A new report by the International Data Corporation (IDC) suggests that the Wi-Fi industry is in for a rollercoaster ride, with a surge in demand projected for 2024. The report reveals that while there was an 8.6 percent growth in Wi-Fi-enabled product shipments in 2021, there was a decline in 2022, the first in Wi-Fi's decades-long history. This decline was attributed to the pandemic-driven market changes that caused a decrease in smartphone and PC shipments. The data showed that Wi-Fi product shipments fell by 4.9 percent in 2022 to 3.8 billion products.

The report forecasts that the Wi-Fi market will remain relatively flat in 2023, with shipments of just 3.9 billion products. However, in 2024, IDC predicts a 6.4 percent growth to 4.1 billion products. The report also suggests that two-thirds of shipments in 2023 will be Wi-Fi 6 or Wi-Fi 6E, which will continue to expand into more IoT devices as more Wi-Fi 6 chipsets targeting IoT devices hit the market.

IDC's Research Director of Connectivity and Smartphone Semiconductors, Phil Solis, stated that while the decline in Wi-Fi shipments in 2022 was unprecedented, growth is on the horizon. This will be driven by more Wi-Fi 6 and 6E devices coming into play, Wi-Fi 7 chips ramping up in higher-end devices and access points, and more discrete Wi-Fi solutions in primary client devices and other product types.

The report highlights that eight Wi-Fi-enabled product types will ship over 100 million units in 2023 and will increase to 11 product types in 2027. Primary client devices such as smartphones, media tablets, and PCs are still key drivers of shipments, accounting for around 40 percent of Wi-Fi shipments in 2023. However, primary client devices' recent share loss is due to the flattening of that market coupled with the growth of IoT or endpoint devices with Wi-Fi. IDC predicts that IoT will surpass all primary client devices in 2027, reaching 37 percent of shipments in 2022 and surpassing 40 percent in 2027.

IDC's report, Worldwide Wi-Fi Technology Forecast, 2023-2027, covers the shipments of Wi-Fi-enabled products from 2005 to 2027. The data is segmented into 11 markets, over 50 product categories, and a few hundred product types. It is also segmented into primary clients, IoT/endpoints, heavy and light edge infrastructure, networking infrastructure, and storage mechanisms. Finally, everything is segmented by Wi-Fi protocols up to Wi-Fi 7.

In conclusion, while the Wi-Fi industry experienced a decline in shipments in 2022, it is expected to bounce back with a surge in demand projected for 2024. With more Wi-Fi 6 and 6E devices coming into play and Wi-Fi 7 chips ramping up in higher-end devices and access points, the future of the Wi-Fi industry looks promising.