A View From the Top —  The In-Building Wireless Sector in Fast-Growth Mode, Challenges Remain for Workforce Development and Interference

SBC Board weighs in on the state of the in-building wireless sector

View from the top


Posted on December 19, 2023 

A busy year for the in-building wireless sector — and for us here at the Safer Buildings Coalition — is winding down. As we prepare for another year of working toward fulfilling our Mission, we decided to gauge the current and future state of our sector.

So, who better to ask than our very own SBC Board of Directors -- all of whom are seasoned, thoughtful industry leaders who are up close and personal with the latest and most important developments in technology, codes & standards, enforcement and workforce development — every day?

With that, we are pleased to present to you this end-of-year View From the Top.

Meet the Board

Here is the line-up for your distinguished SBC Board of Directors, as elected by you — our members:

Board of Directors
President: David Adams, PCTEL
Vice President: Ron Schachter, RF Solutions
Immediate Past President: Prince Niyyar, Commdex
Treasurer: Scott McClure, Alliance Corporation
Secretary: Shelley DePuy, TowerIQ
At-Large: John Thompson, Mobile Communications America (MCA)
At-Large: Josh Gerst, RF Connect

Past President’s Council
Chair: Eric Toenjes, Graybar
Dennis Burns, ADRF
Jeff Hipchen, RF Connect
Patrick Lau, Comba Telecom
Prince Niyyar, Commdex

The Questions

We invited each member of the Board to weigh in with their expert take on a series of issues of interest to SBC members and followers. These were the questions:

What is the current state of the in-building wireless sector right now? Growth rate and Market Size?

What is the current state of the in-building wireless sector right now: Hottest Geographies?

What is the current state of the in-building wireless sector right now: Emerging Geographies?

What Macro Trends (Market, Economy, Industry) do you see having impact on the in-building wireless sector in 2024 and beyond?

What are the biggest opportunities for the in-building wireless sector right now?

What are the biggest risks or challenges for the in-building wireless sector right now?

What technology innovations will impact the sector in the near term?

Read on for key takeaways, plus the complete replies for every Board member who chose to participate.

Key Takeaways

Widespread Growth
Overall, the in-building wireless sector is growing rapidly as demand continues to grow in the US and worldwide. Growth is spurred on by a combination of increased awareness and knowledge of the importance of reliable communication for First Responders and the emergence of enterprise-funded solutions as a new driver of significant growth. Deployments of Public safety systems show continued strong growth as more jurisdictions adopt requirements. 

Hot & Emerging Markets
Florida continues to be a hot market for the in-building wireless sector, but most major markets are now implementing and enforcing code, creating strong market opportunity. Hot and emerging markets include Texas, North Carolina, DC, NY/NJ, Seattle, Nashville, Atlanta and the major cities in California.

On a broader scale, developing countries with growing middle class and mobile data usage in Africa and Asia are adopting in-building wireless requirements.

Private Enterprise/Cellular Solutions
Private enterprise deploying wireless networks comprise the largest opportunity today.  It provides maximum enterprise control over the network at a low cost for spectrum use, security of device authentication, while providing the capabilities inherent in cellular networks.

Private Wireless Networks are also growing in capabilities, usefulness, and therefore demand with the continued unleashing of capabilities powered by the use of CBRS shared spectrum.

Workforce Development
Finding qualified installation manpower is becoming increasingly difficult as demand for ERCES installation projects grows. It is therefore critical that the wireless industry invests time and money in developing the future workforce. Unqualified technicians performing poor installations continues to give the industry a bad reputation and cause issues with local AHJs.

Enforcement of NICET certification for ERCES installations is key to developing qualified workforce.

Interference Issues
in areas with widespread ERCES deployments, public safety radio system owners are expressing concerns with interference caused by these systems. Poor installs, lack of code compliance, and lack of understanding of how the ERCES system can affect the public safety system all can lead to interference problems. The key, again, is improving competency through targeted workforce development.

Individual Responses (alphabetically, by name)

Read on for the complete, unedited responses to each question, by each participating Board member.

David AdamsDavid Adams
Director of Business Development
PCTEL

 

Questions & Answers

Q: What is the current state of the in-building wireless sector right now? Growth rate and Market Size?
A: With respect to the work on Public Safety radio, we have seen an increase in the number of projects being performed. This is primarily because of the growing level of knowledge in government agencies on the importance of communication for first responders.

