Wireless Gigabit (WiGig) is another name given to WLAN standard 802.1 ad, a wireless transmission technology utilizing mmWaves for data communication. WiGig uses channels from 57 to 71 GHz for data transmission, enabling multi-gigabit data transfer rates up to 7 Gbps. The technology is designed to complement existing Wi-Fi networks, offering faster short-range connections with low latency. The market growth can be attributed to increased investments in high speed internet and increased adoption of augmented reality (AR) and virtual reality (VR) devices. Figure 1 shows the latest MarketsandMarkets global wireless gigabit market revenue forecast between 2024 and 2029. Note: the numbers have been rounded off for representation purposes..

Figure 1

Fig. 1 Global wireless gigabit market.(Source: Press releases, investor presentations, expert interviews and MarketsandMarkets analysis.)



MarketsandMarkets estimates that the wireless gigabit market will reach $66.9 million in 2024. Revenue in this market is projected to grow to an estimated $138.8 million by 2029 at a compound annual growth rate (CAGR) of 15.7 percent during the forecast period. The rising deployment of 5G networks and increasing investments in vehicle-to-everything (V2X) communication is expected to create lucrative market opportunities for players ahead.

WIGIG MARKET OVERVIEW IN JAPAN

The WiGig market in Japan is set for steady growth, driven by a broad digital transformation strategy. The country benefits from densely populated cities, widespread internet usage and advanced telecom infrastructure. The ongoing digitization efforts, access to nearby power plants and strong electricity grids enhance the country’s position as a future data hub between the U.S. and the Asia-Pacific region. Political stability, legal protections and sustainability goals, such as carbon neutrality by 2050, add to the appeal of this region. Additionally, government support for digitization in regional cities and partnerships with local firms further fuel expansion in this sector.

The growing demand for cloud infrastructure is a major driver of Japan’s WiGig market. As Japanese businesses and government agencies increasingly rely on cloud-based solutions for data storage, processing and software applications, there is a greater demand for high speed, dependable wireless connectivity to support these cloud environments. For instance, Oracle Japan announced in April 2024 that it will invest more than $8 billion over the next 10 years to accommodate Japan’s growing demand for cloud computing infrastructure.

This investment will help Oracle Cloud Infrastructure (OCI) build its operations in Japan. WiGig technology, which will provide multi-gigabit wireless rates and minimal latency, is critical for ensuring the performance and efficiency of cloud-based operations. The adoption of WiGig in Japan is further supported by the country’s robust digital infrastructure and government initiatives to promote digital transformation across all industries, ensuring Japan remains competitive in the global market. Japan’s space sector has transformed from primarily government-led to more inclusive of private firms and telecom operators are well-positioned to make substantial contributions.

The Japanese government is accelerating its “Digital Garden City Nation” policy vision as online data usage grows. The initiatives include significant investments and legislative reforms. Some of these investments and reforms include deploying a faster 5G mobile network, laying more underwater cables and expanding fiber-optic links to Japanese households, all with the end goal of boosting economic growth.

PROMINENT END USERS OF THE WIGIG MARKET

Telecom: The surge in data traffic and increasing demand for high speed connectivity are pivotal drivers for the telecom sector’s WiGig market. As consumer and enterprise demands for high-definition video streaming, cloud computing and real-time data processing continue to grow, telecom providers are adopting the latest technologies to upgrade their networks to handle higher data loads efficiently. According to the latest Ericsson Mobile Data Traffic Outlook,1 total global mobile network data traffic will grow to an estimated 466 EB per month by the end of 2029 and mobile data traffic is forecast to grow with a CAGR of around 20 percent through 2029. WiGig technology, with its capability to offer multi-gigabit speeds and low latency connections, addresses these demands by enhancing the capacity and efficiency of wireless networks. For instance, WiGig enables seamless video streaming and high speed data transfers, which is crucial for supporting the proliferation of 4K/8K content and bandwidth-intensive applications. It also enables faster data rates in dense urban environments, improving overall network performance.

