Most current mobile phones connect to a cellular network of base stations (cell sites), which is in turn interconnected to the public switched telephone network (PSTN) (the exception is satellite phones).
In 2008 there were 4.1 billion mobile cellular subscriptions in the world.
History
According to internal memos, American Telephone & Telegraph discussed developing a wireless phone in 1915, but were afraid that deployment of the technology could undermine its monopoly on wired service in the U.S.
In 1947 Bell Labs was the first to propose a cellular network. The primary innovation was the development of a network of small overlapping cell sites supported by a call switching infrastructure that tracks users as they moved through a network and pass their call from one site to another without dropping the connection. Bell Labs installed the first commercial cellular network in Chicago in the 1970s.
Japan's first commercial mobile phone service was launched by NTT in 1978. By November 2007, the total number of mobile phone subscriptions in the world had reached 3.3 billion, or half of the human population (although some users have multiple subscriptions, or inactive subscriptions), which also makes the mobile phone the most widely spread technology and the most common electronic device in the world.
The first mobile phone to enable internet connectivity and wireless email, the Nokia Communicator, was released in 1996, creating a new category of multi-use devices called smartphones. In 1999 the first mobile internet service was launched by NTT DoCoMo in Japan under the i-Mode service. By 2007 over 798 million people around the world accessed the internet or equivalent mobile internet services such as WAP and i-Mode at least occasionally using a mobile phone rather than a personal computer.
Cellular systems
See also: Cellular frequenciesMobile phones send and receive radio signals with any number of cell site base stations fitted with microwave antennas. These sites are usually mounted on a tower, pole or building, located throughout populated areas, then connected to a cabled communication network and switching system. The phones have a low-power transceiver that transmits voice and data to the nearest cell sites, normally not more than 8 to 13 km (approximately 5 to 8 miles) away.
When the mobile phone or data device is turned on, it registers with the mobile telephone exchange, or switch, with its unique identifiers, and can then be alerted by the mobile switch when there is an incoming telephone call. The handset constantly listens for the strongest signal being received from the surrounding base stations, and is able to switch seamlessly between sites. As the user moves around the network, the "handoffs" are performed to allow the device to switch sites without interrupting the call.
Cell sites have relatively low-power (often only one or two watts) radio transmitters which broadcast their presence and relay communications between the mobile handsets and the switch. The switch in turn connects the call to another subscriber of the same wireless service provider or to the public telephone network, which includes the networks of other wireless carriers. Many of these sites are camouflaged to blend with existing environments, particularly in scenic areas.
The dialogue between the handset and the cell site is a stream of digital data that includes digitised audio (except for the first generation analog networks). The technology that achieves this depends on the system which the mobile phone operator has adopted. The technologies are grouped by generation. The first-generation systems started in 1979 with Japan, are all analog and include AMPS and NMT. Second-generation systems, started in 1991 in Finland, are all digital and include GSM, CDMA and TDMA.
The nature of cellular technology renders many phones vulnerable to 'cloning': anytime a cell phone moves out of coverage (for example, in a road tunnel), when the signal is re-established, the phone sends out a 're-connect' signal to the nearest cell-tower, identifying itself and signalling that it is again ready to transmit. With the proper equipment, it's possible to intercept the re-connect signal and encode the data it contains into a 'blank' phone -- in all respects, the 'blank' is then an exact duplicate of the real phone and any calls made on the 'clone' will be charged to the original account.
Third-generation (3G) networks, began in Japan in 2001. They are all digital, and offer high-speed data access in addition to voice services and include W-CDMA (known also as UMTS), and CDMA2000 EV-DO. China will launch a third generation technology on the TD-SCDMA standard. Operators use a mix of predesignated frequency bands determined by the network requirements and local regulations.
In an effort to limit the potential harm from having a transmitter close to the user's body, the first fixed/mobile cellular phones that had a separate transmitter, vehicle-mounted antenna, and handset (known as car phones and bag phones ) were limited to a maximum 3 watts Effective Radiated Power. Modern handheld cellphones which must have the transmission antenna held inches from the user's skull are limited to a maximum transmission power of 0.6 watts ERP. Regardless of the potential biological effects, the reduced transmission range of modern handheld phones limits their usefulness in rural locations as compared to car/bag phones, and handhelds require that cell towers be spaced much closer together to compensate for their lack of transmission power.
Some handhelds include an optional auxiliary antenna port on the back of the phone, which allows it to be connected to a large external antenna and a 3 watt cellular booster. Alternately in fringe-reception areas, a cellular repeater may be used, which uses a long distance high-gain dish antenna or yagi antenna to communicate with a cell tower far outside of normal range, and a repeater to rebroadcast on a small short-range local antenna that allows any cellphone within a few meters to function properly.
Tariff models
See also: GSM services#Voice charges, Mobile Internet, and flat rateWhen cellular telecoms services were launched, phones and calls were very expensive and early mobile operators (carriers) decided to charge for all air time consumed by the mobile phone user. This resulted in the concept of charging callers for outbound calls and also for receiving calls. As mobile phone call charges diminished and phone adoption rates skyrocketed, more modern operators decided not to charge for incoming calls. Thus some markets have "Receiving Party Pays" models (also known as "Mobile Party Pays"), in which both outbound and received calls are charged, and other markets have "Calling Party Pays" models, by which only making calls produces costs, and receiving calls is free. An exception to this is international roaming tariffs, by which receiving calls are normally also charged.
The European market adopted a "Calling Party Pays" model throughout the GSM environment and soon various other GSM markets also started to emulate this model. As Receiving Party Pays systems have the undesired effect of phone owners keeping their phones turned off to avoid receiving unwanted calls, the total voice usage rates (and profits) in Calling Party Pays countries outperform those in Receiving Party Pays countries. To avoid the problem of users keeping their phone turned off, most Receiving Party Pays countries have either switched to Calling Party Pays, or their carriers offer additional incentives such as a large number of monthly minutes at a sufficiently discounted rate to compensate for the inconvenience.
In most countries today, the person receiving a mobile phone call pays nothing. However, in Hong Kong, Canada, and the United States, one can be charged per minute, for incoming as well as outgoing calls. In the United States and Canada, a few carriers are beginning to offer unlimited received phone calls. In China, it was reported that both of its two operators will adopt the caller-pays approach as early as January 2007.
The asymmetry of Receiving Party Pays vs Calling Party Pays means a person in a RPP country (such as the US) calling a CPP country (e.g., Europe) pays both the calling charge and the receiving charge and the international toll, while the recipient pays nothing as usual. This is generally reflected in a significantly higher rate to mobile numbers (e.g., 25c/minute vs 3c/minute to a landline). Going the other way there is no difference in rate because the recipient pays the receiving charge. This can make people in CPP countries reluctant to call mobile numbers in RPP countries. There is further asymmetry in that an RPP user can choose a carrier with cheaper incoming minutes, while a CPP user cannot choose a carrier with cheaper RPP-to-CPP rates because these are quoted nationally rather than per carrier. This allows carriers in CPP countries to charge higher rates than would be tolerated in RPP countries.
While some systems of payment are 'pay-as-you-go' where conversation time is purchased and added to a
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