Wi-Fi Chipset Market Size & Share, by Standard (IEEE 802.11ay, IEEE 802.11ad, IEEE 802.11ax, IEEE 802.11ac, IEEE 802.11n, IEEE 802.11b/G), MIMO Configuration, Band, Application (Smartphone, Tablet, Desktop PC, Laptop, Connected Home Devices), Regional Forecast, Industry Players, Growth Statistics Report 2024-2032

Market Outlook:

Wi-Fi Chipset Market size exceeded USD 21.2 Billion in 2023 and is poised to reach USD 31.5 Billion by 2032, growing at over 4.3% CAGR between 2024 and 2032. Demand for dependable and quick wireless connectivity was increasing as a result of the widespread use of smartphones, laptops, smart home appliances, Internet of Things (IoT) devices, and other connected devices, which also increased demand for WiFi chipsets.

The need for WiFi chipsets in a variety of applications, including smart appliances, wearable technology, industrial automation, medical devices, and more, has surged as a result of the IoT sector's expansion. The need for inexpensive WiFi-capable devices grew as internet access became more widespread in developing nations, which fueled the expansion of the WiFi chipset industry. More effective, potent, and affordable solutions were being produced as a result of ongoing improvements in the design of WiFi chipsets and semiconductor fabrication techniques.

• Base Year Value (2023): USD 21.2 Billion
• CAGR (2024-2032): 4.3%
• Forecast Year Value (2032): USD 31.5 Billion
• Historical Data Period: 2019-2023
• Largest Region: North America
• Forecast Period: 2024-2032

Market Dynamics:

Growth Drivers & Opportunities:

Increasing adoption of smart home devices

Demand for WiFi-enabled gadgets and the underlying chipsets was growing as more people moved towards linked and automated homes. Smart speakers, thermostats, security cameras, door locks, lighting controls, appliances, and a host of other items are included in the category of "smart home devices." WiFi connectivity is required for these devices to communicate with one another and with user interfaces like tablets and smartphones. Demand for smart home gadgets has been spurred by consumer interest in home automation and the convenience of controlling many aspects of their homes remotely or through voice commands. The market for WiFi-capable chipsets is directly impacted by this. Prices of devices and related WiFi chipsets have been steadily falling as the smart home market has matured, making them more affordable for a wider spectrum of users.

Increasing adoption of public hotspots in developing nations

In public locations including cafes, airports, train stations, and urban centres, public hotspots offer consumers wireless internet access. These hotspots significantly contribute to closing the digital divide, expanding internet access, and boosting the market for WiFi chipsets. Tourism hotspots and commercial areas are frequent in developing countries, and they both benefit from free WiFi. These hotspots are essential for communication, online research, and other activities for vacationers and business travellers. People who do not have regular connectivity at home can use public hotspots to get online. The ability to access online services, employment prospects, and educational materials is essential for enhancing digital inclusion.

Report Scope

Report Coverage	Details
Segments Covered	Type, Band, MIMO Configuration, Application
Regions Covered	• North America (United States, Canada, Mexico)   • Europe (Germany, United Kingdom, France, Italy, Spain, Rest of Europe)   Asia Pacific (China, Japan, South Korea, Singapore, India, Australia, Rest of APAC)   • Latin America (Argentina, Brazil, Rest of South America)   • Middle East & Africa (GCC, South Africa, Rest of MEA)
Company Profiled	Quantenna Communications Inc., Peraso Technologies Inc, QUALCOMM, Mediatek, BROADCOM, Cypress Semiconductor Corporation, Intel Corporation, Marvell Technology Group Ltd. Inc, Texas Instruments, Samsung Electronics Co. Ltd, STMicroelectronics N.V., and Others

 

Industry Restraints & Challenges

Data privacy risks in WiFi chipset to hamper the market growth

Unauthorised people may try to intercept sensitive data being sent between devices and access points by intercepting WiFi signals. Data breaches and unauthorised access to private or sensitive information may result from this. Users who connect to unprotected public WiFi networks run the risk of being subjected to a variety of dangers since these networks lack encryption and authentication features. Attackers can perform Man-in-the-Middle (MitM) attacks or create malicious hotspots to intercept data. To protect data transfer via WiFi networks, WPA2 or WPA3 encryption techniques are used. Data can still be susceptible to decryption by attackers, though, if shoddy protocols or weak encryption keys are utilised.