Consumer Electronics: The rising adoption of smart gadgets drives the WiGig opportunity in the consumer electronics sector. According to Ericsson’s 2024 mobility research,1 worldwide smartphone subscriptions reached 6.93 billion in 2023 and are predicted to reach 8.1 billion by 2029, expanding at a 3 percent CAGR. As consumers seek faster, more reliable wireless connectivity for their smart gadgets, WiGig technology is becoming a critical enabler. WiGig’s capacity to provide multi-gigabit data transfer speeds while maintaining low latency is essential for improving the performance of bandwidth-intensive applications often employed on smart devices. These include 4K and 8K video streaming, AR/VR and cloud gaming, all requiring reliable and fast wireless access.

Automotive: The  automotive market increasingly integrates WiGig technology due to the growing demand for high speed, low latency communication within vehicles. WiGig, with data rates up to 7 Gbps, is crucial for enhancing in-car entertainment systems, enabling seamless streaming and supporting advanced driver assistance systems (ADAS) and Vehicle-to-everything (V2X) communication, both of which are integral to the global push for autonomous driving and smart cities. Additionally, WiGig enhances manufacturing efficiency in automotive production by enabling faster wireless communication in automated systems, positioning it as a key technology in the evolving automotive landscape.

The WiGig module opportunity is expanding rapidly due to rising demand for adaptable, high performance wireless connectivity across various devices and applications. Modules offer a versatile and cost-effective way to incorporate WiGig technology into various goods, from consumer electronics such as smartphones and laptops to industrial and enterprise equipment. As manufacturers strive to supply faster, more reliable wireless capabilities, the modular approach facilitates integration and customization, resulting in faster time-to-market and scalability. Figure 2 shows the latest MarketsandMarkets segmentation of WiGig revenue by form factor in 2024 and 2029 and it shows that the module segment will account for the highest share of the global WiGig revenue during the forecast period.

Figure 2

Fig. 2 WiGig revenue by form factor. (Source: Press releases, investor presentations, expert interviews and MarketsandMarkets analysis.)


Wireless gigabit products are segmented into two categories: display devices and network infrastructure. While the number of WiGig-enabled display devices will grow to large numbers, the revenue associated with these devices will be only a fraction of the total device market since enabling the device for WiGig capabilities will mean incorporating a chipset into the display device. Network infrastructure devices are further segmented into routers, adapters, backhaul stations and docking stations that use 60 GHz WiGig technology to improve high speed wireless communication considerably. The increasing number of WiGig-enabled devices drives the WiGig market by meeting the rising need for high speed, low latency wireless networks, thus enhancing user experiences across consumer electronics and automotive applications. Figure 3 shows MarketsandMarkets’ latest revenue forecast for product segmentation and network infrastructure products will present the dominant revenue opportunities.

Figure 3

Fig. 3 WiGig revenue by product. (Source: Press releases, investor presentations, expert interviews and MarketsandMarkets analysis.)


The wireless gigabit market primarily uses IEEE 802.11ad and IEEE 802.11ay protocols. The opportunity for WiGig devices using the 802.11ad protocol is growing rapidly due to the ability of the standard to deliver high speed wireless connections with data rates up to 7 Gbps. This makes this protocol ideal for bandwidth-intensive applications like 4K/8K video streaming, AR/VR and large file transfers.

The 802.11ay protocol uses include next-generation wireless backhaul. This allows for high speed connections between base stations and access points in densely populated locations, providing fixed wireless access. It also serves as an alternative to fiber-optic connections in rural areas. The increased range of the protocol makes it ideal for industrial automation and IoT applications requiring dependable, high speed wireless connectivity over wide regions. Figure 4 shows the latest MarketsandMarkets forecast for WiGig revenue by protocol. From the forecasts, the 802.11ad protocol will not only be the largest source of WiGig revenue but also grow faster than the 802.11ay protocol.

Figure 4

Fig. 4 WiGig revenue by protocol. (Source: Press releases, investor presentations, expert interviews and MarketsandMarkets analysis.)


