The Wireless LAN market hit a new record of $2.4 Billion in the third quarter, despite the continuing supply bottlenecks and representing a surprising 32 percent year over year growth, according to a recently published report from Dell’Oro Group. Meanwhile, manufacturers still have a huge pile-up of backlogged orders.
“We predict that the fourth quarter will be another record, with prices rising for the 6th quarter in a row, and shipment volumes skyrocketing. We’re also making the bold prediction that next year the Enterprise Class Wireless LAN market will break the $10 Billion mark, two years earlier than we predicted,” added Morgan.
Additional highlights from the 3Q 2022 Wireless LAN Quarterly Report:
- Wi-Fi 6E volumes are still lagging the adoption rate of the three prior Wi-Fi technologies, while the new 6 GHz ecosystem develops and the industry plans for the arrival of Wi-Fi 7.
- A shift is underway in China, with Huawei ramping up its Wireless LAN shipments and seeing a drop in unit prices as the company expands to new market segments.
- Of the major manufacturers based outside China, HPE Aruba and Ubiquiti represented the largest portion – over 75 percent – of unit shipment growth.
- Arista and Ruijie Networks, two companies each with a small Wireless LAN market share, made bold moves focusing on expansion.
- Public Cloud managed APs are growing faster than the market and represented 30 percent of Wireless LAN revenues.