Fixed-Mobile convergence
In the future network technology such as IMS (IP Multimedia Subsystem), should provide a
standardised next generation architecture based on Internet Protocol (IP) for operators, and allow for the
provision of mobile and fixed services using converged handsets embedding a radio interface such as
cellular/Wi-Fi or cellular/Bluetooth dual-mode handsets. Currently, the main factor promoting FMC is the
trend towards VoIP-enabled wireless telephony (VoWi-Fi), i.e. devices that use Wi-Fi to connect to a VoIP
service such as Skype or roam between cellular and wireless LAN systems. Some of the VoWi-Fi
operators are at present providing Wi-Fi based only services, but some are starting to offer FMC services
by combining cellular services with VoWi-Fi. Challenges to mobile telecommunications operators are also
coming from Wi-Fi hotspot operators, such as Boingo, allied with Skype. Some mobile operators are
linking or considering linking their cellular networks with Wi-Fi hotspots and using VoWi-Fi to improve
indoor coverage and offer low-cost calling in Wi-Fi locations.
At present there various ways being used to provide FMC services, some of which are more
technologically integrated than others. Dual-mode cellular/Wi-Fi handsets and using Wi-Fi modems in the
home environment to access VoIP through ADSL connections can be found in some countries. There are
less evolved forms of FMC using cellular/Wi-Fi dual-mode handsets that do not have a handover function
or have a handover function but do not utilise a fixed voice or broadband network in the home. Services
also exist linking both fixed and mobile networks which are not technologically converged, such as those
offering a single voice mailbox over both fixed and mobile networks.
The deployment of NGN is expected to accelerate the offer of FMC services which are seamless to
the user and use least cost routing. In turn, this may require that regulators review existing frameworks to
ensure that they are not a disincentive to the development of new services, and that existing frameworks
treat new services in a technologically neutral way. Numbering policies also have to accommodate FMC
services and, if existing geographic numbers are used, then, in a calling party pays system, it may be
necessary to devise ways to inform the call originator if different charges will be assessed based on the
called party’s location. It may also be important for regulators to develop adequate market tests given that
the incumbents already have market power and often their mobile operators are also the market leaders; the
development of FMC can augment this market power.
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