Digital Engagement: 5 Ways to Increase Loyalty, Revenues and Eelevance

The crux of CSP-to-DSP transformation: agile architecture and open platforms

WiFi to Play Strong Support Role in 5G Era with Uptick in Carrier WiFi Investments, says IHS Markit

Clock 1 month ago
(0 votes)
WiFi to Play Strong Support Role in 5G Era with Uptick in Carrier WiFi Investments, says IHS Markit Image Credit: IHS Markit

The carrier Wi-Fi equipment market continued to grow in 2017, driven by ongoing broadband demand and a strong role within 5G era. 

Revenue reached $626 million for the full-year 2017, increasing 1.3 percent from the prior year, according to the latest report by IHS Markit which tracks Wi-Fi equipment deployed by operators in public spaces. 

By 2022, the market is forecast to hit $725 million -- a cumulative size of over $3.5 billion from 2018 to 2022 -- based on two strong segments: standalone Wi-Fi access points (predominantly deployed by fixed-line operators and wireless ISPs) and dual mode Wi-Fi/cellular access points (deployed by mobile operators).

“The arrival of the 5G era will gradually transform network architectures, but the requirements for network density mean that Wi-Fi will continue to play a strong support role for mobile broadband end-users and for newer applications such as the Internet of Things and smart city,” said Richard Webb, director of research and analysis for service provider technology at IHS Markit. “We expect an uptick in carrier Wi-Fi investments through 2020, aligned with 5G network development.”

All regions are seeing strong demand for carrier Wi-Fi, demonstrating evidence of proliferation in developing countries in addition to developed markets where mobile data growth is well documented. However, the scale of requests for proposals (RFPs) from mobile operators in Asia Pacific -- in particular China and Indonesia currently, with India likely to add to the groundswell closer to 2022 -- means the region will be the strongest driver of growth, although all regions see continuous growth through this period.

More carrier Wi-Fi market highlights

  • Dual mode 3G/Wi-Fi equipment revenue totaled just $17 million in 2017, a decline of 66.4 percent from the prior year
  • Meanwhile, subscriber identity module (SIM)–based Wi-Fi access points are experiencing solid adoption growth (up 21.6 percent in 2017 from 2016), driven by the desire to have closer integration between Wi-Fi and the mobile network
  • Network functions virtualization (NFV) has strong potential benefits for fixed and mobile operators alike, such as opex and capex efficiencies, service flexibility and creation, reduced power usage and new service environments, including data analytics and location-based services.

Ray is a news editor at The Fast Mode, bringing with him more than 10 years of experience in the wireless industry.

For tips and feedback, email Ray at ray.sharma(at)thefastmode.com, or reach him on LinkedIn, Facebook 

PREVIOUS POST

Telcos Need to Explore IoT Monetization Beyond Connectivity, says GlobalData

NEXT POST

Facebook Poised to Overtake YouTube for Mobile Video, says Openwave Mobility

Mobile video trends based on live operator data

MWC Shanghai 2018

THE EDITOR'S DESK

A QUICK SURVEY

ON TWITTER

ON FACEBOOK