The testbed configuration to test Celluar IP is shown in the next figure:
The Mobile Host (MH) belongs to the Base Station network. Thus, the MH can connect to it/them.
The MH and the BH's have a WaveLAN card which is configured in Ad-Hoc mode.
The Gateway-Cellular IP (GW) always knows in which BS the MH is connected, and its job is to route the packets from/to the MH across the appropiate BS.
The changes from one BS to other BS are faster then the changes from on FA to other FA because in this case it is only necessary change a route in the GW, whereas in the FA case, it is necessary to de/encapsulate packets and to create tunnels.
The ideal situation would be to use Cellular IP in the lower zones of the scheme, and Mobile IP in the upper ones.