But there is now significant competition, both from new divisions of companies such as Pirelli, established telecoms companies such as Sagem and Alcatel-Lucent (who have joined together to provide the Vodafone femtocell) and large players such as Huawei of China which ships equipment to 60m broadband subscribers and is a major supplier to the Chinese mobile operators.
However there is new factor which start to develop from the past year or so, i.e the factor of energy costs. It’s not a secret for anybody how energy process has soared in the past few years and now the telecoms are getting affected by this as well. Energy costs, both to build and run mobile networks, are getting increasingly important. Operators use a phenomenal amount of power, 400GW - or 200,000 tons of carbon - and over half of this is on the radio access. While this seems a lot, this equates to 25kg per user, or the same as an hour's drive on the motorway.
There is now research in place in order to study the whole energy chain, from the carbon cost of building the base stations, macrocells and femtocells, to the running costs.
In my view after looking at the femtocells especially at the Green Radio at the Wireless2.0 conference in
There is no doubt that energy factor is going to have a significant impact on the design and manufacture of femtocells and traditional mobile phone cells. If, as expected, the market takes off with millions of devices, this is going to have a huge energy cost.
As mentioned by Nick Flaherty in his blog that the carbon emission will also be a challenge for the home grown suppliers to provide low energy solutions, both in operations and also in the manufacturing to provide truly green radio. And this will help the
There is no choice for the companies to look for the alternative and green solution. As costs of deploying solar and wind power falls and energy costs rise, carriers have started looking toward green cell sites.
Once such company who is taking a lead in this prospect is Alcatel-Lucent. It’s planning to have alternative energy-powered cellsites matches that of electrically powered cell sites, which could prompt a new wave of solar-and wind-powered base stations, even in areas where an electrical connection is available. In my opinion there is no other way round as the cost of traditional energy is increasing manifolds (together with carbon emission), the price of green technology falls and networks become more efficient, using alternative energy to provide all or part of the energy at cell sites is becoming less prohibitive
Alcatel-Lucent has been working with alternative energy in wireless for five years, but it has deployed only 300 sites, mainly in Africa and the Middle East until now, which rely entirely on alternate fuels. But in the last year especially after the recent recession the alternative energy solution become a priority which resulted in a surge in interest in those technologies.
Every body in this credit crunch are finding means to cur the cost and the operators are looking to avoid the enormous costs of transporting diesel to their remote cell.
The recession has certainly given some momentum to the alternative energy cell sites and there is no doubt acceleration towards this genuine cause.
This is purely simple Economics as Electricity is a large part of an operator’s operational budget as it feeds massive quantities of power to a highly distributed network of cell sites to support not just the base station power amplifiers and radios on-site but also the air-conditioning units necessary to power them. The increase in energy costs is being largely offset with the increased power efficiencies of most vendors’ equipment. The huge site cabinets are now getting replaced with compact modular base stations, which not only consume less power but also require far less cooling. The current generation of equipment has cut power consumption between one-third and one-half. Many new radio systems also are coming equipped with energy-saving software, which powers down the base station during non-peak hours or when relatively few customers are on the cell.
Current economic climate and energy efficiency factor will definitely serve to promote green energy sooner rather than push it off to a later date. Furthermore as the market for alternative energy solutions grows in other industries the cost of the technology goes down for telecom, sending the price of solar panels and wind turbines down. Combining the above trend together with regulatory and political environments the alternative energy solution is imminently favorable as a green solution.