Wireless Gigabit Market

Market Overview

The global wireless gigabit market size was valued at USD 2.75 billion in 2022. It is projected to reach USD 13.02 billion by 2031, registering a CAGR of 17.1% during the forecast period (2023-2031). The global market is expected to grow significantly owing to increasing demand for high-speed wireless connectivity in various applications, including consumer electronics, networking, and commercial sectors.

The "wireless gigabit market" concept refers to the global market for high-speed wireless communication technologies that transmit data over short distances at gigabit (1 Gbps or more) speeds. This technology typically operates in the 60 GHz frequency range and includes WiGig (802.11ad) and Wi-Fi 6E (802.11ax). It is utilized in numerous areas, including consumer electronics, networking in business, automotive, and healthcare. The market is rising due to the expanding ecosystem of compatible devices and infrastructure, as well as the increasing demand for fast, wireless connectivity for data-intensive applications like 4K video streaming and virtual reality and augmented reality.

Market Dynamics

Market Drivers

Rapid Expansion of IoT Devices requiring High-Speed Connectivity for Real-Time Data Exchange

The rapid development of Internet of Things devices resulted in a revolution in the technology sector and increased demand for fast internet. The telecoms industry is undergoing a fundamental transformation due to this surge, which makes the creation of state-of-the-art infrastructure necessary to manage the previously unheard-of volume of data shared in real-time. The introduction of 5G networks, which mark a quantum leap in wireless technology, is essential to this paradigm change. With significantly faster data rates and much lower latency, 5G is predicted to be the key to satisfying the demands of Internet of Things applications in various industries.

Manufacturing and industry are at the forefront of this change, using IoT devices and sensors more often to monitor machines, optimize processes, and boost efficiency. Real-time data sharing is essential to many applications, necessitating reliable and quick networking solutions. Furthermore, smart cities' unstoppable expansion and incorporation of IoT technology demand real-time data processing for various applications, such as traffic control and environmental monitoring. Fast connectivity is essential for the rapid diagnosis and treatment of patients in the healthcare sector, as it enables the widespread use of IoT devices for telemedicine and remote patient monitoring.

The advent of autonomous vehicles is predicted to bring about a substantial upheaval in the automobile industry. The smooth communication between these cars and infrastructure depends on high-speed connectivity, highlighting the vital role that real-time data interchange plays in guaranteeing safe and effective autonomous transportation systems. In addition, quick communication is necessary for a flawless user experience with consumer IoT, as demonstrated by various smart home appliances. In conclusion, the exponential expansion of the Internet of Things is driving the telecoms industry into a new era by requiring high-speed connectivity and paving the way for previously unheard-of levels of efficiency and creativity across industries.

Market Restraints

High Infrastructure Costs Associated with Deploying Wireless Gigabit Technology

The significant infrastructure expenditures in deploying wireless gigabit technology are the main market barrier preventing its wider adoption. Large sums of money must be set aside to construct new networks or renovate current infrastructure to deploy wireless gigabit networks. One aspect of this involves the installation of state-of-the-art base stations, access points, and routers capable of effectively managing the substantial data transfer rates associated with gigabit speeds. Extending fiber optic backhaul links can be expensive to enable gigabit wireless, particularly in underserved or isolated places. The procedure also calls for finding appropriate locations and securing licenses, which can be costly and time-consuming.

The cost is increased by the specialized gear needed, such as high-capacity routers and transceivers. In order to ensure the reliability of the network, it is necessary to implement upgrades and perform regular maintenance, which contributes to the overall operational expenses. In addition, the cost of compatible equipment, including routers and smartphones, is borne by end users. These infrastructure expenses significantly hinder wireless gigabit technology's broad adoption, necessitating creative solutions, legislative incentives, and industry partnerships to lower costs. These expenses might decrease as technology develops and grows, allowing for a wider adoption. Infrastructure costs continue to be a major barrier to market growth.

Market Opportunities

Proliferation of IoT and Smart Devices

The usage of smart devices and the Internet of Things has increased dramatically, creating a massive market opportunity for wireless gigabit technologies. A wide range of networked devices, from smart home appliances to industrial sensors, power this expanding ecosystem. All of these devices depend on smooth connectivity and quick data transmission. In addition, high-speed wireless networks are essential as industries use IoT for automation, analytics, and real-time monitoring. For instance, IoT sensors are used in manufacturing to optimize processes and avoid expensive equipment failures. Similarly, remote patient monitoring systems in the medical field depend on continuous data flow, which calls for quick and dependable connectivity.

