Projected Spending on Fixed Wireless Access Equipment to Surpass $48 Billion within Five Years

Projected Surge in Fixed Wireless Access Equipment Spending

Recent analysis by Dell'Oro Group underscores a significant trend in the telecommunications industry, with projections indicating that spending on Fixed Wireless Access (FWA) equipment is expected to exceed an impressive $48 billion over the next five years. This report highlights the rapid expansion of FWA technology, attributed mainly to the ease of installation and the increasing availability of high-speed 4G LTE and 5G Sub-6GHz networks.

In 2025 alone, expenditure on 4G and 5G-enabled residential customer premise equipment (CPE) is expected to peak at around $5.3 billion, maintaining an annual rate above $4 billion thereafter. This surge in investment reflects the growing demand for robust digital connectivity in both residential and commercial settings, especially as telecommunication providers strive to enhance and expand their network offerings.

Jeff Heynen, Vice President of Dell'Oro Group, noted, "Initially perceived as a strategy to monetize under-utilized spectrum, Fixed Wireless Access has emerged as a pivotal solution for connecting homes and enterprises to reliable broadband services." The adoption of this technology began in the United States, but it is now making strides in other regions such as India, Southeast Asia, Europe, and the Middle East, driven by mobile operators’ initiatives to broaden their 5G-based FWA offerings to residential and enterprise clients.

Key Insights from the Report

The comprehensive report elaborates on several crucial points that paint a promising picture for the FWA market:
1. Increased Revenue Projections: The total projected revenue from FWA equipment for the period 2023-2027 has been upwardly revised by 17%, a reflection of ongoing positive subscriber growth, especially in North America and India.
2. Market Dynamics: Long-term growth in subscriber numbers is anticipated in emerging markets across Southeast Asia and the Middle East and Africa (MEA). This growth is likely driven by upgrades to existing 3G and LTE infrastructure, along with an increasing need to economically connect users.
3. Role of Satellite Broadband: The Satellite Broadband market is set to play a vital role in enhancing broadband access in both emerging and rural markets. These areas often suffer from inadequate existing infrastructure, making conventional connections cost-prohibitive. Growth in subscriber numbers will predominantly stem from Low Earth Orbit Satellite (LEOS) providers such as Starlink, OneWeb, and Project Kuiper, which are strategically positioned to offer solutions for such connectivity issues.

Report Overview

The Dell'Oro Group's Fixed Wireless Access Infrastructure and CPE Report contains detailed market forecasts spanning five years for both residential and enterprise FWA CPE, as well as RAN infrastructure. These forecasts are segmented by technology type, including but not limited to 802.11/Other, 4G LTE, CBRS, 5G sub-6GHz, 5G mmWave, and 60GHz technologies. Furthermore, the report includes regional subscriber forecasts for FWA and satellite broadband technologies, along with projections for Residential Gateway deployments involving satellite-based internet services.

About Dell'Oro Group

Dell'Oro Group is a well-regarded market research firm specializing in strategic competitive analysis across telecommunications, security, networking, and data center markets. The organization is committed to providing in-depth quantitative data and qualitative insights that enable informed, fact-based decision-making for businesses engaged in these sectors. Individuals interested in obtaining this report or learning more about Dell'Oro Group’s offerings can reach out via email or visit their official website for further inquiries.