$2.3 B in Revenue Signals Continued Recovery for Enterprise WLAN in 3Q 2024, According to Dell'Oro Group

Wi-Fi 7 and Recurring Revenues to Drive Growth

REDWOOD CITY, Calif., Dec. 11, 2024 /PRNewswire/ -- According to a recently published report from Dell'Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, enterprise class Wireless LAN (WLAN) revenues increased Q/Q for the second time in a row, reaching $2.3 B in 3Q 2024. The adoption of Wi-Fi 7 continued its ascent, with shipments of the latest technology growing 69 percent over 2Q 2024.

"In 3Q 2024, the worldwide WLAN market performed better than it has in a year," said Siân Morgan, Research Director at Dell'Oro Group. "This recovery has been gradual – and we are predicting that WLAN revenues will see significant Y/Y growth in 4Q 2024.

"Software license revenues expanded double digits Y/Y and much of this growth is from vendors who have transitioned to a recurring model for software fees," continued Morgan. "The adoption of Wi-Fi 7 is material and will keep growing in 2025, once all major vendors are recognizing revenues from the products that have been announced. In 2025, we expect that nearly 40 percent of manufacturers' Indoor AP revenues will come from Wi-Fi 7," continued Siân.

Additional highlights from the 3Q 2024 Wireless LAN Quarterly Report:

• The market share ranks of some vendors have been volatile following the supply constraints. Ubiquiti is taking advantage of this volatility and is expanding revenue share by targeting larger enterprises.
• Shipments of WLAN units to North America and EMEA grew on a Y/Y basis, confirming that the digestion of equipment oversupply is waning.
• Huawei remained the forerunner in Wi-Fi 7 shipments, although the company's lead is shrinking as other vendors join the race and gain momentum.
• We predict that, in 2025, new AI-Ops features for WLAN will be announced, and contribute to continued growth of recurring software revenues.

About the Reports
The Dell'Oro Group Wireless LAN Quarterly Report offers complete, in-depth coverage of the Enterprise Outdoor and Indoor markets, Wireless LAN Controllers and Licenses, with tables containing manufacturers' revenue, average selling prices, and unit shipments by the following wireless standards: 802.11be (Wi-Fi 7), 802.11ax (Wi-Fi 6 and 6E [6 GHz]), 802.11ac (Wi-Fi 5) Wave 1 vs. Wave 2, 802.11n, and historic IEEE 802.11 standards. The Enterprise market is portrayed by Public Cloud vs. Premises and Private Cloud deployments, by geographic region, as well as by ten Vertical markets. To purchase these reports, please contact us by email at [email protected].

About Dell'Oro Group
Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, security, enterprise networks, and data center infrastructure markets. Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit www.delloro.com.

SOURCE Dell'Oro Group