Furthermore, smart cities require strong wireless solutions for effective traffic control, energy saving, and public safety measures because they are constructed on Internet of Things infrastructure. In the consumer space, gigabit-speed wireless connections are becoming more and more necessary due to the demand for augmented reality, high-definition streaming, and smart home automation. The introduction of 4K and 8K video material, virtual reality software, and smart appliances is one way that this is very clear. These elements have made the wireless gigabit technology market quite active, creating opportunities for market growth.

Regional Analysis

Based on region, the global wireless gigabit market analysis is conducted across North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

North American wireless gigabit market is expected to expand substantially over the forecast period. North America has dominated the worldwide wireless gigabit market, especially in the United States and Canada. Significant growth has been fueled by the region's strong emphasis on technology innovation and significant customer demand for dependable, quick internet access. Big tech companies like Google, Apple, and Microsoft have successfully pushed wireless gigabit technologies for consumer devices. Furthermore, enterprise networking uses wireless gigabit technology more frequently, particularly for high-bandwidth applications. The expansion of the wireless gigabit market in North America is further facilitated by existing infrastructure and a supportive legislative framework.

Asia-Pacific is expected to grow significantly over the forecast period. The Asia-Pacific area includes, among other countries, South Korea, Japan, China, and India in the global wireless gigabit market. High-speed wireless communication has become increasingly necessary due to factors including the growing middle class, mobile device proliferation, and rapid urbanization. Chinese firms like Xiaomi and Huawei are leading the charge in developing and applying wireless gigabit technology for consumer gadgets. Furthermore, the region's automotive sector has adopted wireless gigabit solutions for enhanced in-car entertainment systems and vehicle-to-vehicle (V2V) connectivity. Therefore, there is significant potential for expansion of wireless gigabit technology firms in the Asia-Pacific region.

Europe, especially Western Europe, has been the continent where wireless gigabit technology has become increasingly popular. High-speed wireless network deployment has accelerated because of the European Union's Digital Agenda and initiatives to boost digital connection. Wireless gigabit technology is incorporated into several industries, including smart cities, healthcare, transportation, and consumer applications. With its focus on connected and autonomous vehicles, the automobile sector has been a major force behind the adoption of wireless gigabit technology. Europe is a substantial player in the global wireless gigabit market due to its established automotive industry and dedication to expanding digital infrastructure. 

Segmental Analysis

The global market is segmented into product type, technology, protocol, and end-user.

Based on product type, the global market is segmented into display devices and network infrastructure devices.

The display devices segment dominates the global market and is expected to expand substantially over the forecast period. Display devices, including tablets, laptops, smartphones, and smart TVs, have significantly influenced the wireless gigabit industry. In order to provide capabilities like screen mirroring, augmented reality (AR), virtual reality (VR), and 4K video streaming, these devices need high-speed wireless networking. The incorporation of WiGig (802.11ad) and Wi-Fi 6E (802.11ax) technology into consumer electronics results from the growing desire for faster and more dependable wireless connections. The deployment of wireless gigabit technology in display devices has been driven by the rising demand for seamless wireless experiences and the growing popularity of these applications.

Network infrastructure devices also play an important role in the wireless gigabit market. Examples are routing, access points, and switches intended to enable high-speed wireless networks. With the development of gadgets requiring gigabit-speed wireless connections, businesses, educational institutions, and public spaces have increased their investments in updating their network infrastructure to meet these needs. These gadgets incorporate Wi-Fi 6E and WiGig technology to enable faster and more reliable wireless access. Furthermore, the growth of smart cities, IoT installations, and high-bandwidth applications in enterprise settings has increased the need for reliable network infrastructure.

Based on end-users, the global market is divided into consumer electronics, networking, and commercial.

The consumer electronics segment owns the largest market share and is expected to expand significantly over the forecast period. The consumer electronics sector is well-represented in the wireless gigabit market due to consumers' growing need for high-speed wireless access. Gigabit-speed wireless connections are essential for data-intensive activities like online gaming, 4K video streaming, and content sharing, which are increasingly dependent on devices like smartphones, laptops, and smart TVs.

In addition, WiGig (802.11ad) and Wi-Fi 6E (802.11ax) are examples of cutting-edge technology manufacturers have included to meet these expectations. The user experience is improved overall for customers because these technologies enable low-latency gaming, uninterrupted streaming, and quick data transfers.

The networking industry is pivotal in the wireless gigabit market, providing the essential infrastructure for high-speed wireless connections. The wireless gigabit market has seen significant representation from the consumer electronics sector, primarily driven by the increasing demand among customers for high-speed wireless connectivity.

Recent Developments

• December 2022- Xiaomi officially launched its newest router and its latest flagship Android phones. The first-generation gadget claims to support "10Gb wireless" because its tri-band capability can support up to four 2.5 gigabit (Gb) cable connections.