Home > Electronics & Media > Carrier Wi-Fi Market
Carrier Wi-Fi Market size is expected to grow commendably between 2021 and 2027, due to the emergence of this network as a strategic B2B asset, which is capable of reducing churn and increasing revenue, by offering indoor coverage as well as added capacity in dense areas. Likewise, the rising demand for low latency, high data speed and capacity owing to the rapid digital transformation and increasing reliance on the Internet will further proliferate industry growth in the coming years. Carrier Wi-Fi refers to an auto-connection feature in Android 9 and higher versions, which enables devices to automatically connect to the carrier-implemented Wi-Fi networks. This feature ensures automatic connection to configured carried Wi-Fi networks in areas with minimal cell coverage or high congestion, such as stadiums or underground train stations.
High spending on IoT technology and the growing adoption of connected devices are some of the key factors outlining global carrier Wi-Fi market trends through 2027. According to IoT Analytics’ data, the number of connected IoT devices is likely to surge by 9% globally, to reach 12.3 billion active endpoints in 2021. Factors such as these will lead to an increase in capacity requirement and in turn, could boost the deployment of carrier Wi-Fi equipment. In addition, a shift towards wireless communication, alongside the mounting production of carrier-grade Wi-Fi 6 by connectivity solutions providers like STL, will also push market demand during the forecast timeline.
On the basis of application vertical, the carrier Wi-Fi market from the BFSI segment is predicted to account for a major share by 2027. The segment growth can be credited to the high preference for digital banking during the ongoing COVID-19 pandemic, coupled with the penetration of wireless technology across the banking sector. According to data from Business Wire, above 70% of the clients of Bank of America were actively using digital channels in July 2021, which could further generate opportunities for market expansion over the coming years.
North America carrier Wi-Fi market is set to depict a strong growth rate through 2027, driven by the escalating rate of smartphone shipments and the launch of advanced connectivity solutions in the U.S. Altice USA, for example, launched its Smart Wi-Fi 6 to offer greater coverage and speed in April 2021, which could serve as a key factor bolstering the adoption of carrier Wi-Fi services across the region.
Prominent players operating in the global market include Ruckus Wireless (CommScope, ARRIS U.S. Holdings, Inc., Brocade Communications Systems), Motorola Solutions, Hewlett-Packard, Ericsson, BelAir Networks, ADTRAN, Aruba Networks (HPE), Cisco Systems, Alcatel-Lucent (China Huaxin Post and Telecom Technologies Co., Ltd.), and Airspan. These companies are focusing on mergers, acquisitions, and new service launches to expand their presence in the competitive market. For instance, in October 2021, Motorola launched its Edge lineup smartphone, Motorola Moto Edge 20 Pro, designed with support for 11 5G bands, Wi-Fi 6, carrier aggregation, NFC, and MIMO technology, in India.
Disruption of Transport Sector Amid COVID-19 to Impact Carrier Wi-Fi Market Trends:
In light of the COVID-19 pandemic, the transport industry has been adversely impacted on the economical level, as travel restrictions were put in place to curb the virus spread. This economic crisis resulted in the lay-off of transport workers and bankruptcy of several transport companies operating worldwide. As a result, transportation revenues declined significantly, which has asserted a negative influence on the demand for carrier Wi-Fi technology, given its deployment across the transportation hubs for improved network efficiency. However, the industry may regain traction over the foreseeable future, owing to the increasingly significant role of wireless telecommunications during the pandemic and the potential rise in the adoption of carrier Wi-Fi networks to reduce congestion.