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Market growth to slow for Wi-Fi mesh networking

October 1, 2007

Shipments of Wi-Fi mesh networking equipment will grow by more than threefold between 2006 and 2011, yet most of that growth will come between 2006 and 2008 and decline rapidly starting in 2009, reports market researcher In-Stat in Scottsdale, Ariz.

“Cities will continue to deploy municipal mesh networks, but the rate of new deployments after 2008 will slow, due to concerns over the business model,” says Daryl Schoolar, In-Stat analyst. “Growth in the enterprise (large business) market, plus the need to replace previously deployed nodes, will help offset the slowdown in shipments to new municipal networks.”

The Wi-Fi mesh networking equipment market had more than 100 percent shipment growth in 2006, and will have more than 90 percent growth in 2007, In-Stat reports. Strong growth will continue for Wi-Fi mesh access points (APs) for the next several years, as shipments grow more than threefold between 2006 and 2011.

In-Stat researchers found that manufacturer revenues will grow through 2011, but not as fast as shipments, due to expected cost-per-node declines. In addition, WiMAX and cellular will both hurt the market as these services go after the same nomadic users that public Wi-Fi networks target.

The research, “2007 Worldwide Wi-Fi Mesh Equipment Market” (#IN0703647WBB), tracks the worldwide market for Wi-Fi mesh networking and equipment. Included in this research are a five-year forecast for AP shipments and revenues and market share information for AP shipments and revenues. It also provides analysis of technology and market changes and profiles of major vendors.

For more information or to purchase this research, contact In-Stat online at www.in-stat.com.

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