Q: What is the current state of the in-building wireless sector right now: Hottest Geographies?
A: Our experience indicates that Florida continues to one of the most active; Texas, North Carolina, DC, Seattle and the major cities in California are all very active as well.

 Q: What is the current state of the in-building wireless sector right now: Emerging Geographies?
A: We have seen recent upticks in Georgia, Utah, Colorado, Arizona, NYC and NJ.

Q: What Macro Trends (Market, Economy, Industry) do you see having impact on the in-building wireless sector in 2024 and beyond?

A: Trends (PCTEL sees):

  • Growing problems with interference and a focus on resolving and preventing
  • Appreciation on the importance of Uplink signals in the typical LMR public safety networks
  • More commitment for code officials to work with radio system operators

Q: What are the biggest opportunities for the in-building wireless sector right now?
A: Opportunities:

  • Using projects for cellular or public safety LMR networks to open the door to a combined project.

 Q: What are the biggest risks or challenges for the in-building wireless sector right now?
A: Challenges:

  • The need for certification of people doing in-building work
  • More education in jurisdictions that are not as advanced in requiring in-building radio performance.

 

Scott McClureScott McClure 
Vice President - Sales
Alliance Corporation

 

 

Questions & Answers

Q: What is the current state of the in-building wireless sector right now? Growth rate and Market Size?
A: To provide a clear view into the in-building sector, it’s important to distinguish between Public Safety and Cellular coverage solutions. Deployments of Public safety systems show continued strong growth as more jurisdictions adopt requirements. The market size is large in that there is more re current qualified workforce can handle. During 2023, in-building cellular solution deployments slowed down due to enterprise funding limitations and the higher cost of capital. In other words, there is a strong need and thus strong interest in solutions but current economic factors hamper ‘discretionary spend’ – ie, cellular is a business decision, not a code requirement.

Q: What is the current state of the in-building wireless sector right now: Hottest Geographies?
A: The hottest markets are where code has been implemented and enforcement is underway. That is especially true in markets where legacy buildings are part of the code. Otherwise it’s a function of new construction. Wherever there is strong new commercial construction. NY/NJ, Atlanta along with the usual areas like Southern FL and the major cities in CA.

There has also been very strong interest in K-12 education, funding is the challenge so sales cycles are considerably longer unless a funding vehicle is in place.

Q: What is the current state of the in-building wireless sector right now: Emerging Geographies?
A: 2nd tier rural markets are steadily adopting code and enforcing coverage requirements. Based on the expansive geographies and terrain in many of these areas is leading to a growing number of instances of UHF/VHF coverage requirements.

Q: What Macro Trends (Market, Economy, Industry) do you see having impact on the in-building wireless sector in 2024 and beyond?
A: 

  1. Higher interest rates effect discretionary cell spending as well as new commercial construction
  2. ‘Watering down’ of current codes from property owner lobbies groups. Over-zealous code officials in some regions have mandated excessive criteria that offer little benefits but have made systems overly expensive.
  3. Continued ‘greening’ of commercial buildings including replacing windows with Low-E Glass which blocks RF signals.

 Q: What are the biggest opportunities for the in-building wireless sector right now?

A:

  • Middleprise Cellular with Part 20 products that don not require retransmission agreements – especially K- 12 schools. Reduces cost and shortens deployment time. 
  • Retroactive public safety requirements for existing structures

Q: What are the biggest risks or challenges for the in-building wireless sector right now?
A:
Risk - The overall state of the economy and investment confidence is slowing new commercial construction.

Challenge - Unqualified installers doing ‘hit and run’ installations that compromise the network jeopardizes all of us.

Q: What technology innovations will impact the sector in the near term?
A: Integration of options for private in-building networks like CBRS for security or other smart-building functions.

Products that claim the ability to ‘auto-commission’ themselves risk lulling integrators into oversimplifying the importance of understanding basic RF and the impact on networks.

 

Prince NiyyarPrince Niyyar

Chief Executive Officer
Commdex

 

Questions & Answers 

Q: What is the current state of the in-building wireless sector right now? Growth rate and Market Size?
A: The in-building wireless sector is in fast growth mode, due to the Fire Code code requirements for public safety and increasing demand for seamless connectivity. According to Modor Intelligence report, the in-building wireless sector is expected to register a CAGR of 13.2% through 2028.

Q: What is the current state of the in-building wireless sector right now: Hottest Geographies?
A: Tier II cities and mid-west seem to be the markets with the most activity. 

