REDWOOD CITY, Calif.—The rapid expansion of 5G and fixed wireless services, which have accounted for the vast majority of new broadband subscribers in recent quarters, is also translating into a booming market for fixed wireless equipment.
According to a recently published report by Dell’Oro Group, spending on fixed wireless access (FWA) equipment has surged in recent years to support both residential and enterprise connectivity due to its ease of deployment along with the more widespread availability of 4G LTE and 5G Sub-6GHz networks, which offer increased throughput and reliability, comparable in many cases to more traditional fixed broadband technologies.
The DellOro Group study finds that total FWA revenues, including RAN equipment, residential CPE, and enterprise router and gateway revenue remain on track to advance 27 percent in 2023, driven largely by residential subscriber growth in North America, as well as growing branch office connectivity more globally.
“Fixed Wireless Access has proven that it can provide connectivity both in rural and underserved markets while also competing head-to-head with fixed broadband technologies in urban and suburban markets,” said Jeff Heynen, vice president and analyst with the Dell’Oro Group. “Beyond residential connectivity, enterprises are relying more heavily on FWA-enabled routers and gateways to connect branch offices, vehicles, and kiosks as part of their own private wireless initiatives,” added Heynen.
Additional highlights from the “Fixed Wireless Access Infrastructure and CPE Advanced Research Report” include:
- Global FWA revenues are projected to surpass $9 billion by 2027, reflecting sustained investment and subscriber growth in both 3GPP- and non-3GPP-based network deployments.
- The North American market remains the most dynamic in terms of deployed FWA technology options, with CBRS and other sub-6GHz options growing alongside 5G NR and 60 GHz options.
- Long-term subscriber growth is expected to occur in emerging markets in Southeast Asia and MEA, due to upgrades to existing 3G and LTE networks and a need to connect subscribers economically.
- The Satellite Broadband market will also be a key enabler of broadband connectivity in emerging markets, thanks to LEOS-based providers including Starlink, OneWeb, and Project Kuiper.
More information is available at www.delloro.com.