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Wireless routers, also known as WiFi routers, are hardwares used usually at homes and workplaces to get access to the internet/WiFi. It connects the local area network to the wide area network.
This technology has seen improvement since its inception and today provides more bandwidth than ever before and reduces the need for extensive wiring which was required in the past. It also helps several users access the internet through one point which earlier was not feasible. It allows flexibility and mobility during work which is much needed in the modern times.
In today’s world of technology, the following factors are helping the wireless router market to grow.
A few barriers to growth for this market are:
Out of the three, the most commonly used these days is Dual band. Tri band is yet to gain popularity in many parts of the world.
The different places where WiFi is used are:
Commercial applications of wireless routers are projected to grow in the forecasted period owing to the increase in commercial infrastructure, especially in developing nations. Different places such as shopping malls, hotels, restaurants, recreation places as well as offices offer Wifi services. While most of these places use an Open Wifi system, in some places a price may be charged for these services.
During the coronavirus pandemic, the household segment was the most dominant as work from home and online education model was adopted. Cisco is one such company that has taken advantage of this situation and made every move keeping in mind the needs of the customer.
The difference between the household and commercial segment is that their preferences while choosing a router are different. While for households the main factor is speed, cost of the service and quality of the service, the commercial segment looks at more factors. The commercial segment looks at security, scalability and the support that these internet routers can provide with.
The types of end users are:
The indoor market has more potential than the outdoor market due to the need for internet in every house and office, adoption of more connected devices with higher capabilities and many machine to machine applications such as video surveillance, health monitoring,etc.
The regional segmentation for the market is as follows:
North America is the most prominent market for wireless internet routers. This is mainly due to the presence of key players such as Cisco and D Link in the region and people being technologically advanced. The adoption of the concept of smart homes where all devices are connected is appealing for the consumers in North America and that’s why high speed wireless routers may be demanded to make this happen. However, most households in North America already have wireless routers due to which the growth might be limited in this region.
The Asia Pacific Region can also be expected to witness growth at a good pace due to the improvement in the technological infrastructure in the developing countries of this region. The Internet is to become more accessible and affordable for everyone. The Government is also expected to help in higher internet penetration.
The market is highly competitive and there are a few dominant players.Some of the players in the market are:
The companies are adopting different tactics to grow in the market such as acquisitions and research and development. Some noteworthy developments by the above companies in the past are –
The Institute of Electrical and Electronics Engineers set the standards for the bytes and encryption. Though it is not mandatory to comply by these standards, companies do follow these standards for a better share in the market.
The standards that have been set by them in the past are:
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