Wireless Connectivity Market Snapshot (2022 to 2032)

A recently published report by Future Market Insights reveals that the global wireless connectivity market is expected to secure a market value worth USD 12 Billion in 2022, compared to USD 10 Billion in 2021. From 2022 to 2032, the market is expected to expand at a CAGR of 14.1% while garnering a market value worth USD 345 Billion.

The growth of the industry can be attributed to the growing investments in smart city projects and the implementation of wireless sensors across various industries such as agriculture, automotive, and healthcare. Demand within the wireless connectivity market is estimated to upsurge rapidly in the coming decade as data-hungry consumers and enterprise users both swiftly expand communications and usage of applications, content, and commerce. Adoption of Bluetooth and wi-fi enabled devices like smart home platforms like Alexa is gaining huge traction in the developing countries.

Attributes Details
Wireless Connectivity Market CAGR (2022 to 2032) 14.1%
Wireless Connectivity Market Size (2022) USD 12 Billion
Wireless Connectivity Market (2032) USD 345 Billion

The healthy growth in data communications linked with smart home and industrial robotics will facilitate growth within consumer and industrial IoT respectively. Furthermore, broadband services will also drive growth in revenue in various operational support areas such as the need for IoT billing and settlement.

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What are the Factors Driving the Global Wireless Connectivity Market?

Growing adoption of wireless technology, like Bluetooth, Wi-Fi, and GPS is as well expanding the growth scope of the wireless connectivity market. Wireless systems usually decrease the burden of bulky cables, thus slashing the cost of installation and operation across various business enterprises.

The arrival of 5G is as well expected to improve the growth prospect for the wireless connectivity industry. Several agencies across the globe are persistently working towards improving the 5G infrastructure across respective economies. For instance, the Federal Communications Commission, 2020 made a priority-based announcement to ensure the wireless industry has the tools it requires to uphold USA leadership in commercial 5G enactment.

Besides, the growing adoption of wireless sensors in smart homes and offices is another factor driving the demand for wireless connectivity. Developments in various wireless connectivity technologies such as ZigBee, BLE, Z-Wave, and EnOcean are encouraging the rapid deployment of wireless sensors in domestic and industrial spaces. These sensors are extensively used in several applications ranging from homes to office buildings, while high-end precision sensors are utilized in several industries and laboratories. Therefore, the increasing demand for affordable smart wireless sensors is likely to drive the growth of the market for BLE chipset/devices as these devices can be paired with Smart Ready devices.

Wireless Connectivity Market

What are the Prevailing Opportunities in the Global Wireless Connectivity Market?

The demand for wireless technologies is propelled by countless developments in the wireless communications industry, such as imminent long-term evolution (LTE), improved adoption of smart devices, higher mobility, and explosive development in mobile data traffic. Novel wireless technologies request more spectrum and more energy. LTE and 5G are the fastest-growing mobile technologies and would continue to evolve in the future.

With the mounting number of connected devices, the need for high-speed internet connectivity has become one of the most imperative parameters in digitally progressive workplaces. With 3G becoming the absolute wireless broadband technology and 4G rapidly increasing its prospects across numerous applications, the industry concentration has shifted toward the advancement of the 5G technology. It is estimated to become the next stage of development across the highly dynamic broadband industry. As pondered by leading network providers, the 5G network infrastructure would support release connectivity of ≥1 Gbps in the coming years.

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Sudip Saha

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What are the Factors Hampering the Global Wireless Connectivity Market?

Sensors and other peripherals are substantial power consumers. The energy consumption rate for sensors in a wireless sensor network varies based on the protocols the sensors utilize for communication. While technologies such as ultra-low-power processors, tiny mobile sensors, and wireless networking are available, there is a necessity for competent power management and optical power consumption in IoT devices.

Connectivity load is another grave issue since several devices need to be connected at the same time. For instance, an average smart home may comprise 50–100 connected appliances, lights, thermostats, and other devices, respectively with their power necessities. Devices such as smart meters are also used to make the line power efficient. As a recurrent manual spare of the batteries of thousands of sensors, actuators, and other connected devices within IoT systems is not viable, the key snag is the power management of devices using wireless technologies, such as Wi-Fi.

