In 2021, the wireless router market earned a whopping value of USD 10572.2 million, and it is further expected to grow up to USD 17084.9 million in the next five years. COVID-19 has forced many individuals to work from home, which has pushed people to opt for homework to support the remote world.
IT products, in general, have seen a rise in demand with individuals, players and businesses securing their IT products in COVID-19. The wireless routers are particularly seeing a spike because the routers are regularly updated to improve the transmission capabilities and maximum speed. The standard sets of the routers constantly change, which creates a scope of better products in the product. The world is getting digitised, and instead of securing a mediocre internet speed, people seek higher internet connectivity.
Further, the introduction of fancy gadgets requires internet connectivity for different functions. Such high demand may cause wireless traffic to jump, and a smart wireless router becomes indispensable. The priority features are different in the business sector, and parameters like security, support, and WAN redundancy take the forefront. North America had the highest share of the wireless router market in 2020 and the highest growth rate in the wireless router market is observed in the Asia Pacific.
Market Segmentation Analysis of Wireless Routers
The analysis of the market segment of wireless routers can be done by considering gate following parameters:
Wireless Router Market Segmentation based on Technology: On the basis of technology, the wireless router market can be categorised as:
The majority of the share is covered by 802.11g routers which allow data to be transferred at a speed of 56 MBPS and supports the working of multiple devices without compromising the speed.
Wireless Router Market Segmentation based on End-Use: Broad the end-users of wireless routers can be divided into two broad categories: residential and commercial. Currently, a higher proportion of the market consists of commercial users.
Wireless Router Market Segmentation based on Geography: The major geographical areas that actively uses wireless routers are:
Out of the three regions, North America holds the highest market share of wireless routers.
Key Market Trends of Wireless Routers
There has been a growth in the connected device and along with it, the internet demand has increased too. The higher the number of working individuals in a household, the greater the need for a more incredible broadband speed. Also, many homes are currently turning into smart homes that require the internet to facilitate gadgets like Google Home, smart TV, Amazon Echo, and even smart speakers. Additionally, schools are turning up to support e-learning and a considerable shift in usage is noticed. The professional set-up already has a strong base of wireless network, and it is expected that the residential sector will soon pick up the requirement of the wireless routers.
Major Players of Wireless Router
The top 5 key players of the wireless routers are:
ASUSTeK Computer Inc.
Huawei Technologies Co. Limited
The wireless router market is dominated mostly by the above five players and without these market players, the market becomes highly competitive with local players.
The key features and support provided by all the major players with respect to the routers are mostly similar. For instance, the data transfer rate is high and most of the routers provided by these key players support a wide variety of wireless types with numerous ports. Another key similarity is that it is easy to easily change the standard routers’ configuration as they share standard procedures. For example, most of the router’s have their configuration address either set to 192.168.0.1 or 192.168.1.1. For configuring an Asus router, the user has to type 192.168.1.1 on the web browser and almost all the D-Link routers have their configuration address set to 192.168.0.1.
COVID-19 has acted as a major market driver for the wireless router market for the past two years by increasing the demand for wireless routers tremendously. With a projection of $1260.0 million in 2028, it would be interesting to see what new features and technologies will be introduced in the wireless routers to make them more functional.