Wireless/5G

2018 one of the slowest growth years for enterprise WLAN to date: Dell'Oro

Feb. 19, 2019

The latest Dell’Oro Group Wireless LAN (WLAN) 5-Year Forecast report (2018-2023) indicates that the enterprise WLAN market will slow as it approaches $9.6 billion over the next five years. Also according to the study, the Chinese market for the technology is expected to decelerate and grow at pace with the rest of the Asia Pacific region. Per Dell'Oro's latest research: "Chinese service providers are no longer deploying WLAN equipment in mobility environments, resulting in 2018 as one of the slowest growth years to date." Despite the slowdown, the analyst expects the WLAN market in China to grow over the forecast period. "We anticipate wireless expansion and transition to new 802.11ax (Wi-Fi 6) technology in the enterprise segment as key growth drivers for the China market," continues the report's summary. While 5G will enter the market during the forecast period, the analyst says it maintains its position on its impact on WLAN. As discussed in the report, Dell'Oro contends that "we do not recognize cellular (including 5G) and private LTE networks as drivers for enterprise customers to substitute WLAN for in-building connectivity." Following are additional key takeaways from the Dell'Oro WLAN 5-Year Forecast Report: Demand for WLAN equipment and an increase in average selling price will move the WLAN market to approach $17.6 B in revenue over the next five years. In comparison to previous technology (802.11ac), Dell'Oro expects 802.11ax to sustain a price premium for a longer period. The revenue contribution from licenses is expected to exceed the contribution from access points for the Enterprise Cloud. In the SOHO market, wireless router shipments are projected to surpass 50 million. The Dell’Oro Group Wireless LAN 5-Year Forecast Report offers a complete overview of the industry, covering enterprise outdoor and indoor markets, SOHO markets with tables containing manufacturers’ revenue, average selling prices, and unit shipments by the following wireless standards: 802.11ax, 802.11ac Wave 1 vs. Wave 2, 802.11n, and historic IEEE 802.11 standards.

Content Dam Cim En Articles Pt 2019 02 2018 One Of The Slowest Growth Years For Enterprise Wlan To Date Dell Oro Leftcolumn Article Thumbnailimage File

9f527b55dd4723d277ffb58ea73cedf5 Clientimage 960x601 Xlarge Original 1

Pixabay

Per Dell'Oro's latest research: "Chinese service providers are no longer deploying WLAN equipment in mobility environments, resulting in 2018 as one of the slowest growth years to date." Despite the slowdown, the analyst expects the WLAN market in China to grow over the forecast period. "We anticipate wireless expansion and transition to new 802.11ax (Wi-Fi 6) technology in the enterprise segment as key growth drivers for the China market," continues the report's summary.

How the cabling industry can prepare for 5G

While 5G will enter the market during the forecast period, the analyst says it maintains its position on its impact on WLAN. As discussed in the report, Dell'Oro contends that "we do not recognize cellular (including 5G) and private LTE networks as drivers for enterprise customers to substitute WLAN for in-building connectivity." Following are additional key takeaways from the Dell'Oro WLAN 5-Year Forecast Report:

Demand for WLAN equipment and an increase in average selling price will move the WLAN market to approach $17.6 B in revenue over the next five years.
In comparison to previous technology (802.11ac), Dell'Oro expects 802.11ax to sustain a price premium for a longer period.
The revenue contribution from licenses is expected to exceed the contribution from access points for the Enterprise Cloud.
In the SOHO market, wireless router shipments are projected to surpass 50 million.

The Dell’Oro GroupWireless LAN 5-Year Forecast Report offers a complete overview of the industry, covering enterprise outdoor and indoor markets, SOHO markets with tables containing manufacturers’ revenue, average selling prices, and unit shipments by the following wireless standards: 802.11ax, 802.11ac Wave 1 vs. Wave 2, 802.11n, and historic IEEE 802.11 standards.