Q: What is the current state of the in-building wireless sector right now: Emerging Geographies?
A: Developing countries with growing middle class and mobile data usage in Africa and Asia are adopting in- building wireless requirements. In the US, the code changes in rural areas, along with poor cellular coverage seem to be the next frontier.

Q: What Macro Trends (Market, Economy, Industry) do you see having impact on the in-building wireless sector in 2024 and beyond?
A: Increasing code adoption by AHJs, mobility/bandwidth requirements, adoption of smart buildings, and private 5G networks will drive increased demand for in-building solutions to support massive data traffic and ensure seamless connectivity. Lack of spectrum could hinder growth. So adoption of unlicensed spectrum in the CBRS and MulteFire bands along with 4.9 Ghz band for public safety will give the in-building wireless market new ways to grow.

Q: What are the biggest opportunities for the in-building wireless sector right now?
A: As IoT, 5G, AI and video surveillance evolve smart buildings, emerging areas like crowd analytics, passive threat detection, integrated emergency apps, and wayfinding have large upside. Beyond buildings, there is huge potential to grow partnerships with infrastructure entities like public transit, airports, higher education, and stadiums/arenas. These are high-traffic public facilities in need of safety advances in the current environment.

Q: What are the biggest risks or challenges for the in-building wireless sector right now?
A: Interference from DAS systems hinders the ability of emergency personnel to effectively coordinate responses during critical situations, compromising overall public safety. Ensuring DAS systems are designed/installed correctly by improving the competence of DAS professionals is crucial to prevent DAS- related interference.

Q: What technology innovations will impact the sector in the near term?
A: Innovations such as AI for spectrum/interference management, Open RAN/vRAN, Dynamic spectrum sharing solutions, and integration of edge computing with 5G will enhance the performance and efficiency of in-building wireless systems.

Q: Any additional comments, or a question you'd like to answer that was not asked?
A: Improved geospatial awareness with 3D geolocation services will be critical for building safety to assist first responders in navigating complex indoor environments more efficiently, reducing response times during emergencies. Additionally, 3D GPS can be used to assist in the real-time tracking of individuals within buildings, facilitating quicker and more targeted evacuation efforts in the event of a crisis.

 

John ThompsonJohn Thompson
VP, In-Building Wireless Solutions
Mobile Communications America (MCA)

 

 

Questions & Answers

Q: What is the current state of the in-building wireless sector right now? Growth rate and Market Size?
A: Growth rate is positive and consistent in the market right now. The ERCES market is stronger than the cellular market due to a significant pull-back in wireless carrier funding for in-building projects. A shift to enterprise-funded cellular projects is starting as a result, which will require time to adopt the new model and get through funding cycles. The ERCES market is largely driven by new construction which has slowed some, but that slowness has been offset by the increased adoption and enforcement of the fire codes in more jurisdictions.

Q: What is the current state of the in-building wireless sector right now: Hottest Geographies?
A: The hottest geographies for us mirror the areas with the greatest amount of non-residential real-estate investment. Despite higher interest rates many commercial and industrial projects are moving forward, especial those around NFL cities. A few of the hot metro areas we see are Dallas / Ft Worth, DC, Nashville, and Atlanta.

Q: What is the current state of the in-building wireless sector right now: Emerging Geographies?
A: Across the board.

Q: What Macro Trends (Market, Economy, Industry) do you see having impact on the in-building wireless sector in 2024 and beyond?
A: In the ERCES market fire code adoption continues to expand which will be a primary driver for growth in the market. As stated previously this market will follow non-residential real estate capital investment levels.

The notion of Public Safety and Emergency response will continue to grow beyond the Radio Networks for First Responders and into the multi-carrier cellular providers. Land lines continue to disappear from buildings. The cell phone has become the ubiquitous communication device for nearly all people. Some critical facilities that gather sizable numbers of people in one place will need coverage for all wireless carriers. Perhaps just as importantly, those coverage systems will need to be engineered to handle the capacity of a mass calling event during an emergency. Some users have shown a propensity to live stream video during events, which places a further burden on the network. Finding technical solutions to these challenges that are cost effective and deployable in quantity will remain a challenge in the new future.