Wireless Connectivity Market Segmental Analysis

Which End-User is expected to Exhibit Maximum Growth?

Consumer Electronics to catch Service Providers’ Eyes in the Forthcoming Future

Owing to growing automation and increasing implementation of technology in gadgets like ACs. Smart TVs, etc to make them easily accessible is bolstering demand for consumer electronics. Besides, swelling sales of netbooks, media tablets, and other “always connected” consumer and industrial electronics products mean equally robust performance in markets for wireless connectivity ICs. Future Market Insights forecasts that shipments of wireless connectivity chipsets will reach a total of approximately three billion units by the end of 2032, a 13.5% shipment increase compared to 2021.

This trend is likely to continue in the coming years, backed by the increasing adoption of smart gadgets among fitness enthusiasts and millennials. Bluetooth upheld its lead among all wireless connectivity chipset categories. Wi-Fi connectivity bags second place with approximately 38% market share. They are likely to attain the highest growth rate among connectivity chipsets, with a 13.5% CAGR between 2022 and 2032.

For technology applications, the swelling demand for Wi-Fi-enabled mobile and consumer electronics gadgets is a principal engine driving market growth. Nowadays almost every netbook, media tablet, and gaming console have Wi-Fi embedded, and in 2021 shipments of Wi-Fi-enabled consumer devices showed an increase of about 15% compared to 2016.

Why Type of Connectivity Equipment is projected to Gain Maximum Traction?

WPAN-based Chipsets likely to capture the Largest Share

The wireless personal area network connectivity technology is based on the IEEE 802.15.4 standard. WPAN is a small area and low bandwidth networking technology that allows transmission within a very short range, which is nearly 10 meters. Tools supporting WPAN comprise Bluetooth, ultra-wideband (UWB), ZigBee, Z-Wave, and Thread. ZigBee is used to create personal area networks with small and low-power digital radios. It has a communication distance of 10–100 meters. ZigBee runs at a frequency of 2.4 GHz. It is ideal for applications that require long battery life, secure networking, sturdiness, and a low data transfer rate.

The development of the market for WPAN-enabled chipsets is encouraged by the advent of the 5th generation of Bluetooth wireless technology. Bluetooth 5 is touted to be 2X faster for low-power applications than the previous version, Bluetooth 4.0. The launch of Bluetooth 5 was a significant milestone in the development not only of the standard in general but also for the arrival of services based on Bluetooth beacons. For users, smartphones and tablets that support the standard of Bluetooth 5.0 have been announced in the market.

A recently published report by Future Market Insights states that the WPAN segment is estimated to expand at a CAGR of 13.6% throughout the forecast period.

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Region-wise analysis of the Wireless Connectivity Market

What are the Growth Prospects in the USA?

Future Market Insights reported that the USA market for wireless connectivity is expected to acquire USD 90 Billion by 2032, and is prophesied to rise at a 13.9% CAGR over the forecast period owing to the increasing adoption of WSN, especially in the military and defense divisions. Besides, the presence of prominent companies will encourage growth in the country.

Another prominent reason for the progressive market growth is the robust demand for improving in-building network connectivity in the country. The United States has a large number of subscribers owning more than one connected device; the aspects such as growing automation, increasing adoption of the Internet of Things (IoT) platform, increasing cellular M2M connections, and rising demand for on-demand video services would propel the wireless connectivity market growth.

Early implementation of new technologies, such as machine-to-machine interaction, and IoT-enabled devices, along with the presence of key industrial players, would lead to high growth in the USA wireless connectivity market.

Prominent player Nokia is expanding its industrial connectivity edge-centric solution portfolio with the Digital Automation Cloud Wi-Fi Solution in the United States and other regions. The company is offering new solutions like Wi-Fi 6, and 6E for connecting non-business critical use cases and private 4.9G/LTE and 5G to support critical Industry 4.0 applications.

