The global wireless broadband market was valued at $10.6bn in 2016 and is forecast to grow at a strongCAGR of 10.6% between 2017 and 2024, culminating to global revenue of $23.5bn by 2024.
Industry at a Glance
With growing social media communication, the industry witnessed immense need to resolve communication-related challenges resulting in the adoption of wireless broadband both in the commercial and residential sector. The last decade saw the social effects of the “digital divide” which became a stark reality. Communities are increasingly being connected so that people have the prospect to contribute in society and grow their careers.
While connectivity at every enterprise and residence is complicated to achieve, schools and communities are offering the capacity for public to connect at local hub locations. Additionally, governments worldwide and leading players in the IT industry actively seek to connect the unconnected. Key service providers emphasize on getting internet access to underserved localities by developing innovative and affordable technologies that are simple to deploy.
Wireless is anticipated to be a preferred connectivity solution that offers benefits including cost effective and high speed. With elevating demand for technology convergence, the global wireless broadband market is expected to propel significantly over the next few years. Service providers expand their market presence by integrating innovative technologies into their network footprint and offering new services to penetrate into new markets.
“Optimal Price Point (OPP) for Wireless Broadband”
Estimated average wireless broadband cost – $ xx globally. However, with improving access and availability of options, OPP and range of acceptable Prices (RAP) are going to change. We at Ameri Research continuously track these prices with our proprietary pricing model.
The industry is witnessing an increasing number of companies entering the market with innovative products and services to penetrate into the market. Most local players offer low-cost solutions with state of the art network infrastructure instigating the well-established players in the space to reduce their prices and offer better services to customers.
By technology, the market has been segmented into LMDS (Local Multipoint Distribution System), MMDS (Multichannel Multipoint Distribution System), and PCS (Personal Communication System). Multichannel Multipoint Distribution System technology segment held majority market share in 2016 accounting for more than 60% of the overall revenue. The segment is also expected to witness substantial growth over the forecast period owing to its generous spectrum allotment.
Based on application, the market is categorized into residential and commercial. The commercial application segment accounted for a bulk portion of the overall market share in 2016 and is anticipated to witness significant growth over the coming years on account of growing number of start-ups and small enterprises entering the market. However, residential emerged as the fastest growing application segment owing to rising number of residents willing to connect with each other through online platform resulting in increasing adoption.
Based on region, the market is classified into North America, Europe, Asia Pacific, Latin America and Middle East & Africa. North America accounted for the majority market share in 2016 and is anticipated to witness significant growth over the forecast period. This is accredited to the introduction of new and innovative technologies into the network instigating customers to migrate to new technologies thereby leading to significant adoption.
Asia Pacific and Latin America, on the other hand, are anticipated to flourish over the coming years primarily on account of smartphone and tablet penetration in these regions. Population residing in these regions are seen connected through their portable mobile devices.
Growth Drivers & Restraints
Prominent growth drivers residing in the global wireless broadband market include limitations of conventional wired broadband technologies, affordability, cost-effectiveness, and the need for high-speed connectivity. Limitations of conventional wired broadband technologies including low speed and high installation cost in particular is a major factor driving growth for wireless broadband.
Merger & Acquisition Outlook
The industry is characterized by intense competition with leading industry participants adopting mergers and acquisitions as a key growth strategy. With snowballing number of local players governing the regional market, major industry participants emphasize on acquiring these players in order to penetrate into the market.
Top Players & Company Share
Leading industry players include A1 Telecom, Deutsche TeleKom, AT&T, Bharti Airtel, Chunghwa Telecom, Bouygues Telecom, Chess Telecom, Dialogic, Huawei, Reliance, Bell Mobility, SK Telecom Co. Ltd., StarHub Ltd., BSNL, and Verizon.
Wireless Broadband Market, by Technology (Revenue, USD Billion)
- LMDS (Local Multipoint Distribution System)
- MMDS (Multichannel Multipoint Distribution System)
- PCS (Personal Communication System)
Wireless Broadband Market, by Application (Revenue, USD Billion)
Wireless Broadband Market, by Region (Revenue, USD Billion)
- North America
- Asia Pacific
- Latin America
- Middle East & Africa
- Saudi Arabia