Skip to main content

Enterprise Femtocells Gain Majority of the $4.3B Market

The bring your own device (BYOD) to work phenomenon continues to impact IT budgets as demand for better in-office wireless coverage increases with each new wave of mobile business productivity applications.

As an example, Voice over IP (VoIP) and emerging video-based collaboration apps typically create the need for improved Wi-Fi or broadband 3G/4G cell coverage.

Enterprise femtocell deployments will capture 97 percent of the $4.3 billion market revenue in 2019, outpacing consumer-residential femtocells, according to the latest global market study ABI Research.

While femtocells are successful in the consumer market, both mobile network operators and wireless LAN vendors are eager to participate in these lucrative new mobile workplace deployments.

"The femtocell business model becomes clear for small and medium enterprises. The cost of a Distributed Antenna System cannot be justified for these firms, but yet there is an increasing demand for mobile voice services," said Ahmed Ali, research analyst at ABI Research.

Other sources of mobile network service provider revenue driving this transition are value-added services.

Although Enterprise femtocells cost more and deploy in larger numbers, in the long term, device prices are bound to come down. Mobile network operators will look for additional customized services to maintain margins.

Moreover, location-based analytics is one of the most important aspects of future femtocell deployments and provide tailored services for different vertical markets.

The market share of different femtocell access technologies also changes with the rise of multi-mode femtocells. Although 3G femtocells will have the biggest share of femtocell shipments every year, especially in the North America and Asia-Pacific regions, 3G/4G multimode femtocells are taking off.

Top chip and equipment providers pushing towards this approach include Cisco, Alcatel-Lucent, and Broadcom.

In the near-term, multi-mode femtocell shipments will find its biggest market in North America where the fast growing LTE and small cells markets will benefit from the dual access capabilities.

Popular posts from this blog

IoT Device Management Demand Gains Momentum

More forward-thinking CIOs and CTOs are focused on the adoption of the Internet of Things (IoT). Management challenges are top of mind for those who have already deployed a large number of sensors and associated network edge devices. Device management services are evolving in response to a greater breadth of new device technologies such as edge intelligence and related connectivity solutions, as well as the customer scalability and security of IoT deployments. But forward-looking suppliers are also preparing for a world where 41.3 percent of the connected devices will be using some form of Low Power Wide Area (LPWA) technologies by 2026. IoT Device Management Market Development Since IoT customers increasingly need to manage a larger fleet of connected devices, ABI Research now forecasts that IoT device management services will exceed $36.8 billion in revenues by 2026. Standardization is beginning to play a bigger role in device management services, as more connected devices use LPWA t

Anywhere, Anytime Workplace Demand for SASE

The ongoing adoption of flexible working models within the enterprise market has significant implications for typical IT organizations that must now support knowledge workers and front-line employees that operate outside the corporate network perimeter. The global COVID-19 pandemic created IT networking and security challenges. The expansion of the distributed workforce, an increasing reliance on cloud computing infrastructure, and the requirement to securely connect online employees -- wherever they choose to work, at any given moment in time. Legacy IT solutions that have rigid network underlays and a requirement for on-premises infrastructure cannot adequately deal with these trends. This 'Anywhere, Anytime Workplace' led to demand for new Secure Access Service Edge (SASE) solutions, with networking and security delivered as-a-service. Anywhere, Anytime Workplace Market Development   Although converging networking and security capabilities offer enterprises a promising solut

Cloud Edge Computing Demand Continues to Grow

Public cloud computing solutions are moving closer to the edge of networks where CIOs and CTOs are hosting new apps. The edge journey is well underway for forward-looking organizations as they seek to connect with customers, improve operational efficiency, and adopt digital business technologies to drive innovation. The latest worldwide market study by International Data Corporation (IDC) found that three-quarters of organizations plan to increase their edge computing spending over the next two years with an average increase of 37 percent. A combination of factors is driving this increased spending at the edge. Cloud Edge Computing Market Development The performance requirements of expanding workloads and new use cases that leverage artificial intelligence (AI) and machine learning (ML) demand greater compute capacity at the edge. In addition, the amount of data being stored in edge locations are rapidly expanding, and organizations plan to keep this data longer. As a result, the numbe