We often take cellular connectivity for granted. Without it, we can’t text our friends, access email, or contact emergency services. For enterprises, a lack of mobile coverage means software tools are deemed worthless, vital communications get shut down, and operations come to a halt. Unfortunately, it’s not always possible to deliver fiber-based broadband due to geographical constraints and outdated infrastructure. Fixed Wireless Access (FWA) is a key connectivity solution that addresses these challenges as it does not require physical cable installation in a home or business.
With FWA, Internet Service Providers (ISPs) have a scalable, cost-efficient way to offer customers the telecommunications services needed to function in modern society. Several major national carriers, including T-Mobile, Verizon, AT&T, BT Group, Telefónica, Orange, DOCOMO, Airtel, Jio, and more, have started exploring the 5G FWA market.
45% of FWA subscriptions will leverage 5G by 2029.
$44.09 Average Revenue per User (ARPU) for 5G FWA in 2025.
37 million 5G FWA CPE shipments annually by 2029.
Historically, 5G has been nascent in FWA networks. Indeed, 4G/Long-Term Evolution (LTE) has dominated this space, to date. But as 5G technologies have matured, it is gaining far greater prominence in fixed wireless access. ABI Research forecasts 5G to be used in 45% of all FWA subscriptions by 2029, nearly double the 23% in 2024.
The growing adoption of 5G FWA will, of course, stimulate significant demand for Customer Premises Equipment (CPE) with 5G capabilities. This will result in 5G FWA CPE shipments more than tripling from 10.7 million units in 2023 to 37 million units by 2029. On the equipment front, companies like ZTE, Nokia, Huawei, Inseego, Zyxel, and Ericsson are at the forefront of this growing sector.
What Is Fixed Wireless Access?
Fixed Wireless Access (FWA) is a high-speed Internet connectivity solution that uses wireless networks to deliver broadband services to homes and businesses. Unlike traditional fixed broadband, which relies on fiber or cable infrastructure, FWA leverages cell towers to provide last-mile connectivity. This makes it particularly attractive for regions where deploying fiber is cost-prohibitive or geographically challenging.
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5G Integration with FWA
The advent of 5G has significantly enhanced FWA’s capabilities. Three key benefits stand out:
- Higher speeds
- Lower latencies
- Greater network efficiency
Fixed wireless access has been used for consumer and enterprise connectivity for years. However, 5G integration has been relatively rare in the telecommunications industry. To understand the growing relevance of 5G FWA, consider ABI Research’s latest market forecast. Our analysts expect 5G FWA subscriptions to grow at a Compound Annual Growth Rate (CAGR) of 35% between 2023 and 2029.
Although North America has historically been the most mature market, we anticipate that Asia-Pacific will surpass the former in subscriptions in 2025. ABI Research also forecasts that Western Europe will surpass North America in 5G FWA subscriptions by 2027. The expansion of 5G FWA networks in other regions signals substantial technological maturity and the need to bridge the digital divide.
5G FWA Equipment Vendors
Several leading vendors supply Customer Premises Equipment (CPE) for 5G FWA, catering to both consumer and enterprise markets. The competition among these vendors is driving technological advancements and expanding market reach. The key players we recently evaluated include:
- ZTE offers Artificial Intelligence (AI)-driven G5 Ultra CPE, supporting both Millimeter Wave (mmWave) and sub-6 Gigahertz (GHz) bands. It has a strong market presence across Europe, Asia-Pacific, and the Middle East & Africa.
- Nokia specializes in mmWave technology with its 5Gmm Receiver, which enables Non-Line-of-Sight (NLOS) connectivity. Its FastMile gateway provides flexible, self-installable solutions for homes and businesses.
- Huawei focuses on Reduced Capability (RedCap) and self-designed chipsets for the 5G FWA market. Its AI-powered CPE solutions are widely used in the Middle East and Asia-Pacific.
- Inseego develops high-end solutions with strong enterprise management features, leveraging Qualcomm’s latest chipset technology.
- Zyxel provides a mix of indoor and outdoor CPE solutions, with a strong foothold in the European market. Its Nebula cloud management platform supports its offerings.
- Ericsson emphasizes enterprise applications with its Cradlepoint X10 Series router, which prioritizes network security and reliability in the U.S. market.
Future Outlook for FWA
The advancement of 5G FWA is being driven by several key technologies that enhance performance, coverage, and cost-efficiency. With strong backing from leading CPE vendors and the integration of cutting-edge technologies like RedCap and mmWave, FWA is set to play a pivotal role in the future of global broadband.
- 5G Reduced Capability (RedCap): Originally designed for IoT applications, RedCap is now being adopted for FWA CPE in cost-sensitive markets. It offers a lower-cost alternative, while maintaining adequate connectivity performance. Companies like Qualcomm, MediaTek, and Huawei are actively developing RedCap solutions.
- Millimeter Wave (mmWave): With mid-band spectrum congestion increasing, mmWave is becoming essential for extending 5G FWA coverage. High-gain outdoor CPE, such as Nokia’s solutions, make mmWave more viable for remote locations lacking fiber infrastructure.
- Outdoor CPE: The demand for outdoor CPE is increasing, as it ensures better service quality in rural and hard-to-reach areas. While it accounted for just 8% of total CPE shipments in 2023, it is expected to reach 12% by 2029. Vendors are increasingly optimizing outdoor solutions to provide reliable high-speed Internet.
As consumers and enterprises increasingly adopt advanced technologies, 5G FWA is a crucial enabler of worldwide digital transformation. ABI Research plans to stay on top of the latest market developments to support CPE vendors and MNOs in their business strategy. Download the free whitepaper Seizing the 5G FWA Opportunity: Key Insights for MNOs and Equipment Vendors today for our latest findings.
