Ashish Jain, President, KAIROS Pulse
AT&T’s March announcement that it was launching Internet Air for Business, a new nationwide fixed wireless access (FWA), continues to show that FWA for businesses is the real deal. AT&T is joining the race with T-Mobile and Verizon, targeting small, medium, and large companies. The service leverages AT&T’s LTE, 5G, and 5G+ networks to provide internet connectivity. While far smaller than rivals’ FWA plays, AT&T reported encouraging initial consumer take-up with 93,000 Internet Air subscribers at the end of 2023, signaling promise for their new business offering. However, the U.S. Big Three are not the only ones offering the service.
“Customers are telling us they need diverse connectivity options, the ability to connect new locations quickly.” Mike Troiano, Senior Vice President for Product and Pricing at AT&T Business
Per the GSA, slightly over half of the 300 operators offering 5G service globally are marketing business or residential FWA broadband services. The global 5G FWA market is expected to grow from roughly $30 billion in 2023 to $153 billion in 2028, a CAGR of 39%, according to MarketsandMarkets. Per the Ericsson Mobility Report, the number of FWA connections is expected to grow from 132 million in 2023 to 330 million in 2029.
Fast, reliable internet connectivity has become crucial for how most modern businesses operate on a daily basis. Between running enterprise software systems, processing customer payments, making VoIP calls, and more, having sufficient and dependable bandwidth is no longer optional for business success – it’s mandatory. For many years, fiber optic connectivity has been the gold standard for providing businesses with the best speeds and lowest latency internet. However, with 5G and FWA technology advancements, another formidable contender is entering the ring to challenge costly and cumbersome fiber deployments.
5G FWA provides businesses with high-bandwidth wireless connectivity by leveraging 5G network infrastructure. With professionally installed outdoor antennas and routing equipment, companies can tap into wireless internet with broadband speeds thanks to 5G’s advanced capabilities. For businesses in locations that don’t have wired connectivity, this wireless alternative represents an agile, scalable, and cost-competitive solution for supporting bandwidth-intensive business operations. And with 5G infrastructure still quickly scaling up nationwide, the coverage and long-term viability of 5G FWA continues to improve for businesses everywhere.
What’s Driving Fixed Wireless Access?
The fixed wireless for business space has been gaining momentum due to several key factors:
- Businesses, especially in underserved or remote areas, have an increasing demand for reliable and high-speed internet connectivity to support their operations, such as cloud computing, video conferencing, and data transfer. Fixed wireless solutions can provide broadband internet access where traditional wired infrastructure is unavailable or cost-prohibitive.
- Fixed wireless solutions can be more cost-effective than traditional wired solutions, especially for businesses in rural or remote areas, as they require fewer physical infrastructure investments and have lower maintenance costs.
- FW solutions can be deployed relatively quickly compared to traditional wired infrastructure, which can involve extensive excavation and construction work. This rapid deployment capability is attractive to businesses that need internet connectivity quickly. Bill Baker, CEO of Nextlink Internet, said an FWA deployment on a leased tower can often go live in weeks.
- Fixed wireless solutions can be easily scaled up or down to accommodate changing business needs, providing flexibility in terms of capacity and coverage.
- FWA can be used as a backup or redundant option for businesses that require uninterrupted internet connectivity, ensuring business continuity in case of outages or disruptions in their primary wired connections.
FWA for the business is really an untapped market for many of our carriers.” Kelley Dorsey, VP of corporate communications at Cradlepoint (part of Ericsson)
How Businesses Are Innovating with 5G Fixed Wireless Access
5G FWA solutions unlock a new concept for networking that businesses across sectors can benefit from. By tapping into wireless connectivity, organizations can swiftly empower bandwidth-intensive operations at remote branches, temporary pop-up locations, construction job sites, and more.
Retail chains are utilizing 5G FWA to connect stores for cloud POS systems, security camera networks, and real-time inventory database access where fiber connectivity is unavailable. As banks accelerate the roll-out of modular, pop-up branch locations to serve communities better, 5G FWA facilitates fast internet deployment at these temporary sites.
Tribal nations, such as the Navajo in New Mexico, the Yakama Nation in Washington State, and the Chippewa Cree tribe in Montana, use FWA to provide their businesses and residents with high-speed internet.
Stadiums, hotels, hospitals, and other venues hosting events can leverage 5G FWA to swiftly create robust networks, ticket/payment processing, and other fan/guest services for areas lacking fiber connectivity inside or around the facility.
Wireless Internet Service Providers (WISPs) use FWA to bridge the last mile. Surf Air Wireless uses CBRS to bring broadband to Illinois, Indiana, and Michigan.
With construction sites continually shifting, 5G FWA has also proven valuable for contractors who need to coordinate offices and equipment via internet connectivity that can quickly move to align with each project phase. The rising food truck industry thrives on mobility – by tapping into 5G for point-of-sale systems rather than relying on fixed fiber or cable infrastructure, food trucks can securely process payments from anywhere within 5G coverage.
As businesses target continued growth, leveraging agile technical capabilities will be vital to optimizing operations, budgets, and competitiveness. 5G FWA already demonstrates immense value for organizations needing to connect temporary and remote business sites swiftly.
“That’s an even greater opportunity for us [to expand their geographic reach] because there are more underserved markets, and our fixed-wireless access will come extremely quickly into those markets.” Verizon CEO HansVestberg
Conclusion
With 5G networks still rapidly scaling up coverage across the country, we are merely scratching the surface of the potential for 5G FWA. A few key factors will fuel immense growth.
First, the spreading availability of 5G networks allows FWA services to expand into many more markets, making the technology accessible to significantly more businesses. Second, rising fiber and copper costs are making the business case for shifting to 5G FWA even more financially compelling. Lastly, companies are waking up to the power of mobility and agility – by reducing reliance on fixed infrastructure, 5G FWA allows organizations to cost-effectively adapt sites, scale locations, and deploy pop-up operations to drive growth.
Clearly, 5G FWA is poised to transform how organizations connect locations and power bandwidth-intensive operations. For enterprises needing to swiftly digitize sites, reach new markets, or simply save costs, the future looks undeniably wireless behind 5G connectivity. This technology’s agile capabilities align perfectly with modern businesses’ mobile-first trajectory. Importantly, fixed wireless is no longer just for residential use; it’s now a viable option for businesses as well. As 5G networks expand over the coming decade, each company must evaluate if and how shifting to wireless infrastructure can optimize networks, locations, costs, and above all else – customers’ experiences.
