A new report released by analysts ABI Research this week suggests that the success of fixed wireless access (FWA) service is not yet close to peaking.
The firm found that service revenue will have what it calls a “robust” compound annual growth rate (CAGR) of 18.8% between 2023 and 2030 and will reach almost $111 billion. At that point, annual data traffic will be approximately 1 Zettabyte and provide a CAGR of 18.7%.
Overall, the report predicted the FWA subscriber base will reach 233 million by the end of the study period. 5G FWA will account for 81% of the subscriber base.
The press release says that Verizon and T-Mobile are success stories. They both have revised their targets to almost double what they originally projected.
“Ongoing technology advancements within 5G Customer Premises Equipment (CPE) will continue to play a critical role in driving growth in FWA subscriber bases and service revenue,” ABI Research Industry Analyst Larbi Belkhit said in a press release about the report. “Furthermore, as 5G networks evolve, more operators will begin shifting toward service monetization business models over simple best-effort speed monetization.”
The ascendency of wireless Internet is clear. For instance, this month a J.D. Power report found that while both wired and wireless approaches have seen growth during the past year, FWA service is growing faster among those who have been with their provider for less than six months. In addition, satisfaction rates for wireless internet was 647 (on a 1,000-point scale) versus 554 for wired.
In late April, a Horowitz Research report found that 56% of non-FWA subscribers are likely to consider FWA when it becomes available in their area. Penetration overall was at 12%, which Horowitz says is a three-fold increase since it inaugurated coverage in 2023.
