Established wireline and wireless network providers will be among the big beneficiaries of the $163 billion to be spent worldwide over the next five years on WiFi services and equipment, according to a new market research study from Insight Research Corporation. WiFi is a technology that combines Ethernet and wireless communications, making it possible for computers and other electronic gear to send and receive high-speed data in a local area network without a wired connection.
Insight Research’s analysis of the WiFi industry, WiFi in North America and Europe: Telecommunications’ Future 2003-2008, suggests that wireless LAN technology—increasingly popping up in public spaces such as airports and cafés, in private residences, and in businesses—will grow faster in Europe than North America. Worldwide WiFi revenues are expected to grow from $7 billion in 2003 to over $44 billion by 2008, at a compounded annual rate of 44 percent.
“Some analysts believe that broadband access is driving the adoption of WiFi, while others contend that WiFi is driving broadband,” says Robert Rosenberg, Insight Research President. “Our analysis suggests that they drive each other in a complementary way—creating greater demand for broadband services across the board. We expect growth of European WiFi services to surpass North American service revenue well before the end our forecast period,” Rosenberg explains.
WiFi in North American and Europe: Telecommunications’ Future 2003-2008 examines the factors driving adoption of WiFi, equipment revenues, and service-related revenues. This industry research report forecasts revenues for North America and Europe by core network equipment, antennas, end-user devices, wireless Internet service providers (WISPs), traditional ISPs, fixed operators, and mobile operators. The growth of worldwide WiFi hotspots locations is also included over the 5-year forecast period.
