Thursday, November 21, 2024
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Wi-Fi Chipset Market Projected to Grow 12% year-over-year in 2025

The Wi-Fi chipset market is on the verge of significant growth. Its revenue is expected to increase by 12% year-over-year (YoY) in 2025, according to Counterpoint Research’s latest projections. 

The research group says the shift toward high-speed internet, driven by the surge in e-commerce, web browsing and mobile learning, is raising the demand for advanced connectivity. With the integration of nanometer chip technology, Wi-Fi manufacturers are readying faster, more efficient solutions to meet these new needs.

Wi-Fi standards race: Wi-Fi 5 vs Wi-Fi 6/6E/7

Counterpoint says Wi-Fi 5 is set to retain its dominance in 2024 with a projected 56% market share, but the rapid rise of Wi-Fi 6, 6E and Wi-Fi 7 standards signals a transformative change. In 2024, Wi-Fi 6, 6E and 7 will collectively capture 29% of the market, which is expected to increase to 43% by 2025. This transition mirrors the substantial shift from Wi-Fi 4 to Wi-Fi 5 and reflects the need for faster, more robust internet across multiple devices.

Broadcom leads the Wi-Fi 6/6E and Wi-Fi 7 market with a projected 24% share in 2024, followed by Qualcomm at 19% and MediaTek at 13%. Broadcom expects Wi-Fi 6/6E to constitute half of its Wi-Fi revenue this year, which is expected to rise to 80% by 2025, driven by platform migrations and upgrades like those expected with the iPhone 16, according to Counterpoint. 

Besides, Qualcomm’s FastConnect 7800 chipset is setting the stage for significant growth, with Wi-Fi 6E and 7 expected to make up 70% of its Wi-Fi sales by 2025, the research group adds. MediaTek’s Wi-Fi 7 Filogic 380/880 chipsets are also in demand, with sales from Wi-Fi 6 and 7 chipsets projected to reach 58% of its total Wi-Fi revenue in 2024 and 88% in 2025. Partnerships with brands like ZTE, TP-Link and Asus underscore MediaTek’s market strength.

The Road Ahead for Wi-Fi 7

Despite its early stages, Counterpoint says Wi-Fi 7 is set for broader adoption by late 2025 as infrastructure and technology support catch up. Besides, the need for Wi-Fi 7’s enhanced capabilities will increase with AI gradually becoming a core component in PCs and flagship smartphones, pushing the demand for ultra-fast connections, notes the research group. 

Counterpoint says the adoption of Wi-Fi 7 is likely to surpass that of previous Wi-Fi generations, underscoring its critical role in next-generation connectivity for a wide range of applications, from edge AI to AR/VR and IoT.

Dennis Sellers
the authorDennis Sellers
Dennis Sellers is the editor/publisher of Apple World Today. He’s been an “Apple journalist” since 1995 (starting with the first big Apple news site, MacCentral). He loves to read, run, play sports, and watch movies.