WiGig operates in what is colloquially called the “60 GHz band.” This unlicensed band currently covers 57 to 71 GHz frequencies and is divided into six channels. Figure 5 shows the latest MarketsandMarkets forecast for WiGig revenue in the various 60 GHz bands. The WiGig opportunity in the 57 to 59 GHz channel is currently the largest and it will experience significant growth due to its optimal balance of high data rates and regulatory availability across multiple regions. This frequency range is widely supported for short-range, high-capacity wireless communication, making it ideal for high-definition video streaming, wireless docking and rapid data transfer. The 57 to 59 GHz channel offers minimal interference with other wireless technologies, ensuring stable and reliable connections in crowded environments, such as urban areas and enterprise settings. The “Others” designation in Figure 5 includes channels in the 65 to 71 GHz frequency range.

Figure 5

Fig. 5 WiGig revenue by band. (Source: Press releases, investor presentations, expert interviews and MarketsandMarkets Analysis.)


Recent developments in the wireless gigabit market highlight the growing importance of the telecom sector. Telecom operators are beginning to integrate WiGig technology into their infrastructure to improve network performance and meet the demands of high speed applications. For example, companies like Qualcomm have introduced advanced WiGig-enabled devices that boost network capacity by integrating with 5G networks for fixed wireless access (FWA) and backhaul infrastructure applications. Figure 6 shows MarketsandMarkets’ estimate of how WiGig revenue segments by industry sector. The telecom sector is currently the largest segment and MarketsandMarkets expects this segment will show the fastest growth over the forecast period. The “Other end users” category in Figure 6 includes education and government users.

Figure 6

Fig. 6 WiGig revenue by industry segment. (Source: Press releases, investor presentations, expert interviews and MarketsandMarkets analysis.)


FUTURE OUTLOOK

WiGig technology is gaining popularity because it provides ultra-fast speeds, low latency and high-capacity wireless communication. This makes it perfect for data-intensive applications like 4K streaming and AR/VR. The popularity of WiGig will grow with the evolution of 5G, IoT and immersive technologies. Future developments will increase the range and energy efficiency, broadening the ability of the technology to provide value in telecommunications, automotive and consumer electronics applications. Table 1 includes the sizes and compound annual growth rates of some of the adjacent markets.

TABLE 1

References

  1. “5G to account for around 75 percent of mobile data traffic in 2029,” Ericsson, Web: www.ericsson.com/en/reports-and-papers/mobility-report/dataforecasts/mobile-traffic-forecast.
  2. “Mobile and Wireless Backhaul Market by Component, Equipment, Network Technology, and Region-Global Forecast to 2026,” MarketsandMarkets, Web: www.marketsandmarkets.com/ Market-Reports/mobile-wireless-backhaul-market-1034.html.
  3. “5G Fixed Wireless Access Market Size, Share, Statistics and Industry Growth Analysis Report By Offering, Operating Frequency, Demography, Application and Region-Size, Share, Statistics and Industry Growth Analysis Report,” MarketsandMarkets, Web: www.marketsandmarkets.com/Market-Reports/5g-fixed-wireless-access-market-41266711.html.
  4. “5G Chipset Market Size, Share and Industry Growth Analysis Report by Type, Frequency, Process Node, End-use and Region-Global Growth Driver and Industry Forecast to 2028,” MarketsandMarkets, Web: www.marketsandmarkets.com/Market-Reports/5g-chipset-market-150390562.html.
  5. “Wi-Fi Chipset Market by IEEE Standard, End-use application, Band, MIMO configuration, Vertical and Geography,” MarketsandMarkets, Web: www.marketsandmarkets.com/Market-Reports/wifichipset-market-42186393.html.
  6. “Wireless Connectivity Market Size, Share, Statistics and Industry Growth Analysis by Connectivity, End-use and Region-Global Forecast to 2027,” MarketsandMarkets, Web: www.marketsandmarkets.com/Market-Reports/wireless-connectivity-market-192605963.html.