Cisco Invests In UK Femtocell Start-Up Ip.Access
U.S. computer networking giant Cisco Systems Inc. Wednesday invested in ip.access, a U.K. technology company that is looking to improve mobile phone reception in homes. ip.access, a Cambridge, England-based manufacturer of femtocell technology, declined to divulge how much Cisco has invested in the company or the size of shareholding. However, the funding builds on other recent investments from Intel Corp.'s venture capital unit, as well as Motorola Inc. and Scottish Equity Partners.
Femtocells, tiny indoor versions of external phone towers the size of a paperback novel, are currently being tested by mobile phone operators, including Telefonica O2, Vodafone Group PLC and France Telecom's Orange.
In Europe, 30% to 40% of mobile-phone calls are made from within the home, and in the U.S. this figure is as high as 60%, according to London-based research firm Ovum. However, poor reception limiting mobile usage inside many buildings, means mobile operators are losing out to emerging Internet technologies, such as eBay Inc.'s Skype and Wifi services launched by national landline incumbents.
According to New-York-based analyst group ABI Research, some 70 million femtocells will be installed in homes around the world, serving 150 million users by 2012.
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