Market Overview
Wi-Fi 7, the latest evolution of wireless networking technology, is poised to drive significant advancements in the 802.11 chipset market. As enterprises and consumers increasingly rely on high-speed, low-latency connectivity, Wi-Fi 7 (802.11be) is set to surpass Wi-Fi 6. ABI Research forecasts that Wi-Fi 7 Access Point (AP) chipset shipments will grow at an impressive 90.8% Compound Annual Growth Rate (CAGR) between 2024 and 2029, reaching 223 million units. Capable of throughput of up to 46.6 Gigabits per Second (Gbps) and sub-10 Millisecond (ms) latencies, Wi-Fi 7 is poised to enable innovations in various sectors, from manufacturing to entertainment. Meanwhile, Wi-Fi 6E will go the way of the dinosaurs as customers requiring 6 GHz spectrum will adopt Wi-Fi 7 at a slightly higher price point. Conversely, customers that do not require 6 GHz will stick to Wi-Fi 6. Wi-Fi 6E was meant to be a stepping stone to Wi-Fi 7, so this trend is not surprising.
Wi-Fi 7 supports next-generation features like Multi-Link Operation (MLO) and advanced modulation schemes, making it suitable for demanding applications in high-density environments. While it promises to elevate performance across a wide array of use cases, the full potential of this technology is only just beginning to be realized, with new chipset innovations shaping its commercial success.
Capitalize on MLO Innovations to Maximize Wi-Fi 7 Performance
Multi-Link Operation (MLO) is one of the most eagerly anticipated features of Wi-Fi 7, enabling the aggregation of multiple smaller channels to form larger, more efficient data pipes. This capability enhances spectrum efficiency and helps improve performance in environments with high traffic, offering substantial benefits in enterprise and residential APs.
Various chipset vendors have introduced their own unique solutions to MLO, each with a different approach to improving the technology’s efficiency. Qualcomm's High-Band Simultaneous Multi-Link aggregates between the 5 GHz and 6 GHz bands to optimize bandwidth, while MediaTek's single-MAC approach delivers 50% higher throughput compared to multiple-MAC solutions. Broadcom's 3-link MLO, on the other hand, focuses on reducing latency by 50% compared to traditional 2-link systems.
For chipset vendors, leveraging MLO’s full potential can help deliver enhanced performance and greater scalability, a major differentiator in competitive markets. By offering high-efficiency MLO solutions, vendors can position themselves as leaders in the Wi-Fi 7 space, addressing critical demand from customers seeking faster, more reliable connectivity.
Unlocking the Full Potential of 6 GHz with Automated Frequency Coordination (AFC) Systems
Wi-Fi 7's access to the 6 GHz band requires Automated Frequency Coordination (AFC) systems. This will enable Standard Power 6 GHz transmissions at 36 Decibels per Milliwatt (dBm), unlocking higher-power, outdoor Wi-Fi capabilities. Without AFC, 6 GHz transmissions are limited to 30 dBm due to incumbent users. While Standard Power 6 GHz was introduced with Wi-Fi 6E in 2020, certification has been slow, with progress mainly in the United States and Canada.
Several AFC operators, including Google, CommScope's Commsearch, and Kyrio, are working to streamline access. MediaTek has partnered with Federated Wireless, a leader in spectrum management, while Broadcom supports the open-source Telecom Infra Project (TIP) Open AFC project. Qualcomm offers a proprietary AFC solution with enhanced geolocation, leveraging data from the Enhanced 911 database for accurate device coordination without the Global Positioning System (GPS). However, Qualcomm’s solution relies on neighboring devices for location accuracy, limiting its applicability in some environments.
Prepare for Wi-Fi 8 Differentiation to Stay Ahead of the Curve
The telecom industry is already looking toward Wi-Fi 8, where Multi-AP Coordination (MAPC) is expected to be a game-changing feature. MAPC is designed to improve spectrum efficiency by optimizing the selection of channels across multiple Access Points (APs).
To stay ahead in the competitive market, chipset vendors should start strategizing for Wi-Fi 8 now. By enhancing or modifying aspects of MAPC, vendors can secure an early advantage. As with Wi-Fi 7’s MLO, optimizing Wi-Fi 8’s key features will be essential for vendors to stand out. Those that act quickly will be better positioned to meet the growing demand for higher performance and more efficient Wi-Fi solutions.
Key Companies
Conclusion
To take a deeper look at this evolving space and ensure your organization aligns its products with the latest 802.11 chipset advancements, download ABI Research’s Wi-Fi Access Point Chipset Innovation report.
