Fastest Growing Residential Broadband Service 5G FWA to Surpass 58 Million Subscriptions in 2026



Demand for efficient home broadband access is expected to drive FWA deployments and migration to higher capacity fixed networks

NEW YORK, August 11, 2021 / PRNewswire / – The global residential broadband market reached over 1.1 billion subscribers in 2020, an increase of 4% from the previous year. Not surprisingly, the COVID-19 pandemic has accelerated demand for broadband connectivity. The need for high capacity residential broadband will remain strong even after the pandemic recovery. According to global technology market consultancy ABI Research, 5G Fixed Wireless Access (FWA) will be the fastest growing residential broadband segment with a CAGR of 71%, surpassing 58 million subscribers in 2026.

(PRNewsfoto / ABI Research)

Remote working, e-learning, e-commerce and virtual healthcare have driven the demand for broadband throughout 2020. The significant increase in the use of internet home entertainment such as Video streaming and online gaming has also prompted existing broadband users to upgrade their broadband. service at a higher rate, while households without broadband access have taken out new subscriptions. “The growing adoption of internet-connected devices, smart TVs and smart home devices, as well as consumer media consumption through internet applications, will continue to drive broadband broadband adoption in the years to come. future. In addition, many companies are allowing remote work for some of their employees after the pandemic, which will further increase the need for home broadband services, ”explains Khin sandi lynn, industrial analyst at ABI Research.

To meet demand, broadband operators are investing heavily in the extension of higher capacity broadband networks. While some cable operators continue to invest and move to the DOCSIS 3.1 specification, the cable standards body, CableLabs and other industry players are already working on DOCSIS 4.0 technology. “While cable companies don’t anticipate the need to deploy the new cable standard anytime soon, Comcast has completed a lab test of Broadband’s DOCSIS 4.0 full-duplex system-on-a-chip in April 2021. Cable companies are expected to extend the life of the existing DOCSIS 3.1 standard by a few more years. However, DOCSIS 4.0 can support speeds of up to 10 Gbps downstream and 6 Gbps upstream, which helps improve the customer experience as well as the use of AR / VR or demanding services. in bandwidth, which will certainly emerge in the future, ”says Lynn.

Likewise, telecommunications operators continue to upgrade their xDSL networks to fiber-to-the-home (FTTH). In addition, FWA services are a cost effective alternative when the deployment of a high speed fixed broadband network is not economically feasible. The continued deployment of the 5G network alongside the development of extended 5G mmWave solutions will enable service providers to offer high-speed 5G FWA services in urban and low-density areas. 5G FWA services are expected to represent 4% of residential broadband services in 2026, compared to less than 1% in 2020.

As residential broadband penetration saturates mature markets, competition among broadband operators is likely to create challenges to maintain market share. “In addition to network upgrades, broadband operators need to invest in advanced software and hardware to optimize network performance and support better user experiences. Providing advanced home network devices, Internet security, and home network self-diagnostic tools can help service providers reduce churn rates and improve average revenue per user, ”concludes Lynn.

These results are taken from ABI Research’s Pay TV and Residential Broadband Subscription Market Data Report. This report is part of the company’s Consumer Technologies research service, which includes research, data, and ABI Insights. Market data spreadsheets are composed of in-depth data, highly segmented and service-specific market share analysis and forecast to provide detailed information about opportunities.

About ABI Research
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