Wi-Fi 6 Market Expected to Reach $64.1 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Wi-Fi 6 Market," The wi-fi 6 market size was valued at $10.9 billion in 2021, and is estimated to reach $64.1 billion by 2031, growing at a CAGR of 19.6% from 2022 to 2031.

Wi-Fi 6, also known as IEEE 802.11ax, is the newest Wi-Fi specification standard, coming after Wi-Fi 5 (IEEE 802.11ac). It promises greater speeds and better connectivity, as well as increased support for multiple, high-bandwidth devices. It operates between the 1 and 6 GHz frequency bands. With Wi-Fi 6 solution, enterprises can gain a business edge by building a network without any coverage gaps and eliminating packet loss during roaming. This makes it ideal for critical deployments in digital education, digital airport, omnichannel finance, smart healthcare, smart government, and Industry 4.0.

Factors such as need to manage customer traffic and customer movement to boost productivity have accelerated the need for Wi-Fi 6 globally. In addition, increase on emphasis on customer service across major industry verticals has further boosted the Wi-Fi 6 market growth. However, high initial set-up cost of Wi-Fi 6s restricted the market growth. On the other hand, with many SMEs entering the market and providing advance solutions for Wi-Fi 6 is expected to create greater opportunities during the forecast period. One of the key factors driving the global Wi-Fi 6 industry is the adoption of digital transformation initiatives among companies. When businesses use Wi-Fi 6, it reduces the cost of installing a connection that requires a physical connection. Small businesses can compete with large businesses because flexibility is provided by mobilizing people and corporate processes to compete without sacrificing employee efficiency or productivity. Moreover, factors such as increase in the number of smartphones and increase in Wi-Fi enabled devices is also boosting the market growth. However, security issues along with range of Wi-Fi 6, which is less than that of the 5 Ghz network hampers the market growth.

By offering, the solution segment dominated the growth of the Wi-Fi 6 market in 2021, and is expected to maintain its dominance in the upcoming years due to rise in need of advanced and capable Wi-Fi solutions for better efficiency and experience. However, the services segment is expected to witness highest growth rate during the forecast period due to adoption of Wi-Fi 6 services, as they ensure effective functioning of solutions and platforms throughout the process.

By enterprise size, the large enterprises segment dominated the global market in 2021, and is expected to continue this trend during the forecast period, owing to increase in adoption of Wi-Fi 6 solutions to integrate into their existing system. Conversely, the small- & medium-sized enterprises segment is expected to grow at the highest CAGR during the forecast period, owing to surge in adoption of Wi-Fi 6 solutions, as it provides cost-effective, quick transmission of internet and efficient solution for SMEs.

The current estimation of 2031 is projected to be higher than pre-COVID-19 estimates. The COVID-19 pandemic has drastically affected businesses across globally. It has positively impacted the adoption of Wi-Fi 6 devices owing to lockdowns imposed by governments of different countries. Due to the outbreak, the number of Wi–Fi 6 connected devices is increasing across homes day–by–day. Further, lockdown enforcement enhances digital learning platforms and message boards for remote education, thus propelling the growth of Wi-Fi 6 market forecast. Furthermore, manufacturers are also collectively forced to devise and deploy multiple new and agile approaches to product and quality control. On the contrary, shutdown of school, colleges or educational institutions due to COVID-19 crisis creates rise in demand for online education. Such needs provide lucrative opportunities for the Wi-Fi 6 industry. Hence, a greater number of companies are investing in Wi-Fi 6 technology to safely manage work process. Furthermore, the rising number of connected devices and internet users globally continuously increases the demand for efficient Wi-Fi networks. Wi-Fi 6 technology resolved these problems by providing efficient networks of several devices, such benefits provide lucrative growth opportunities for the market in the upcoming year.

KEY FINDINGS OF THE STUDY

• By offering, the solution segment accounted for the largest Wi-Fi 6 market share in 2021.
• By location type, outdoor segment generated highest revenue in 2021.
• By region, North America generated highest revenue in 2021.
• By vertical, the IT & telecom segment generated the highest revenue in 2021.

The key players that operate in the Wi-Fi 6 market analysis are Apple Inc., Aruba Networks, Asustek Computer Inc., AT&T, Broadcom, Cisco Systems, Fortinet Inc., Hewlett-Packard Company, Huawei Technologies, Intel Corporation, Juniper Networks, Linksys Holdings, Inc., Microsoft Corporation, NXP Semiconductors, Qualcomm Inc., Samsung Electronics Co. Ltd, and Sterlite Technologies Limited. These players have adopted various strategies to increase their market penetration and strengthen their position in the Wi-Fi 6 industry.