Fixed Wireless Access Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Fixed Wireless Access Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

The Fixed Wireless Access Market size is expected to grow from USD 29.99 billion in 2023 to USD 151 billion by 2028, at a CAGR of 38.17% during the forecast period (2023-2028).

The demand for internet connectivity among households has been increasing with the growth in connected devices. Additionally, wearable technology has improved in various emerging economies, which further contributes to the need for better wireless broadband connectivity.

Key Highlights

• Additionally, the steady evolution of wireless broadband technology over the past decade keeps pace with advances in standards set by the Institute of Electrical and Electronics Engineers (IEEE). These standards are modernized to improve the network throughput in terms of maximum speed and transmission capability. These upgrades have given the companies in the market the means to strive for innovation and successfully satisfy the customers' demand for higher bandwidth and faster internet, driving the market's growth significantly.
• Also, the increasing demand for faster internet connectivity among consumers, owing to the data size becoming more prominent and the rise in the number of devices connected to the device, is spurring the demand for fixed wireless access with effective connectivity. Further, the increase in the number of connected devices and increasing focus and implementation of smart homes using smart devices are expected to fuel the market demand during the forecast period. Moreover, the growing adoption of smart home architecture worldwide that includes remote access, voice control, and seamless connectivity further drives the demand in the market studied.
• Furthermore, with the 5G network launch, the emerging economies in the Asia-Pacific region are expected to propel the market for fixed wireless access during the study period. According to the Ericsson Mobility Report, By the end of the current year, 5G subscriptions are expected to reach 1 billion. More smart 5G devices with additional capabilities are expected in the market during 2023. By 2028, it is anticipated that the 5G subscriptions will pass 5 billion, and Fixed Wireless Access (FWA) connections will reach around 300 million, where 5G will account for about 80 % of FWA connections.
• However, aspects like the rising dependence on Spectrum Allocation in Some Countries and Cost and Environmental Challenges Associated with Millimeter-wave Technology might be some factors that can restrain the market's growth throughout the forecasted period.
• Amid the COVID-19 crisis, fixed wireless access (FWA) solutions would likely witness increased demand and fill in fiber broadband networks. This results from a sudden and widespread explosion in telecommuting by employees worldwide who can work from home. According to Preseem, a quality monitoring and optimization platform for fixed wireless networks, the increased demand is especially significant during business hours.

Fixed Wireless Access Market Trends

Residential Segment Expected to Depict the Maximum Application

• The household application segment is expected to depict the maximum adoption due to growing broadband connectivity in households or for individuals. Fix6ed Wireless Access, or FWA, provides home internet access using wireless mobile network technology rather than fixed lines. Due to the increasing internet and mobile penetration amongst users, the need for a continuous source of data and the internet has been increasing over the years.
• 5G fixed wireless access is an ideal alternative for residential customers as users get speeds at a competitive price with no installation issues. Also, building fixed broadband infrastructure in many developing countries is not economically viable.
• According to Cisco's latest Visual Networking Index Report, smart homes are expected to be one of the primary drivers for the growth of IoT connectivity during the next few years. The company expects around 50% of the 28.5 billion device connections predicted by this year to be IoT/machine-to-machine (M2M).
• Moreover, various major companies are introducing their services to expand their reach to customers, especially for households or individual users. For instance, in June last year, Nokia and Ooredoo introduced super-fast and reliable 4G and 5G fixed wireless (FWA) access throughout Oman. The scope of work would initially witness 15,000 businesses and homes connected. In addition, 3,000 homes in city centers would get Nokia FastMile 5G FWA.
• As per property management, the total number of smart home IoT (Internet of Things) devices utilized for control and connectivity purposes was anticipated to rise from 2017 to the upcoming year. Nearly 284 million devices are predicted to be in use by the end of the following year. Hence, with the rise in the overall smart home IoT (Internet of Things) devices, the market is expected to witness various lucrative growth opportunities throughout the forecast period.

North America to Dominate the Market

• North America is expected to hold the most significant global fixed wireless access market share during the forecast period. In the United States, the demand for high-speed internet connections is increasing rapidly, owing to which companies are rigorously investing in fixed wireless connections. Deploying fixed wireless connections not only offer high-speed internet but also help users in unserved areas to avail of the service.
• Small cells used in fixed wireless solutions are deployed close to end-users; therefore, they have natural advantages in the Internet of Things. Extensive small cell deployments connect devices to communication networks, helping operators build a successful Internet of Things.
• North America witnessed a significant increase in interest and investment in fixed wireless broadband technology in the last two years. Though approximately 30% of US households in remote and rural communities still lack access to a high-speed broadband connection, fixed wireless broadband is emerging as a key technology to bridge this gap. About 2,000 wireless internet service providers currently provide fixed wireless broadband services to more than 4 million residences in small towns and rural communities in all 50 US states.
• Integrating Wi-Fi with small cells can offer cost-effective capacity and additional coverage for seamless data services. Benefits from such integration may eventually lead to increases in revenue and savings in the total cost of ownership (TCO).
• Moreover, various market players are well involved in launching multiple 5G offerings as a part of their crucial growth strategy. For instance, in December this year, T-Mobile US announced its collaboration with Cisco to launch a first-of-its-kind cloud-native 5G core gateway. T-Mobile has moved all of its 4G and 5G traffic to the new cloud-native converged core, providing customers with more than a 10% speed improvement and lower latency. The new core gateway allows T-Mobile to more quickly and easily test and offer new IoT and 5G services, like network slicing and Voice over 5G (VoNR), thereby significantly expediting the market’s growth.

Fixed Wireless Access Industry Overview

The fixed wireless access market is moderately fragmented due to the presence of significant solution providers across the globe who are incessantly working towards gaining more market traction. The companies are entering into strategic partnerships and alliances, raising funds to introduce new solutions, and improvising on the existing ones to increase market visibility. Some of the recent developments in the market are

• August 2022 - Nokia also declared that it had piloted its 5G and 4G Fixed Wireless Access (FWA) network slicing trial with mobile operator Safaricom on its live commercial network. The trial utilized a multi-vendor network environment and included RAN, transport, core, and software upgrades to a range of Nokia products and services. The various end-user of each network slice can thus be well serviced with multiple priorities, routing, levels of network performance, and security capabilities.
• February 2022 - Qualcomm Technologies, Inc. declared new upgraded features and capabilities to the Qualcomm 5G Fixed Wireless Access Platform Gen 2. Upgrades are mainly designed to include standalone 5G mmWave support and the all-new Qualcomm 5G RF Sensing Suite. The two new key features would help increase the deployment and adoption of FWA and further demonstrate how Qualcomm Technologies continues to lead the industry in the global adoption of 5G mmWave.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support