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Fixed mobile convergence faces increasing competition

[2008-7-14]

Tag: fixed cellular terminal

Convincing businesses that see fixed mobile convergence as a money-loser is a major obstacle to the spread of seamless roaming between wireline and wireless networks, a hi-tech market research firm is reporting today.

With the exception of T-Mobile (News - Alert) – which primarily is focused on consumers – businesses in the United States especially are averse to the wide deployment of fixed mobile convergence, or “FMC,” according to David Lemelin, an analyst withIn-Stat ( News - Alert).
 
“In-Stat believes communications industry leaders will not be dissuaded by lagging felt need for FMC solutions by businesses, and will aim to develop compelling solutions that, once experienced, will lead to viral adoption over the next several years,” Lemelin said.
 
Generally speaking, “technological convergence” refers to the tendency for different technological systems to evolve, over time, toward performing similar tasks.
 
The aim of FMC is to provide both wireline and wireless services with a single phone that’s able to switch between networks. For the most part, FMC services use so-called “dual mode handsets,” where a customer’s mobile terminal can support both access and the local-area technology for voice over Internet protocol.
 
According to In-Stat’s report, “Enterprise FMC: A Lot of Activity, but Lacking Demand for Now,” sales of those handsets will increase significantly over the next several years – with session initiation protocol phones outstripping more traditionalUMA devices – despite what the research firm calls lagging demand.

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