Light Reading

Softbank Kicks Off Free Femto Giveaway

Michelle Donegan
LR Mobile News Analysis
Michelle Donegan
6/30/2010
50%
50%

SoftBank Corp. has started offering femtocells for free in Japan as it ramps up its national service this year, a move that could spur other operators to adopt the same model for the small home base stations.

The move comes as operators, such as AT&T Inc. (NYSE: T), have come under fire from some industry pundits for their femto prices and service offerings. (See AT&T Defends Data Caps on Femtos , AT&T Enforces Data Cap on Femtos , Vodafone Femto Ads Banned , Femto Watch: Vodafone Means Business in Spain, and Femto Watch: Vodafone Expands Footprint .)

Not only are Softbank's femtocells offered for free, but so is the ADSL connection, when customers sign up to a two-year contract.

Another twist in Softbank's strategy is that the access points are configured for open access, which means that any Softbank subscriber within range of a femtocell can use it. Most femto services today are offered on a closed access basis, which allows only registered users to use the access point.

Softbank's radical femto moves could encourage other operators to adopt this kind of service model, according to Will Franks, CTO of Ubiquisys Ltd. , which supplies the femto access points to Softbank through its system integrator partner, NEC Corp. (Tokyo: 6701). (See NEC, Ubiquisys Win Softbank Femto Deal.)

"[Softbank] can give femtos away for free and others can, too," he says. "If others can, then they will."

Franks says that operators' ability to embrace the free femtocell model will depend on their cost structure. For Softbank, he explains, two of the factors that enable the free femto model are the low cost of the femto access points (which use Percello Ltd. chipsets) and the operator's IP Multimedia Subsystem (IMS)-based femtocell network architecture. (See Ubiquisys Busts $100 Femto Barrier and Ubiquisys Femtos Go Soft.)

"Softbank has a very scalable model; they chose an IMS architecture, which is very cost-efficient," Franks says. "As others start to move to the next stages, they'll be able to bring their costs down."

Softbank started taking orders for the free femtocells in May and expects to ship 200,000 access points to users this year.

Other operators offering femto services in Japan include NTT DoCoMo Inc. (NYSE: DCM) and KDDI Corp. (See DoCoMo to Upgrade Its Femtos and KDDI Tests Airvana's 3G Femtos.)

— Michelle Donegan, European Editor, Light Reading Mobile

(2)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
shygye75
50%
50%
shygye75,
User Rank: Light Sabre
12/5/2012 | 4:31:03 PM
re: Softbank Kicks Off Free Femto Giveaway


Using femtos as free bait to attract more customers to mobile voice service as a replacement for wireline is the right move, and the one initially envisioned for these products. The free DSL service is a bit aggressive, but billionaires can do stuff like that.

Pete Baldwin
50%
50%
Pete Baldwin,
User Rank: Light Beer
12/5/2012 | 4:30:58 PM
re: Softbank Kicks Off Free Femto Giveaway


I'd agree, because this is how I'd thought femtocells were going to be deployed in the first place.  Once I found out operators wanted me to PAY for the privilege of enhancing their networks, I lost all (consumer) interest in femtocells.

From The Founder
Against the odds, Huawei is growing its telecoms networking equipment business in the US -- that should be ringing some alarm bells for domestic vendors.
Flash Poll
Live Streaming Video
CLOUD / MANAGED SERVICES: Prepping Ethernet for the Cloud
Moderator: Ray LeMaistre Panelists: Jeremy Bye, Leonard Sheahan
Between the CEOs
CEO Chat With Jeff Miller, ActiveVideo

8|28|15   |   19:05   |   (0) comments


Jeff Miller, President and CEO of ActiveVideo, talks to Light Reading founder and CEO Steve Saunders about the impact of virtualization on the TV and video distribution market.
LRTV Huawei Video Resource Center
Vodafone: Mobile Money Is About Customer Trust

8|27|15   |   06.36   |   (0) comments


Light Reading spoke with Vodafone's Ian Ravenscroft about the unique responsibilities and opportunities facing operators handling customers' financial transactions over the network.
Telecom Innovators Video Showcase
Palo Alto Networks on Expanding in the Carrier/Service Provider Market