How is the Growing Output Value of China’s Construction Sector Developing the Market?

China held the largest customer base in 2021, backed by the digital technologies adoption which has greater potential for transformation. Since the IoT market is experiencing healthy growth, the wireless connectivity chip market in APAC is likely to expand at a significant rate stimulated by the largest concentration of the global population in China & India. Henceforth, the amount of new M2M connections per year, the demand for smart consumer devices, and the necessity for the industrial revolution are higher in this country.

Rendering to the fact of a large population base, coupled with linked issues such as those of healthcare and energy management, the wireless connectivity technologies seem to uphold more prospects to enhance the standard of living and transform the industrial sector in China. Moreover, capital investments by the Chinese government in the development and modernization of businesses have augmented the penetration rate of IoT-connected devices, which include connectivity ICs. For instance, In July 2022, the Chinese government-backed institute Purple Mountain Laboratories achieved a 6G-level wireless transmission up to a speed of 206.25 gigabits per second for the first time in a lab environment.

Future Market Insights forecast that the Chinese Market for Wireless Connectivity is estimated to reach USD 25 Billion by 2032, following a CAGR of 13.4% throughout the forecast period.

Countries Expected CAGR
USA 13.9%
UK 12.8%
China 13.4%
Japan 12.3%
South Korea 11.6%

Competition Analysis

Players in the global Wireless Connectivity market are adopting various strategies to strengthen their position in the market. Acquisitions, partnerships, and agreements are some of the most adopted strategies. A notable development in the market is:

  • In April 2022, Intel acquired a private 5G network provider Ananki, a startup created by the non-profit Open Networking Foundation (ONF) to focus on the commercialization of private 5G services based on open-source network technologies.
  • In February 2022, Hewlett Packard Enterprise and Qualcomm Technologies announced a collaboration to deliver the next-generation 5G virtualized distributed unit solutions. The Companies Will Collaborate to Deliver Industry’s First Fully Optimized VDU Solution with up to 60% Lower Total Cost of Ownership for Operators.
  • In April 2021, Silicon Labs entered into a definitive asset purchase agreement to sell its Infrastructure & Automotive (I&A) business to Skyworks Solutions, Inc. for USD2.75 billion in all-cash consideration. The transaction includes Silicon Labs' power/isolation, timing and broadcast products, intellectual property, and associated employees. Silicon Labs and Skyworks will collaborate to ensure a seamless transition for customers, suppliers, and employees.

Report Scope

Report Attributes Details
Growth Rate 14.1% CAGR from 2022 to 2032
Market Value for 2022 USD 12 Billion
Market Value for 2032 USD 345 Billion
Base Year for Estimation 2021
Historical Data 2017 to 2021
Forecast Period 2022 to 2032
Quantitative Units USD billion for Value
Report Coverage Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis
Segments Covered Type, End-User, Region
Regions Covered North America; Europe; The Asia Pacific; Latin America; Middle East & Africa
Key Countries Profiled USA, Canada, Brazil, Mexico, Germany, France, The UK, Italy, BENELUX, Nordics, Russia, China, Japan, South Korea, GCC, South Africa, Turkey
Key Companies Profiled Intel Corporation; Texas Instruments Incorporated; Qualcomm Incorporated; Broadcom; STMicroelectronics N.V.,; NXP Semiconductors N.V.; Microchip Technology Inc.; MediaTek Inc.; Cypress Semiconductor Corporation; Renesas Electronics Corporation; EnOcean; Nexcom International Co., Ltd.; Skyworks Solutions, Inc.; Murata Manufacturing Co., Ltd.; Marvell Technology Group; Nordic Semiconductor; Expressiveif Systems; CEVA, Inc.; Quantenna Communications, Inc.; Peraso Technologies, Inc.; Panasonic Corporation; BehrTech; Element 14; Dialog Semiconductor; Silicon Labs
Report Customization & Pricing Available upon Request

Key Segments Profiled in the Wireless Connectivity Market

Wireless Connectivity Market by Type:

