Skip to main content

Femtocell Providers Search for a Purpose

Wireless carriers may still be focused on the wrong customer need. Consumers often do not care about which particular technology provides them with service -- but consumers always care about quality and the consequent benefits of those services.

ABI Research believes femtocell solution providers must recognize this fact and then direct attention toward the development of potential services that can be enabled by an intelligent femtocell solution, especially with the majority of technical hurdles already overcome.

Not only is this critical in differentiating from competitive solutions such as Dual-Mode Wi-Fi solutions, but also it will be critical in ensuring profitability for carriers.

ABI Research vice president Stuart Carlaw states that "with a very conservative uptake of new innovative services enabled by femtocell solutions, it could take as much as five years before carriers go into the black following the trials on femtocell solutions."

"It is important to put this into context: nearly 75 percent of consumers in developments buy the solutions of more than two services. It is apparent that creating services beyond the go-to-market, cheap voice strategy will be crucial. And this will enable marketers to push the femtocell beyond the early adopters."

A service bundle that encompasses a comprehensive set of wrap-around services -- and links devices into a connected home concept -- will be a clear differentiator going forward. Moreover, it is imperative that service providers capitalize on Web 2.0 services by embracing service concepts such as cache and carry, where rich media files are swapped within the femtocell where service quality and cost are more favorable.

A recent report from ABI Research finds that femtocell ASP has far less bearing on cost than the ongoing support and marketing needs that will be essential to making any service-launch successful.

Popular posts from this blog

Think Global, Pay Local: The eCommerce Paradox

The world of eCommerce payments has evolved. As we look toward the latter half of this decade, we're witnessing a transformation in how digital commerce operates, with a clear shift toward localized payment solutions within a global marketplace. The numbers tell a compelling story. According to Juniper Research's latest analysis, global eCommerce transactions are set to reach $11.4 trillion by 2029, marking a 63 percent increase from $7 trillion in 2024. This growth isn't just about volume – it's about fundamental changes in how people pay for goods and services online. Perhaps most striking is the projected dominance of Alternative Payment Methods (APMs), which are expected to account for 69 percent of global transactions by 2029, with 360 billion transactions processed through these channels. eCommerce Payments Market Development What makes this shift particularly interesting is how it reflects the democratization of digital commerce. Traditional card-based systems ar...