FWA could boost UK economy to the tune of £4bn – report

The UK Wireless Internet Service Providers Association (UKWISPA) has called on the government to consider more widespread use of fixed wireless access (FWA) to meet its Project Gigabit targets.

Nick Wood

September 9, 2024

3 Min Read

A report carried out on the lobby group's behalf by Intelligens Consulting claims that the country could reap up to £4 billion worth of economic benefits from the technology.

The figure can be broken down into £1 billion of savings from rolling out connectivity faster and more cost-effectively, and generating £3 billion from rural and remote households signing up to FWA services.

Under Project Gigabit, the government has doled out more than £1 billion from a total budget of £5 billion to extend gigabit-capable broadband to unserved areas. It's going pretty well so far – gigabit broadband coverage reached 81% in January, and is on track to hit the government's target of 85% by 2025.

However, UKWISPA's report suggests that the government has to date put too heavy an emphasis on fibre, without considering the benefits of alternative technologies, namely FWA.

Going wireless promises to extend the benefits of high-speed broadband more rapidly and cost-effectively than fixed, UKWISPA said, delivering instantaneous connectivity, especially in hard-to-reach areas.

While UKWISPA concedes that current FWA services do not deliver gigabit speeds, it argues that such is the pace of technological development that this won't necessarily always be the case.

"This report highlights the huge role of FWA alongside fibre in achieving the UK's ambitions to provide comprehensive access to gigabit broadband connectivity," said UKWISPA chairman David Burns. "Not only can roll-out be accelerated, but both urban and rural locations can get their enhanced connectivity sooner, and at less cost."

FWA is proving a hit.

Ericsson's most recent Mobility Report revealed that there are 130 million FWA connections worldwide, and that 128 telcos have launched services, up from around 100 in April 2023.

Stats coming out of Australia last month revealed that the number of FWA users has almost doubled over the past two years to 510,000 as of the end of 2023.

And just last week, Odido saw fit to launch the Netherlands' first FWA service, despite the fact that the country has one of the most extensive fibre footprints in Europe.

UKWISPA, which advocates on behalf of FWA providers, understandably wants the technology to thrive in the UK as well, and has made five policy recommendations for the government to consider.

They include ensuring that FWA is considered alongside fixed broadband tech when the government plans future market interventions, and recognising that FWA as a competitor to fibre can put downward pressure on prices for end users.

UKWISPA also wants the government to ensure fair spectrum allocation for wireless broadband providers, and consider dedicated FWA spectrum channels.

Furthermore, the lobby group has called on the government to make it easier for smaller providers to sell services to the public sector.

The full report is accessible here (PDF).

"UK infrastructure investors, the DSIT (Department for Science, Innovation and Technology), Ofcom and BDUK (Broadband Delivery UK) are all slowly realising the untapped potential that FWA has in accelerating gigabit Internet rollout, and the advantages when built alongside fibre networks," Burns said. "This report sets out key areas and policy directions that can maximise this opportunity for the UK."

About the Author

Nick Wood

Nick is a freelancer who has covered the global telecoms industry for more than 15 years. Areas of expertise include operator strategies; M&As; and emerging technologies, among others. As a freelancer, Nick has contributed news and features for many well-known industry publications. Before that, he wrote daily news and regular features as deputy editor of Total Telecom. He has a first-class honours degree in journalism from the University of Westminster.

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