Testament Femtocell Kill VoIP?
The other hour Verizon submitted to the Federal Communications Comission a Femtocell slogan for potential roll-out in 2009. This had inspired a animated examination in a tech forum I participate in (BroadBand Reports aka DSL Reports). The common idea was that femtocell technology will kill VoIP and POTS providers as we know them.
While you're definitely not going to inspect me arguing that cell phones are not the outlook - they are - however I all the more think it is means besides soon to predict the demise of Voice over IP - or still POTS for that matter. Sure, femtocells would introduce a original form of competition into the already over-competitive "unlimited calling" market - on the contrary femtocells by itself will not kill anything. The "disruptive technology" component is simply not there. Sure, you'll purchase higher quality quality calls on your cell phone, on the other hand it'll even be a cell ring and not a habitation phone. Saying that femtocells will interchange the habitat bell (or VoIP territory phone) is liking saying that Hybrid cars will kill the petrol van market on account of Hybrids invest in in a superior way milage and latest longer. Sure- they do buy preferable mileage, nevertheless it doesn't mean Standard Joe is going to leave the TV to scrutinize for a Hybrid anytime soon. In a decade - it MIGHT kill the gasoline market - but not anytime soon.
The same could be said for femtocells. Sure- it might destroy the "traditional" VoIP and POTS markets in a decade or two when 100% of users migrate to 100% cellular - but this isn't going to happen tomorrow or yet in the closest meagre years. Let's face it - persons have been using the house telephone advantage for a too lingering time. Just owing to cell companies demand to push virgin technology doesn't mean Aunt Martha is going to give up her precious residence call with its four handsets (because we know you in truth MUST have a handset in the shower too!). Cell penetration is extremely high among the younger generations, but don't expect mom to throw POTS gone the window just yet.
Now, let's go back to the facts:
* Femtocells benefits the CARRIER far more than it benefits the consumer. Whether your cell expression at home is fine femtocells will fabricate as well brief difference in your life.
* Femtocells costs as well even - at least at this point. Spring Airave for occasion costs $100 just to purchase the device, and then you have to pay $5/month for the "privilege" of saving your cell provider money.
* For urban folks (read: who de facto uses cell phones the most), the quality improvement will not be a big draw owing to they already shop for a acceptable locution at home typically. The only valid draw to the fresh technology is it's vow of unrestrained unlimited calls on your cell phone when home. "Free" on the other hand has it's price, particulary - $10/month provided you're single, $20/month if you exercise more than one handset in your household. Slap another $5/month or so for USF, taxes, and other random fees.
* At $20/month (assuming you have a unmarried phone), or $30/month (for the whole family) - this poses no risk at all to Voice over IP providers. With the exception of Vonage, most VoIP providers offer far cheaper prices for what would extent to unlimited LD calling. You can find prices as low as $10/month - fees included - for such services via VoIP.
* Sprint's legend of "unlimited" includes the US only, while VoIP providers typically throw in Canada for a positive measure, and some go as far as including Puerto Rico and some other countries.
Ok, let's transaction back a bit and compare Femtocells to POTS. Aside from the event that POTS carriers are typically the same companies who handle your cell phone and have zero affliction in competing with themselves - there are much a infrequent matters you just can't do with femtocells. Namely- ever try to mail fax over VoIP? If you have, you probably know that it is a besides daunting task all the more with the first of settings. Straightaway let's appropriate it a action as well and consider trying to fax via your cell phone. Sounds ridiculous? yep, it undeniable is. Fax and modem over VoIP will probably office well eventually, but I just don't scrutinize cell phone manufacturers deploying T.38 fax-ready handsets anytime soon.
The backside string is:
* Femtocells just won't do some of the things POTS and VoIP can.
* Pricing is, well, just not graceful sufficiently to convince VoIP users to ditch their trusty ATAs.
Femtocell is a appealing utopian dream for cell companies, but the meat is just not there, and this isn't going to disrupt the market significantly - it is not a "killer technology".
I will you all a also happy practice with your cell phone, VoIP, and POTS!
Nitzan is the CEO of Future Nine Corp - a leading provider of Internet Phone Service and Prepaid Calling Cards.
Source: http://ezinearticles.com/
Added: November 10, 2008