Wireless LAN Access Point ASPs on the Rise, Sparked by 802.11ac
Published on: 9th Jun 2014
Note -- this news article is more than a year old.
The global wireless LAN equipment market saw its first down quarter since the end of 2012, with revenue shrinking 10.8% sequentially in 1Q14, to $1.1 billion.
The market is however up 3.3% from the same period a year ago, according to Infonetics Research.
For the full year, the WLAN equipment market grew 11% to $4.47 billion worldwide in 2013 as about as many 802.11ac access points shipped in the first quarter of 2014 as did in all of 2013 (just under 300,000).
After a multi-year decline, independent access points have finally found a bottom and are now outpacing interactive access points.
Ruckus turned in the highest growth rate among the top tier WLAN vendors, up a third year-over-year in 1Q14. WiFi phones are off to a bad start in 2014, with revenue down 15% sequentially.
"While WLAN growth slowed last quarter, pricing across all access point types rose for the first time in three quarters. This is an emerging positive sign that 802.11ac is slowly starting to change the trajectory of the market and will drive renewed revenue growth over the coming quarters," notes Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research.
Infonetics expects WLAN growth to accelerate in the coming quarters as infrastructure investments continue to favor WLAN to support more wireless devices, BYOD, and mobility, and as companies upgrade their networks to the latest technology