New research by Juniper Research has revealed that globally, 5G Fixed Wireless Access services will be able to generate $2.5 billion as operator revenue by the end of 2023, rising from $515 million in 2022 and representing a 480 percent growth in 12 Months.
According to the research, the growth will be driven by 5G’s advanced network capabilities, such as ultra-low delay and increased data processing to provide connectivity services that were previously unachievable with 4G technology.
The research explained Fixed Wireless Access as services that provide high-speed Internet connectivity through cellular-enabled CPE (Customer Premises Equipment) for uses including broadband and IoT networks.
The research also predicts that operators’ 5G FWA revenue will reach $24 billion globally by 2027. It identified the consumer market as the sector generating the highest revenue for operators; representing 96% of global 5G FWA revenue.
However, it warns that operators must provide a compelling user proposition for FWA solutions through the bundling of services such as video streaming, gaming and smart home security to enrich the user experience and gain a competitive advantage against incumbent high-speed connectivity technologies, such as FTTP (Fibre to the Property).
“The benefits of FWA are now comparable with services using fiber-based networks. Operators have an immediate opportunity to generate revenue from broadband subscriptions directly to end users by providing last-mile solutions underpinned by their existing 5G infrastructure,” remarked Research author Elisha Sudlow-Poole.
The report also identified private networks as a key monetisation opportunity; offering superior network capabilities over 4G. Smart manufacturing, shipping ports and airports are the key use cases for 5G FWA. The report recommends that operators use 5G FWA to facilitate the last mile-solution by treating the relationship between FWA and fibre networks as wholly collaborative to maximise network performance and return on investment.