Femtocells are small cellular base stations that operate in a licensed spectrum to improve indoor wireless coverage. They connect to the mobile network via a user's home internet connection. Femtocells offer benefits like improved voice and data quality for users and increased network capacity for operators by offloading traffic. However, challenges remain around interference management, mobility, and regulatory issues regarding spectrum usage. As femtocell technology evolves, it has the potential to provide widespread indoor coverage and high data rates to meet future network demands.