Femtocell is the ability to move from a wi-fi network call to a cellular network call seamlessly. T-Mobile has this service (called Hotspot@Home) using UMA to encapsulate GSM over IP. Rumor has it that at&t has an RFP out for femtocell [source
]. And Google invested in UK-based Ubiquisys, a maker of femtocell devices for mobile phones [source
Femtocells are an alternative to WiFi / UMA - they generate a low power 3G signal in the home, so they work with any 3G handset (not just ones that have WiFi capabilities).
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