Cisco Invests in Femtocells

Femtocell developer, ip.access has announced that Cisco has made an investment in the company. Terms of the investment were not disclosed. Already cash-positive with its existing 2G picocell business, ip.access has secured funding from an array of industry supporters for its Oyster 3G femtocell, which is currently in trials with major mobile network operators globally. Existing ip.access investors include Scottish Equity Partners, Rothschild Gestion, Intel Capital, Amadeus Capital Partners, ADC and Motorola Ventures.

Analysts are predicting a huge market for femtocells: a recent report from IDATE forecasts that 10 million UMTS femtocells will ship worldwide in 2010, rising to 18 million in 2011.

Operators plan to integrate femtocell technology within residential gateways and set-top boxes, such as those offered by Cisco's consumer products business. These integrated products will help enable fixed broadband and mobile services to be bundled together. They will also ultimately help enable mobile phones to better communicate with PCs, TVs and other devices in the 'Connected Home' - for example, a slideshow of photos captured on a camera phone could be displayed on a TV set.

"We are delighted to have Cisco as an investor," said Stephen Mallinson, CEO of ip.access. "As the worldwide leader in Internet Protocol-based networks, Cisco brings complementary skills and experience to address the needs of operator and consumer customers."

Posted to the site on 23rd January 2008