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WLAN market picks up thanks to high-end products

19 Dec 2018

The Wireless LAN (WLAN) market accelerated in the second half of 2018, boosted by higher-end products, according to a recently published report from Dell’Oro Group, a source for market information about the telecommunications, networks, and data centre IT industries.

WLAN prices rose with a mixed shift to Wave 2, 802.11ax and NBASE-T.

“The WLAN market outperformed in 3Q18, as price erosion slowed,” says Dell’Oro Group Industry Analyst Ritesh Patel.

“Users opted for feature-rich products, such as Wave 2 access points and premises managed Controllers. This indicates purchases are coming from sophisticated users, which relate to large enterprises upgrading Ethernet switches and pulling along wireless LAN sales.

“We see the WLAN market entering a period when revenue growth may outpace unit growth, particularly as 802.11ax access points become material. The early to market 802.11ax products from Aerohive, Arris Ruckus, Huawei, and HPE are midrange or high-end boasting NBASE-T Ethernet. It will be a few more quarters before we see lower-end products.”

Additional highlights from the 3Q18 Wireless LAN Quarterly Report:

  • Arris Ruckus, Cisco, HPE, and Ubiquiti gained share vs. the year-ago period.

  • For the second sequential quarter, North America led other regions

  • Project delays weigh on China - but not for long.

  • 802.11ac Wave 2 access points jumped over 10 points from the year-ago period.

“Wireless communication is an ever-developing field, and the future holds many possibilities,” says the Dell’Oro report website.

“However, the Wireless LAN market is faced with a number of issues, from ensuring data security to maintaining interoperability for Ethernet-like functionality adapt to the ever-increasing performance demands of the mobile user.”

The Dell’Oro Group Wireless LAN Quarterly Report offers complete, in-depth coverage of the Enterprise Outdoor and Indoor markets, SOHO markets with tables containing manufacturers' revenue, average selling prices, and unit shipments by the following wireless standards: 802.11ax, 802.11ac Wave 1 vs. Wave 2, 802.11n, and historic IEEE 802.11 standards.

The enterprise market is portrayed by cloud vs. premises managed distribution, as well as by ten vertical markets.