As more and more people use mobile phones as their primary communication device, demand for mobile voice and broadband capacity and coverage continues to increase rapidly. At the same time, mobile operators experiencing declining average revenue per user (ARPU) for voice services are seeking creative ways to improve their bottom line. Many operators are looking to the popularity of mobile broadband to increase data ARPU while reducing operating expenses.
But in-building coverage is still not comparable to outdoor coverage, and the broadband experience of hundreds mobile phones sharing macro cell sites is less than satisfying. To improve the overall customer experience and increase customer revenue, mobile operators must improve in-building coverage while increasing broadband performance. These improvements will allow operators to offer reliable, high performance in-building services such as bundled triple-play and quad-play services. Fixed Mobile Convergence (FMC) has emerged as a solution to these problems. One of the most effective FMC solutions is delivery of mobile broadband services through a new class of small access points called femtocells. These table-top sized access points provide in-home wireless coverage and connect to mobile networks via broadband Cable or DSL internet connections. Femtocells have the potential to transform mobile communications by offering new levels of service to consumers and new economic and deployment models for operators.
Airvana’s flat IP, collapsed network architecture is simple to install, cost-effective and efficient. Based on CDMA and UMTS/HSPA standards, Airvana’s HubBub femtocells (CDMA HubBub and UMTS HubBub) help operators deliver new applications to home users, improve in-home coverage and capacity, while reducing operating costs. Airvana’s flat-IP, collapsed network architecture is simple to install, cost-effective, and efficient – and includes femtocell solutions based on CDMA and UMTS standards.
Overall, femtocells have the potential to transform mobile communications by offering new economic and deployment models for operators and new levels of service to consumers.
Femtocell Benefits
Operator Benefits
For mobile operators, femtocells will deliver:
- Increased network capacity – As each new femtocell is added to the network and customers shift from macro cells to femtocells, operators will increase the overall network capacity, while they offload their macro cell network.
- Reduced capital costs – Even as the number of subscribers increases, femtocells will mitigate the need for new macro cell equipment.
- Reduced backhaul costs – The on-going operating cost of backhauling traffic to operator core networks will be handled by the user’s DSL, cable, or fiber access fee.
- Increased customer retention and conversion – With excellent in-home coverage, better broadband performance, and attractive home zone calling plans, operators will find customers staying and converting on a family-basis versus an individual-basis.
- Expanded revenue opportunities – With excellent coverage and superior performance, mobile multimedia services will increase in popularity, raising average revenue per user (ARPU).
Consumer Benefits
For consumers, femtocells have the potential to address a number of challenges. They can enable new and exciting applications and services, and provide a number of benefits.
- More economical converged services – Femtocells will enable lower-cost, triple play and quad play in-home services from a single vendor.
- Increased indoor coverage – In most homes, femtocells will provide “five bars” of coverage throughout the household.
- Improved broadband experience – Instead of macro cells supporting hundreds of users, femtocells will support only 4 simultaneous users. Femtocells will deliver higher data rates per user and a better overall broadband experience.
- Better quality voice – With fewer users per access point, femtocells will support a new generation of wide-band voice encoders for better sound quality.
- Work with existing handsets – Femtocells will allow use of the existing handsets to offer new services at home, improving the ability of users to use the cell phone as the primary communication device, both inside the home and out.
As more and more people use mobile phones as their primary communication device, demand for mobile voice and broadband capacity and coverage continues to increase rapidly. At the same time, mobile operators experiencing declining average revenue per user (ARPU) for voice services are seeking creative ways to improve their bottom line. Many operators are looking to the popularity of mobile broadband to increase data ARPU while reducing operating expenses.