Regional Forecast:

North American Market

North America Wi-Fi chipset market size crossed USD 4.73 billion in 2023. The market for WiFi chipsets in North America, which includes the United States and Canada, is established and fiercely competitive. The expansion of the WiFi chipset market has been driven by the need for WiFi-enabled devices, which range from smartphones and laptops to smart home appliances and IoT gadgets.  The area has been a leader in implementing new WiFi protocols, with WiFi 6 (802.11ax) finding favour with both consumers and businesses. The WiFi infrastructure and equipment have been upgraded in response to the demand for faster speeds, more coverage, and better performance. Businesses, establishments, and open areas are widely spread throughout North America and provide WiFi connectivity to personnel, clients, and guests. Due to this, high user density WiFi access points and chipsets are in high demand.

Asia Pacific Market

Asia Pacific is witnessing the fastest market growth between 2024 to 2033. Due to its vast population, growing urbanisation, and expanding middle class, the Asia Pacific region has been a significant driver of the worldwide WiFi chipset industry. The market for WiFi chipsets has grown as a result of consumer demand for smartphones, laptops, smart home appliances, and IoT gadgets. A mobile-first economy, where a sizeable part of internet access is via mobile devices, is characteristic of several countries in the Asia Pacific area. As a result, there is a considerable demand for WiFi-capable hardware. Greater urban population density caused by urbanisation in nations like China and India has increased the demand for dependable, fast WiFi access in highly populated areas. APAC is home to both developing and advanced technological centres.

Segmentation Analysis:

Insights by Type

The IEEE 802.11ax segment accounted for the largest market share over the forecast period 2024 to 2033. Orthogonal Frequency Division Multiple Access (OFDMA) for more effective data transmission and Basic Service Set (BSS) Colouring to lessen interference in congested areas are only two of the technical improvements WiFi 6 provides over its predecessors. Since WiFi 6 theoretical data rates are higher than those of earlier standards, it is appropriate for online gaming and other high-speed connectivity-dependent activities. IoT deployments and enterprise networks may be impacted by WiFi 6. It is appropriate for enterprises and IoT applications since it offers a more reliable and effective connectivity for a variety of devices. The market for WiFi 6 chipsets is expanding as more WiFi 6-compatible products, such as smart home appliances, laptops, tablets, and smartphones, are being used.

Insights by Band

The Wi-Fi chipsets market value from Dual segment will be over USD 28.75 billion by 2033. These dual-band chipsets provide the benefit of increased performance, less interference, and device interoperability. Devices can function on both the 2.4 GHz and 5 GHz bands when using dual-band chipsets. This adaptability lessens interference from other networks and other electrical equipment that may be using the same frequency. Only the 2.4 GHz spectrum is supported by many older devices. Such devices can connect even in contexts where newer gadgets primarily use the 5 GHz band due to dual-band networks. The need for dual-band chipsets is driven by the expanding use of dual-band routers and access points as well as the availability of dual-band smartphones, laptops, and other consumer electronics. Consumer and business settings both make use of dual-band technology.

Insights by MIMO Configuration

The SU-MIMO segment is expected to reach USD 575 million by the end of 2033. The deployment of SU-MIMO is still being driven by the demand for quicker connectivity and larger data rates. The need for fast WiFi connections is still high as customers continue to engage in data-intensive activities like streaming 4K videos, playing online games, and working from home. One of the main drivers of SU-MIMO's expansion is the rise in the proportion of WiFi-capable devices per household or user. SU-MIMO can assist in meeting the demands of various devices for high-speed connections on an individual basis. The demand for effective and dependable WiFi connections is driven by the expansion of the smart home ecosystem, which includes smart speakers, security cameras, thermostats, and other devices. The performance of certain devices within this environment can be improved via SU-MIMO. Tablets and smartphones are still essential in people's lives.

Insights by Application

The connected home devices segment is projected to achieve over 5.5% CAGR between 2024 to 2033. Consumers are adopting a growing number of smart devices for security, energy management, entertainment, and convenience as the idea of smart homes has gained significant support.  The connected home devices market covers a wide range of goods, including voice assistants, security cameras, smart appliances, smart thermostats, smart lighting, smart door locks, and more. To connect to a home network and the internet, the majority of these connected home gadgets employ WiFi connectivity. A seamless connection between devices and the central administration platform is made possible by WiFi chipsets. Customers are drawn to connected home gadgets because of its ease and improved functions. The need for WiFi-capable products that can be included into smart home ecosystems is thus on the rise.

Competitive Landscape:

Major players in the market

• Quantenna Communications Inc.
• Peraso Technologies Inc
• QUALCOMM
• Mediatek
• BROADCOM
• Cypress Semiconductor Corporation
• Intel Corporation
• Marvell Technology Group Ltd. Inc
• Texas Instruments
• Samsung Electronics Co. Ltd
• STMicroelectronics N.V.
• Others

Recent Industry Developments

• In December 2021, Renesas Electronics acquired Israeli Wi-Fi chipset company Celeno Communications.