The enterprise market presents an important revenue opportunity for mobile operators. However, the provision of indoor services is currently a major area of weakness. Mobile operators are increasingly threatened by the WLAN community's development and deployment of dual-mode services, which are tempting enterprises with the promise of reduced expenditure on traditional telecoms. The report shows how the introduction of indoor base stations - picocells and femtocells - could allow mobile operators to fight back. The report assesses the business case for the deployment of indoor base stations in enterprises, for a number of scenarios. Although indoor base station deployment in the enterprise market is embryonic, the report reviews early service implementations by mobile operators, and identifies actions that mobile operators and indoor base station vendors must take in order to make the most of opportunities in the enterprise market.

The Business Case for Picocells and Femtocells in the Enterprise Market answers your key questions:

- What are enterprises' key requirements for indoor services?
- What can be learnt from early movers that are already deploying indoor base stations?
- What are the key elements of the MNO business case for indoor base stations? What is the quantitative business case for a number of deployment scenarios?
- What user densities and ARPU levels are necessary in order to achieve an adequate financial return?
- How can improvements in transmission costs improve business case viability?
- Given that picocells represent an immediate deployment option, is there a role for femtocells in the enterprise market and, if so, how and when?
- What are the critical ingredients, over and above the deployment of indoor base station equipment, needed for success?
- How should MNOs compete against emerging WLAN services that use dual-mode handsets?
- What actions should MNOs and indoor base station vendors take in order to seize the opportunities for indoor base stations in the enterprise market?

Who should read this report

- Existing mobile network operators: senior executives and enterprise solution managers, in order to understand the business case for picocells and enterprise in the enterprise market and to identify target market segments
- Low-power GSM licence holders: senior executives and product managers, in order to assess the opportunity and understand the key requirements that will be needed to target enterprises with indoor service solutions based on picocells
- Indoor base station vendors: senior executives and product managers, in order to identify key product requirements and how they should support mobile operators to address the enterprise market
- Analysts and investors: in order to understand the potential for picocells and femtocells in the enterprise market.

About the authors

Dr Alastair Brydon and Dr Mark Heath are founders of Sound Partners Ltd and authors of over 35 Analysys Research reports, including Femtocells in the Consumer Market: business case and marketing plan, How to Succeed with Fixed- Mobile Convergence, The Acceleration of Fixed-Mobile Substitution in Western Europe: facts and figures, Seizing the Opportunities from Enterprise Mobility, The Future of the Global Wireless Industry: scenarios for 2007-12, The World's Top Ten Non-voice Services for Mobile network operators, Picocells and Femtocells: will indoor base stations transform the telecoms industry?, Mobile Operator Strategies for Fixed Broadband, The Business Case for WiMAX, Forecasting the Commercial Impact of Wireless VoIP in the USA and Western Europe, Evaluating the Options for Mobile TV and Radio Broadcasting in Western Europe, and Prospects for the Evolution of 3G and 4G.

Alastair is CEO of Sound Partners Ltd. Prior to joining Sound Partners, Alastair reported to Nokia's European management team and worked with many of Nokia's customers to implement market firsts ranging from the introduction of prepaid mobile tariffs to new mass-market content services. Previously, Alastair worked in a number of roles for the BT Group, focusing on the evolution of wireless services, networks and technologies. He also contributed to international research and standardisation of GSM, DECT and 3G. Alastair holds BSc and PhD degrees from UMIST, where he was awarded the IEE Prize for top student.

Mark is Director of Research at Sound Partners Ltd. He previously held a number of marketing and business development roles in Nokia, ultimately becoming responsible for strategy and business development across Europe. Before that, Mark was responsible for business planning at BT Cellnet in the UK, after spending six years at BT in wireless systems research and development. Mark holds BSc and PhD degrees from the University of Leeds, winning the University prize for his research in telecommunications. Mark also holds an MBA, graduating as top student from Henley Management College.

Andrew Parkin-White (Principal Analyst) has gained a deep understanding of the strategic and operational issues facing the mobile industry during his 17-year career. Formerly at Ovum, where he had been Managing Director of Consulting, Executive Board Director and, prior to that, leader of mobile research and consulting activities, Andrew's extensive experience of working in senior operations roles for operators and vendors is combined with a first-class research and consultancy background. He has also held managerial roles in strategic planning and marketing with organisations including BT, Marconi and Orange.