The 5G fixed wireless access (FWA) market is expected to grow from USD 396 million in 2019 to USD 46,366 million by 2026, at a CAGR of 97.47 percent from 2019 to 2026, predicts MarketsandMarkets. Major factors driving the growth of the 5G fixed wireless access markets are growing demand for high-speed internet connectivity and broad network coverage with reduced latency and power consumption, increasing adoption of advanced technologies such as machine-to-machine (M2M), Internet of Things (IoT), and millimeter-wave in 5G FWA. However, delay in making decisions related to the standardization of spectrum allocation, high infrastructure costs, and adverse impact on the environment are expected to limit the growth of this market.
The services segment is expected to account for a larger share of nearly 86 percent of the 5G fixed wireless access market by 2026. The evolution of 5G is likely to take fixed wireless access to a new level with the use of a wide range of radio spectrum owing to which consumers can achieve major capacity gains and low-latency connectivity. Thus, 5G FWA is likely to enhance network performance capabilities and deliver high-speed network coverage compared to currently used connectivity networks. Semi-urban areas are likely to account for the largest share of the 5G fixed wireless access market during the period. In general, it is challenging to upgrade or deploy the foundation infrastructure in urban and semi-urban areas due to the high cost of projects in civil works and complexities associated with high-rise buildings. FWA could overcome the challenge by providing a wireless connection with high throughput and low latency everywhere. North America is one of the leading markets for 5G in terms of R&D, network design/deployment, and presence of key players.