- Telecom operators are increasingly investing in fixed wireless access (FWA) infrastructure and CPE as broadband demand grows, with spending poised to remain strong through 2029.
- The rise of low Earth orbit (LEO) satellite broadband providers is seen as a competitive pressure prompting telcos to enhance terrestrial broadband offerings.
What happened: FWA investment accelerates
Telecom operators globally are redoubling efforts to deploy and expand fixed wireless access (FWA) services as competition from low Earth orbit (LEO) satellite broadband grows. According to research from Dell’Oro Group, the FWA infrastructure and consumer premises equipment (CPE) market expanded by around 10 % in 2025 and is forecast to continue robust investment through at least 2029, with annual spending expected to stay above US $10 billion.
FWA – which delivers broadband connectivity using wireless networks rather than traditional fixed lines – has gained appeal as operators seek to reach underserved areas and offer competitive alternatives to cable and DSL services. Dell’Oro’s forecasts also suggest that total FWA subscriptions could surpass 190 million globally by 2029, led by both residential and enterprise uptake.
Alongside terrestrial wireless advances, the arrival and expansion of LEO satellite broadband services – including networks operated by firms such as SpaceX’s Starlink and Eutelsat OneWeb – are putting pressure on traditional telcos to bolster their footprint. LEO constellations aim to deliver low-latency, high-speed internet from space, especially in rural and remote areas where terrestrial infrastructure is sparse.
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Why it’s important
The renewed focus on FWA reflects a strategic pivot for many operators as they contend with changing broadband economics and technology competition. FWA allows quicker roll-outs and lower upfront costs compared with fibre or cable infrastructure, making it an attractive proposition for expanding broadband coverage in both developed and emerging markets. With forecasts indicating steady growth in revenue and subscribers, FWA is increasingly viewed as a complementary broadband strategy rather than a niche offering.
At the same time, the entry of LEO broadband providers intensifies competitive dynamics. These satellite services are now capable of reaching users where terrestrial networks struggle, challenging operators to innovate or risk losing subscribers seeking reliable connectivity. This competitive interplay may spur further investment in wireless technologies, spectrum utilisation, and partnerships that blend terrestrial and satellite broadband capabilities.
Overall, the evolution of FWA alongside satellite broadband highlights a broader shift in how global connectivity is delivered – with operators balancing cost, coverage, performance, and competitive positioning in an increasingly diverse broadband ecosystem.
