Femtocell as a Service or FaaS is a new and upcoming wholesale model for
deploying femtocells, targeted at mid-lower tier operators by providing
a hosted femtocell core network. The market's in its initial stages with
trials ongoing in North America and Europe, targeting both enterprise
and residential femtocells. ABI Research expects the first commercial
rollouts using FaaS to happen in 2013, possibly in the first half.
ABI Research's report on FaaS suggests that 3 million femtocells will be
cumulatively deployed by 2018 using FaaS. The majority are expected to
deploy in North America with close to 300 regional carriers. ABI expects
10% of these regional carriers in North America to use FaaS providers by
Aditya Kaul, practice director says, "FaaS is filling an important gap
in the femtocell market. Our calculations show the femto core network
cost per user for a Tier 1 operator deploying a million femtocells is
less than half of what it would be for a lower tier operator targeting a
few thousand users. FaaS allows these smaller operators to circumvent
that cost barrier allowing them to share a common hosted core nework."
There are currently four providers that are offering FaaS: Colt Telecom
and Cloudberry Mobile in Europe, and Cellcom and ClearSky Technologies
in North America. The common thread across three of the four providers
is NEC, which is providing the end-to-end system capabilities, and is
keen to use FaaS as a catalyst for the femtocell market.
Kaul adds, "We see the FaaS model as the first stage in the wholesale
delivery of femtocell services, with the second stage focused on
Mobility as a Service, especially for the enterprise, where the value
proposition goes beyond the box, offering over-the-top applications and
services like PBX and location services apart from basic voice and data."
These findings are a part of the "Femtocell as Service" report and are
included in the Enterprise
and Consumer Femtocells (http://www.abiresearch.com/research/service/enterprise-and-consumer-femtocells/)
ABI Research provides in-depth analysis and quantitative forecasting of
trends in global connectivity and other emerging technologies. From
offices in North America, Europe and Asia, ABI Research's worldwide team
of experts advises thousands of decision makers through 70+ research and
advisory services. Est. 1990. For more information visit www.abiresearch.com,
or call +1.516.624.2500.
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