Wireless Connectivity Technology Market Size, Share & Trends Analysis Report By Technology (Wi-Fi, Bluetooth, Zigbee, NFC, Cellular, Others), By Application (Consumer Electronics, Automotive, Healthcare, Aerospace and Defense, IT & Telecom, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Market Overview

The global wireless connectivity technology market size was valued at USD 75,686 million in 2021, envisioned to reach USD 205,521 million, expanding at a CAGR of 13.3% during the forecast period.

In most people's daily lives, wireless technology has progressively increased. People rely on wireless technology for information, entertainment, communication, and more in the workplace, at home, in arenas, and even in cars. Wireless connectivity is the networking technology that connects two nodes or devices without wires, cables, or cords. Wireless connectivity is a way that enables users to avoid the expensive installation of cables within a building to connect gadgets and systems. If businesses don't adopt technology, such as a dependable wireless network, it becomes more difficult for them to remain competitive. Wireless connectivity in the workplace allows employees to travel about the facility without losing access to the company network. In the meantime, everyone has access to the same vital data and applications via the network on any device.

Demand for Wi-Fi-enabled smart lighting is driven by the prevalence of Wi-Fi in residential, commercial, and industrial settings as a wireless LAN connection. Wi-Fi connectivity is typically used for smart lighting in Wi-Fi-enabled infrastructure. Moreover, the proliferation of IoT-based technology in developing economies is advantageous since it will offer future market opportunities. Bluetooth is also employed in smart lighting infrastructure as a wireless connection method. This wireless technology links equipment and allows remote access to users. For instance, Svarochi's smart LED bulb has Bluetooth connectivity, allowing users to remotely manage the device's brightness, color temperature, and other capabilities.

Market Dynamics

Drivers Factors

The Increasing Demand for Wireless Networks in Producing Smart Infrastructure and Growth in Implementation of AI Assistants

The global transformation of metropolitan areas into smart cities requires human and material resource interconnection. From wired connections to wireless connections, connectivity has evolved. In addition, the development of wireless connections, which has boosted the data transfer rate, is anticipated to propel the market due to the extensive use of wireless networks in smart infrastructures. In the US, the average commuter spends approximately 42 hours per year trapped in traffic, increasing in megacities like Los Angeles and New York. Connected traffic signals in smart cities may evaluate traffic patterns and adapt in real time to alleviate congestion and delays. This increases the demand for wireless connectivity devices, thus boosting the market.

In recent years, there has been a rise in the use of artificial intelligence (AI) assistance across various businesses, including the residential, commercial, and industrial sectors. The use of autonomous wearable gadgets facilitates the completion of tasks with more simplicity and convenience. The AI-encrypted tiny devices are hyper-connected via wireless networks. For example, Samsung's Gear s2/s3 smartwatches, which include a home assistant user interface and utilize wireless networks, Bluetooth 4.1 and 802.11 b/g/n Wi-Fi, are equipped with home assistant UI and Bluetooth 4.1 and 802.11 b/g/n Wi-Fi, respectively. Consequently, adopting such intelligent wearables makes customers' daily activities more accessible, enhancing the wireless connectivity technology market demand.

Restraints Factors

Cost of Installing and Maintenance

Installing wireless networks such as Wi-Fi requires independent infrastructure so that users can take advantage of all available features. As a result, there is a significant financial investment needed to implement smart lighting. In addition, its connectivity and control are provided via several different software applications and online services. And the operation and repair of wireless networks must be maintained by skilled specialists, which contributes to an increase in the cost of maintenance. Consequently, the growth of the wireless connectivity technology market is hampered by the high installation and maintenance costs of hardware and software.

Global Wireless Connectivity Technology Market Opportunities

The Development of Smart Cities

Advances in wireless technology and the proliferation of the Internet of Things (IoT) technologies for hyper-connectivity between devices in smart infrastructure are anticipated to enhance the need for wireless networks in smart lighting. Various applications, including vertical farming, car interiors, and smart homes, can benefit from operational efficiencies like auto-dimming and intelligent illumination thanks to the integration of artificial intelligence and IoT in lighting systems. Vertical farming, for instance, has employed an intelligent lighting system to increase crop yield. Through automatic light modifications, smart lighting in this business encourages optimal plant development. Consequently, integrating IoT and AI in the lighting business has profitable potential for its global expansion.

Regional Analysis

The region-wise segmentation of the global wireless connectivity technology market includes North America, Europe, Asia-Pacific, and LAMEA.

The Asia Pacific and North America will dominate the regional market

The Asia Pacific will command the market with the largest share while growing at a CAGR of 15%. The Asia-Pacific wireless connectivity technology market is dominated by increasingly affordable consumer electronics, which encourages long-term investments in the field. In addition, the region's rising sports usage for health diagnosis presents lucrative growth potential for the wireless connectivity technology industry. In addition, the rising use of smart technologies in Asia-Pacific generates the lucrative potential for market advancement in the region.

The technological progress of Asia- Pacific's growing economies drives the expansion of the wireless connectivity technology market. The rising demand for smartphones and smart wearables in consumer electronics is anticipated to impact regional growth. In addition, an increase in government initiatives for developing smart cities in Asia-Pacific and impending long-term investments in smart technologies contribute to the expansion of the Asia-Pacific market. Due to the increased adoption of modern electronics, numerous technological improvements in the automotive and healthcare industries drive the wireless connectivity technology market expansion.