  • WLAN Wireless Connectivity
  • WPAN Wireless Connectivity
  • Satellite Wireless Connectivity
  • LPWAN Wireless Connectivity
  • Cellular M2M Wireless Connectivity

Wireless Connectivity Market by End User:

  • Wireless Connectivity in Healthcare
  • Wireless Connectivity in Wearable Devices
  • Wireless Connectivity in Transportation and Automotive
  • Wireless Connectivity in Consumer Electronics
  • Wireless Connectivity in Building Automation
  • Wireless Connectivity for Other End Users

Wireless Connectivity Market by Region:

  • North America Wireless Connectivity Market
  • Latin America Wireless Connectivity Market
  • Europe Wireless Connectivity Market
  • Asia Pacific Wireless Connectivity Market
  • Middle East & Africa Wireless Connectivity Market

Frequently Asked Questions

What is the expected CAGR of the wireless connectivity market during the forecast period?

The market for wireless connectivity is expected to exhibit a CAGR of 14.1% from 2022 to 2032.

What is the estimated revenue of the wireless connectivity market in 2022?

The wireless connectivity market is estimated to be valued at USD12 Billion in 2022.

What is the expected U.S wireless connectivity market size from by 2032?

The wireless connectivity market in the U.S is expected to garner USD 90 Billion by 2032.

What is the projected wireless connectivity market worth of Japan by 2032?

In the wireless connectivity market, Japan is projected to reach USD 4 billion by 2032.

Which segment dominates the wireless Connectivity market by end-user?

By end-user, consumer electronics are expected to be dominate the market, with a CAGR of 13.5% during the forecast period.

By type, which segment dominates the wireless connectivity market?

The WPAN segment is expected to dominate the wireless connectivity market, displaying a CAGR of 13.6%.

Table of Content
  • 1. Executive Summary
  • 2. Market Overview
  • 3. Market Risks and Trends Assessment
  • 4. Market Background and Foundation Data Points
  • 5. Key Success Factors
  • 6. Global Market Demand Analysis 2015 to 2021 and Forecast, 2022 to 2032
  • 7. Global Market Value Analysis 2015 to 2021 and Forecast, 2022 to 2032
  • 8. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By Type
    • 8.1. WLAN
    • 8.2. WPAN
    • 8.3. Satellite
    • 8.4. LPWAN
    • 8.5. Cellular M2M
  • 9. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By End to User
    • 9.1. Healthcare
    • 9.2. Wearable devices
    • 9.3. Transportation and automotives
    • 9.4. Consumer electronics
    • 9.5. Building automation
    • 9.6. Others
  • 10. Global Market Analysis 2015 to 2021 and Forecast 2022 to 2032, By Region
    • 10.1. North America
    • 10.2. Latin America
    • 10.3. Europe
    • 10.4. Asia Pacific
    • 10.5. Middle East and Africa (MEA)
  • 11. North America Market Analysis 2015 to 2021 and Forecast 2022 to 2032
  • 12. Latin America Market Analysis 2015 to 2021 and Forecast 2022 to 2032
  • 13. Europe Market Analysis 2015 to 2021 and Forecast 2022 to 2032
  • 14. Asia Pacific Market Analysis 2015 to 2021 and Forecast 2022 to 2032
  • 15. Middle East and Africa Market Analysis 2015 to 2021 and Forecast 2022 to 2032
  • 16. Key Countries Market Analysis 2015 to 2021 and Forecast 2022 to 2032
  • 17. Market Structure Analysis
  • 18. Competition Analysis
    • 18.1. Intel Corporation
    • 18.2. Texas Instruments Incorporated
    • 18.3. Qualcomm Incorporated
    • 18.4. Broadcom
    • 18.5. STMicroelectronics N.V.
    • 18.6. NXP Semiconductors N.V.
    • 18.7. Microchip Technology Inc.
    • 18.8. MediaTek Inc.
    • 18.9. Cypress Semiconductor Corporation
  • 19. Assumptions and Acronyms Used
  • 20. Research Methodology
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