8|26|15   |   07:54   |   (0) comments


Alfred Lee from Palo Alto Networks tells Steve Saunders about their new chassis-based system, the PA-7080, and how it can benefit service providers compared to legacy firewalls.
LRTV Custom TV
Global Services Forum Preview

8|25|15   |   02:36   |   (0) comments


Light Reading's CEO and Founder Steve Saunders talks about Huawei's upcoming Global Services Forum with the help of Heavy Reading's Patrick Donegan and Teresa Mastrangelo.
Telecom Innovators Video Showcase
Infoblox on DNS Threat Index

8|19|15   |   04:39   |   (0) comments


Dilip Pillaipakam from Infoblox talks to Steve Saunders about his company's core network services.
Between the CEOs
CEO Chat With Ihab Tarazi, Equinix

8|14|15   |   20:18   |   (1) comment


Equinix CTO Ihab Tarazi talks to Light Reading founder and CEO Steve Saunders about the dramatic changes in the data center, cloud and interconnect markets and discusses the impact of SDN and NFV in the coming years.
Telecom Innovators Video Showcase
The Netformx Ecosystem

8|14|15   |   09:39   |   (1) comment


Ittai Bareket, CEO of Netformx, talks with Steve Saunders about the Netformx Ecosystem, which employs cutting-edge prescriptive analytics to help solution providers maximize profits.
Telecom Innovators Video Showcase
Versa Networks on Leveraging VNFs

8|12|15   |   07:37   |   (0) comments


Kumar Mehta, founder and CEO of stealth mode startup Versa Networks, talks with Steve Saunders about how providers can best leverage virtualized network functions (VNFs).
LRTV Custom TV
Transforming the Network Through OPNFV

8|5|15   |   7:09   |   (0) comments


Sandra Rivera, VP Data Center Group; GM Network Platforms Group, Intel Corporation, on OPNFV Arno and how the industry is coming together to accelerate the deployment of NFV and transform the network.
LRTV Huawei Video Resource Center
Huawei ONS Product Demo

8|3|15   |   6:01   |   (0) comments


Huawei shows at Open Networking Summit 2015 in Santa Clara how its SDN and NFV solutions embrace openness.
LRTV Custom TV
End-User or Enterprise Benefits to the New IP

7|30|15   |   04:27   |   (1) comment


Andrew Coward discusses what the New IP means to end users or enterprise customers. He explains compelling reasons, including how every customer can get their own network, from the transformation to the New IP.
LRTV Custom TV
Network Visibility & the New IP

7|30|15   |   02:23   |   (0) comments


Mukund Srigopal provides an explanation of what network visibility is and how it is essential as service providers transition to the New IP. In addition, the importance of the network packet broker is discussed.
Upcoming Live Events
September 16-17, 2015, The Westin Galleria Dallas, Dallas, TX
September 16, 2015, The Westin Galleria Dallas, Dallas, TX
September 16, 2015, The Westin Galleria Dallas, Dallas, TX
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
October 14-15, 2015, New Orleans Ernest N. Morial Convention Center, New Orleans, LA
November 5, 2015, Hilton Santa Clara, Santa Clara, CA
November 17, 2015, Santa Clara, California
December 1, 2015, The Westin Times Square, New York City
December 2, 2015, The Westin Times Square, New York City
All Upcoming Live Events
Infographics
Cisco's cloud and virtualization portfolio can increase business agility and innovation by building a more flexible network architecture.
Hot Topics
T-Mobile CEO Plays Data Traffic Cop
Sarah Thomas, Editorial Operations Director, 8/31/2015
Verizon Hums a Driving Tune
Sarah Thomas, Editorial Operations Director, 8/26/2015
CEO Chat With Bill Gates
Steve Saunders, CEO and founder, Light Reading, 8/31/2015
Time to Monetize Cable WiFi
Alan Breznick, Cable/Video Practice Leader, 8/31/2015
Like Us on Facebook
Twitter Feed
September 22, 2015
Media Begins With “Me”
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
The scene: Last Saturday, lunchtime, the interior of a shi-shi-foo-foo eatery in Manhattan's SoHo district.
Jeff Miller, President and CEO of ActiveVideo, talks to Light Reading founder and CEO Steve Saunders about the impact of virtualization on the TV and video distribution market.
Cats with Phones
Tastes Like Fish Click Here
Please hold while I lick the phone.