Selling The Cell Phone

Cellular: A type of wireless communication that is most familiar to mobile phones users. It's called 'cellular' because the system uses many base stations to divide a service area into multiple 'cells'. Cellular calls are transferred from base station to base station as a user travels from cell to cell. - definition from the Wireless Advisor Glossary.

The basic concept of cellular phones began in 1947, when researchers looked at crude mobile (car) phones and realized that by using small cells (range of service area) with frequency reuse they could increase the traffic capacity of mobile phones substantially. However at that time, the technology to do so was nonexistent.

Anything to do with broadcasting and sending a radio or television message out over the airwaves comes under Federal Communications Commission (FCC) regulation. A cell phone is a type of two-way radio. In 1947, AT&T proposed that the FCC allocate a large number of radio-spectrum frequencies so that widespread mobile telephone service would become feasible and AT&T would have a incentive to research the new technology. We can partially blame the FCC for the gap between the initial concept of cellular service and its availability to the public. The FCC decided to limit the amount of frequencies available in 1947, the limits made only twenty-three phone conversations possible simultaneously in the same service area - not a market incentive for research.