Google buys into UK femtocell maker

In a move that is sure to send shivers down the spine of the traditional telcos of the world, Internet giant Google today announced they’d invested in Ubiqisys Ltd., a UK femtocell manufacturer.

Other investors in the latest round of funding, which totalled $25m, included existing backers Accel Partners, Atlas Venture and Advent Venture Partners.

Ubiqisys plan to start consumer tests on their home GSM gateway products towards the end of the year, with commercial availability due in the second quarter of 2008.

The total now invested by Google in the company is $42m, and word on the street is that Google are building a warchest to buy so called ‘guard band’ low power GSM licenses – an essential if they plan to offer a direct to consumer service.