• 出版社/出版日：Mordor Intelligence / 2021年2月20日
The residential router market is estimated to grow at a CAGR of about 7.12 % over the forecast period (2021-2026). Growth in IP traffic and the transition towards the cloud for data storage are a few factors driving the market’s growth. In contrast, security and privacy concerns are inhibiting its growth rate. Moreover, with the growing smart home market, the residential routers market is bound to increase.
– A significant increase in demand for connected devices, such as smartphones, smartwatches, and tablets, is recorded. As these devices need to be connected to the internet for most of its functions, the residential routers market is bound to increase. Moreover, in smart homes, every device will require an internet connection to work properly.
– The demand for the internet among numerous households has been increasing with the growth in connected devices. According to Intel estimates, the number of connected devices is expected to grow to 50 billion by 2020. Intel also predicted that the present average of 10 connected devices per household, in 2016, is expected to grow to 50 devices by 2020.
– Also, increasing digitalization may drive the market’s growth. The digitalization concept will not be successful without the internet and connect all devices to the internet, and the router is a must. Most households are being transformed into smart homes, which require the internet to facilitate many functions. The advent of smart TV, smart speakers, such as Google Home and Amazon Echo, has boosted the router market’s growth.
– According to Ofcom’s survey, as of March 2020, 66% of respondents connected their laptops to their fixed wireless internet at home, whereas 80% connected their smartphones. Factors such as increasing disposable income, development of telecom infrastructure, the emergence of budget-centric smartphones, and an increasing number of product launches contribute to the growing adoption of the smartphone in the Asia-Pacific region.
– Additionally, the demand for Wi-Fi network equipment, such as routers and mobile hotspot dongles, has witnessed a tremendous increase in recent times, owing to professionals working from home, considering the ongoing COVID-19 pandemic. According to a report by the Economic Times, there has been a surge of over 60 % in demand for Wi-Fi routers, dongles, and new connections. As more individuals continue to shift to work from home (WFH) model and more offices are put in lockdown, to prevent the spread of the COVID -19 outbreak.
Key Market Trends
Gigabit Ethernet Account for Largest Market Share
– Gigabit Ethernet was introduced in 1999; however, it gained popularity in 2010. Since then, it is widely used around the world. With the increasing use of Wi-Fi-enabled devices and gadgets in homes, the networking need is likely to expand beyond the basic Wi-Fi router’s capacity. Moreover, with an increase in the number of gadgets, the bandwidth and traffic will increase, which, if left unaddressed, can overload the router. Gigabit routers have emerged as the most viable solution to address this problem.
– To have a gigabit Ethernet connection, both the router and the cable need to support Gigabit Ethernet. Gigabit Ethernet caps at 1 Gbps, but in actual, the speed varies from 45 to 100 Mbps. The actual speed varies because of a few factors, like the cable’s quality, the number of end devices, and the amount of traffic.
– Thereby, to further improve the in-home experience, companies such as Nokia Corporation also add low-latency technology built on its Wi-Fi portfolio’s Nokia Bell Labs innovations. Drastically enhancing residential Wi-Fi networks, the Nokia Beacon 6 provides operators with an easy to install solution that can support low -latency applications, such as gaming and gigabit speeds, essential for creating a seamless end to end 5 G experience.
– The blend of the latest Wi-Fi 6 technology, low latency performance, and in-home Wi-Fi mesh solutions linked to 5 G may allow operators to deliver a seamless communications platform for next-generation applications and solutions.
United States To Drive the Demand In North America Region
– Growing adoption of connected devices and smart home products are driving the market’s growth in the country. The increasing rate of adoption of smart homes, with 30 million US households, favors the market conditions for the residential routers.
– According to the Consumer Technology Association (CTA), smart home technology reached 69% penetration in the United States. The majority (69%) of US households now own at least one smart home device. According to the study by the CTA, this translates to 83 million households and, of those, 18% or 22 million homes, own more than one smart home product.
– Some of the prominent vendors of residential routers are present in the country, such as Google Inc. (OnHub) and Netgear Inc. In June 2020, Linksys, the connected home division within the Belkin International and Foxconn Interconnect Technology entity, announced the newest addition to its WiFi 6 product portfolio, the Linksys MAX-STREAM AX1800 Mesh WiFi 6 Router (MR7350), with whole-home mesh technology, faster speeds, and enhanced coverage.
– WiFi 6 is the latest generation of WiFi reshaping the way routers handle the growing number of connected devices in the home. With widespread adoption in newer client devices (iPhone SE, iPad Pro, Samsung Galaxy S10, etc.), WiFi 6 routers ensure future-ready solutions for consumers who want the best speeds, range, and overall performance.
The Residential Routers Market is highly fragmented due to the availability of a large number of players in mature markets such as Europe and America. Some key players in the market include Google, D link, Netgear Inc , TP-Link Technologies Co, Ltd. Some key recent developments in the market include:
– January 2020: Netgear Inc. introduced 4G LTE ORBI Tri-band mesh Wi-Fi router. Orbi 4G LTE can also be combined with the existing wired service to create an internet connection that is backed up by 4G LTE, in case of a wireline service disruption. Moreover, Netgear Armor, a cybersecurity solution, can be used with Orbi Mesh Wi-Fi Systems, to protect all internet-connected devices in the home from viruses, malware, stolen passwords, identity theft, and hacking.
– January 2019- D-Link’s announced that a new 5G NR router will come into the market by end of 2019 which will only need electricity and a SIM card and eliminate the cable. Instead of plugging D-Link’s DWR-2010 5G NR router into a prehistoric coaxial cable it will simply suck high-speed internet from the sub-6 GHz and mmWave frequencies that 5G will rely on, and distribute it amongst all the connected devices in the home using the tried-and-true local wifi network that was already designed to connect to.
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1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Overview
4.2 Industry Attractiveness – Porter’s Five Forces Analysis
4.2.1 Threat of New Entrants
4.2.2 Bargaining Power of Buyers
4.2.3 Bargaining Power of Suppliers
4.2.4 Threat of Substitutes
4.2.5 Intensity of Competitive Rivalry
4.3 Impact of COVID-19 on the Market
4.4 Market Drivers
4.4.1 Increasing Demand of Connected Devices and Proliferating Smart Homes Market
4.4.2 Growth in IP Traffic
4.5 Market Challenges
4.5.1 Increasing Threat of Security Breaches
5 MARKET SEGMENTATION
5.1 Connectivity Type
5.3.1 North America
220.127.116.11 United States
18.104.22.168 United Kingdom
22.214.171.124 Rest of Europe
5.3.3 Asia Pacific
126.96.36.199 Rest of Asia Pacific
5.3.4 Latin America
5.3.5 Middle East and Africa
6 COMPETITIVE LANDSCAPE
6.1 Company Profiles*
6.1.1 Netgear Inc.
6.1.2 D-Link Corporation
6.1.3 TP-Link Technologies Co. Ltd
6.1.4 Linksys Group
6.1.5 TRENDnet, Inc
6.1.6 Synology Inc.
6.1.7 AsusTek Computer Inc.
6.1.8 Google Inc.
6.1.9 Nokia Networks
6.1.10 Xiaomi Inc.
7 INVESTMENT ANALYSIS
8 FUTURE OF THE MARKET