FMC or Fixed Mobile Convergence essentially entails the convergence or confluence of fixed-line and mobile wireless technologies such that service providers can seamlessly blend two or more of these technologies to deliver enhanced user experience over a unified framework.

 FMC is the convergence of fixed and mobile networks and using a single terminal that is capable of moving seamlessly across different types of environments (e.g., home, work, road, mobile).  The common use of these networks and above all, their services is Fixed Mobile Convergence

 Analysts predict FMC market to be  $100 billion dollars in the near future

 Why the sudden traction towards FMC

 FMC is just not a mere convergence of fixed & mobile networks rather it is more comprehensive and intricate.

 FMC has taken centre stage in the business strategies of fixed-line service providers. As fixed-line revenues continue to dwindle due to alarming dip in their subscribers base due to stiff competition from mobile operators and VOIP service providers eating into their cake. 

 Amrish Kacker,  Head Wireless & Multimedia, Asia, Analysys Consulting, says , “FMC offers a lucrative option to not only curb fixed-mobile substitution (FMS), but also create profitable revenue streams. The advent of FMC services is expected to trigger a paradigm shift from a voice-centric model to a feature-rich content-based model.

 Kacker adds FMC is also an opportunity for landline operators to diversify and grab cellular customers. “For operators operating on both landline/broadband and wireless, they can leverage existing subscribers for either of the two services and get them subscribed to other service”.

 Ramdev Sharma, CTO, Huawei Telecommunications India , opines that as markets saturate and there is no more growth in mobile voice, companies look for greater customer ownership to support their overall business. Mobile-only operators see this as an opportunity for new revenues - fixed voice and potentially fixed broadband. Integrated fixed and mobile operators see this as a way to differentiate their broadband product and reduce churn on it.

 “This in turn will help the mobile network operators in decongesting their mobile networks by offloading some traffic on the fixed networks. This will result in more efficient utilization of the spectrum resources (that is quite stretched today) for handling additional mobile calls (voice/data) and/or provide better network experience.” adds Sharma

 Also very large proportion of mobile calls are made from 'fixed' locations. A service that offers lower cost calling from fixed location can help customers reduce their monthly spend.

 Why did it take industry so much to wake to its potential?

 So has industry suddenly woken to the fact that FMC can change the telecom industry overnight.

 Jahangir Raina who has been tracking telecom market more than  15 years now says Fixed Mobile Convergence is not a new concept, but has been a FMC has been tried before as well.

 “It is not new. Using IN (Intelligent Networking) architecture vendors like Alcatel and service providers like BT tried FMC in nineties. The subscriber could use a DECT based landline connected set while at home and use the same handset while in the cellular cloud.

 And why did it fail

 “. There were no tangible benefits and the technology was not sound. The billing aspect  specially was not ironed out properly and there was no value add apart from voice.

 Sarah, analyst at Forst and Sullivan says that the evolution of access technologies such as DSL, UMA and GSM, along with the growing demand for enhanced user experience has created a strong business case for FMC services.

 Jahangir Raina opines that VoIP changed things a little via WiFi.

 “The present FMC is mostly about WiFi-Cellular convergence. So while if WiFi cloud your calls/sessions are routed via public Internet and while in cellular could they go over GSM/GPRS” says Jahangir adding  the difference is that the WiFi part is taken care of the VoIP technology which is now mature. So the underlying technology is now mature. Billing is not a problem. And you can continue value added sessions (like IM) semlessly across WiFi and cellular zones”.