., between neighboring femtos). Separately, for the purpose of hand-in from the macro cell network, the existence of hundreds of new neighboring cells (IE, femtocells) could easily result in an overwhelming set of new cell global identifiers (CGIs) if standard cell planning procedures are followed. Ultimately, the result could be downgraded network performance, awkward handoffs and a burden on the core network in terms of cell management. Unlike obstacles which can be overcome by business practices or strategies, RF planning and interference worries will require specific, technical solutions from femtocell vendors.
The Femto Forum. The day before the conference began, the Femto Forum launched. The Femto Forum is a group formed to promote the uptake of femtocells through standards development, ecosystem development and market education. How important is this? Take a moment to review the points above. Where marketing is important, the Forum could represent one unified, compelling voice. Where a standard, open interface out of the femtocell is required, the Forum (with the help of operator members) could help in defining the interface. Where operators pursuing diverse functionalities could keep femtocell scale in check, the Forum could help to coordinate requirements.

Peter Jarich is principal analyst with Current Analysis, a competitive analysis firm.

SPOTLIGHT: Truphone wins T-Mobile U.K. injunction

Tue, 17 Jul 2007 06:59:52 -0400

A U.K. high court granted Truphone an injunction to require T-Mobile to put the FMC carrier's calls through. Truphone has claimed that T-Mobile is blocking calls trying to connect with Truphone's subscribers. T-Mobile said it had offered Truphone a deal to route its calls, but the other carrier rejected the deal. Article