North America will proliferate at a CAGR of 11.5% and hold USD 74,491 million. North America is a major contributor to the expansion of the global wireless connectivity technology market due to the region's technological advancements, inventions, and investments in the wireless connectivity industry, which boosts its market demand. The expansion of North America's wireless connectivity technology market can be ascribed to the region's increasing acceptance of portable technologies for various applications.

In addition, the rising usage of smartphones and smart wearables and the government's increased spending contribute to the expansion of the wireless communication technology industry. In addition, growth in the market is anticipated to be driven throughout the forecast period by an increase in investment in consumer electronics, aerospace, and defense, in addition to technological advancements in the healthcare industry. US government institutions are continually working on deploying infrastructure and allocating a new spectrum for the betterment of advanced technologies. The US is one of the top countries in digital consumer involvement and the adoption rate of new technology. Thus, boosting the growth of the regional wireless connectivity technology market.

Segmental Analysis

The global wireless connectivity technology market is classified based on technology, application, and region.

The segments are Wi-Fi, Bluetooth, Zigbee, NFC & cellular technology, and others based on technology.

The Wi-Fi section is projected to expand at a CAGR of 15.3% and hold the largest market share. Wi-Fi is a prevalent wireless networking technology that employs radio waves to enable high-speed wireless internet and network connectivity. This technology is one of the market's most important wireless technologies. Wi-Fi is often used to connect portable devices like cellphones, tablets, and laptops to the internet. Wi-Fi uses radio waves to transport data at particular frequencies, commonly 2.4GHz and 5GHz. Wi-Fi's prevalence in residential, commercial, and industrial settings as a wireless LAN connection drives demand for Wi-Fi-enabled smart lighting. Wi-Fi connectivity is typically used for smart lighting in Wi-Fi-enabled infrastructure. In addition, the proliferation of IoT-based solutions in emerging economies is advantageous for the market's future growth.

The cellular section will hold the second-largest share. The cellular network is the underlying technology for cell devices, PACS, and wireless networking, among others. The technology is developed to replace mobile radiotelephones' high-power transmitter/receiver systems. Cellular networks need less power, a shorter range, and more transmitters for data transmission. Cellular delivers Internet of Things applications requiring long-distance data transfers and low latency. While it is evident that cellular can transmit large amounts of data, particularly for 4G standards, this is not the case. During the forecast period, the government projects linked to smart cities and the development suggestions for the existing utility infrastructure are anticipated to enhance the cellular M2M market.

Within the next five years, cellular M2M technology is anticipated to be utilized extensively in smart metering solutions. Moreover, because cellular technology adopts the new standard, cellular operators need upgrade their network software without deploying new antennas, saving money that may be passed on to cellular business customers. During the forecast period, these factors are anticipated to generate profitable prospects for the wireless connectivity technology market.

Based on application, the segments are consumer electronics, automotive & transportation, healthcare, aerospace & defense, IT & telecom, and others.

The consumer electronics section is projected to expand at a CAGR of 11% and hold the largest market share. Consumer electronics refers to electronics used in the household. These products are designed for everyday use. For instance, smartwatches and smart headphones. Incorporating wireless connectivity into electronic wearable devices is the primary market driver. Future wireless connectivity will benefit from increased research and development expenditures on wearable devices. For example, hearables or wireless in-ear computational earpieces are recent and rapidly used smart IoT integrated amplifying devices.

The automotive section will hold the second-largest share. Automobiles are designed, developed, manufactured, marketed, and sold by many firms and organizations. The wireless connectivity industry is driven by integrating connectivity with autonomous electronics in vehicles. Adopting IoT and AI in automobiles and incorporating automated driving technology into automobiles are among the influencing variables. The vehicles provide wireless connectivity options such as Bluetooth, Wi-Fi, and others. Moreover, investments in autonomous driving of automobiles in smart grids are anticipated to create profitable prospects for the automotive wireless connectivity technology market over the forecast period.

Impact of covid-19

COVID-19 has positive and negative market consequences, as carbon emissions have decreased globally due to the lockout. COVID-19's reduction in emissions is a short-term benefit. Still, when industries and enterprises attempt to recoup some of their financial losses in the first quarter of the year, carbon emissions will rise dramatically. COVID-19 had a negative impact on global recycling efforts. Countries, notably the United States, have halted or decreased recycling programs to focus on collecting additional domestic waste or because services have been disrupted by the virus.

Also, with industries slowly returning to normalcy following the COVID-19 outbreak, this shift in workplace health and safety is expected to increase due to mandatory social distancing and continuous personal care through sanitization to eliminate even the tiniest possibility of COVID-19 spread. COVID-19 has impacted various companies' revenues, and if the lockdown is lifted, companies will turn their attention to operations to make up for their losses.

Recent Developments

• In 2022, Qualcomm Incorporated and Thales, a French aerospace company, are planning to test and validate 5G non-terrestrial networks with a focus on smartphone use cases. Both firms are attempting to extend 5G to a network of satellites orbiting the Earth.
• In 2022, Qualcomm Incorporated released the new RFFE modules to provide top-tier Wi-Fi and Bluetooth experiences. The enlarged portfolio supports Bluetooth, Wi-Fi 6E, and the next-generation Wi-Fi 7 standard. The modules are designed for various devices beyond smartphones, such as automotive, XR, PCs, wearables, mobile broadband, and IoT.