Q: What are the biggest opportunities for the in-building wireless sector right now?
A: Unfortunately, in-building wireless for LMR, ERCES and cellular is not considered early the construction cycle which leads to owners not getting the key value-added utility that wireless provides for the tenants, employees, and visitors. In-building wireless solutions are often unfunded and unplanned and as a result many times not deployed. Early planning and budgeting for these systems will reduce the construction cost and schedule impacts and enable property owners to offer the fifth utility to their customers. This needs to start with the A/E firms. 

Converged solutions have some fire code and technology challenges, but longer term they could offer significant cost savings.

The wireless carriers hold all the cards for the industry to be able to deliver neutral host solutions ecoomically to property owners. The technology exists today to provide DAS and Private Networks solutions connected to the major wireless carrier networks to provide a seamless user experience indoor and outdoor. A cost-effective solution here would unlock tens of thousands of enterprise-funded projects. Today the three major wireless carriers are not approving a single signal source solution. Some private network solutions hold some promise, but again the carriers hold all the cards.

Q: What are the biggest risks or challenges for the in-building wireless sector right now?
A: In MCA's role as a leading public safety radio system integrator in addition to a DAS integrator, we are hearing in areas where there are wide spread deployments of ERCES, the public safety radio system owners are expressing concerns with interference caused by these systems. The interference is challenging to troubleshoot and could have significant impact on the public safety operation. These problems are caused by poor installs, lack of code compliance, and lack of understanding how the ERCES system can affect the public safety system. 

Q: What technology innovations will impact the sector in the near term?
A: Private cellular networks may become a solid option for the middle-prize building market to provide in- building coverage. Current innovations with MOCN solutions enable in-building neutral host operation at a reduced price point from traditional DAS. T-Mobile and AT&T seem to be supporting the early MOCN solutions.

 Q: Any additional comments, or a question you'd like to answer that was not asked?
A: General topics:

Importance of mutual aid frequencies and Police and EMS on ERCES Kill switches/ Knox Box benefits.

Value of proper permitting processes to ensure high quality Importance of BBU care and BBU battery venting.

 

Eric ToenjesEric Toenjes
National Market Manager, Wireless Solutions
Graybar

 

 Questions & Answers

Q: What is the current state of the in-building wireless sector right now? Growth rate and Market Size?
A: We continue to see steady to strong growth in the ERCES market, with an increase in non-code enforced activity for both 1st responder radio and cellular enhancement for 911. Enterprise funded cellular enhancement is fueling significant growth. As cell carriers continue to signal that they will no longer fund DAS and small cells for enterprise facilities, those enterprises are getting the message and budgeting for cellular projects. In addition, signal sources for a DAS are no longer being provided by the carrier.

It is expected in 2024 that private wireless networks will begin to turn the corner from pilots and proof of concept to more significant deployments for those early adopters.

Q: What is the current state of the in-building wireless sector right now: Hottest Geographies?
A: For ERCES Florida continues to be a hot market, but overall we now see most major markets enforcing code so that it is a very widespread market opportunity. This is due in no small part to the efforts of SBC in educating and empowering the market.

Q: What is the current state of the in-building wireless sector right now: Emerging Geographies?
A: Texas is emerging as a hot ERCES market as all major cities are enforcing code and with a significant focus on schools since the incident at Uvalde.

Q: What Macro Trends (Market, Economy, Industry) do you see having impact on the in-building wireless sector in 2024 and beyond?
A: A trend we expect to take hold in 2024 is enforcement of NICET certification for ERCES providers. Once this gets going, the requirement will spread rapidly and the need to obtain certifications will be urgent for those wishing to participate.

The market is particularly difficult to read. Overall expectations seem to be for moderate growth but could be closer to flat.

Q: What are the biggest opportunities for the in-building wireless sector right now?
A: Private enterprise deploying all manner of wireless networks comprise the largest opportunity today. Cellular, public safety, private cellular, Wi-Fi and other specialty wireless networks are becoming very prevalent in this space and are the engine of growth going forward. Private cellular promises the greatest growth opportunity due to the numerous advantages it provides an enterprise to facilitate applications which don't function as well under more traditional means.

Q: What are the biggest risks or challenges for the in-building wireless sector right now?
A: As it is in many trades, qualified installation manpower is increasingly a significant difficulty. As projects increase and manpower decreases, the cost and timing for deploying a project will increase. It is critical that the wireless industry invest time and money in developing the future workforce.

Q: What technology innovations will impact the sector in the near term?
A: Private cellular promises to be the most disruptive force in wireless. It provides maximum enterprise control over the network at a low cost for spectrum use, security of device authentication, while providing the capabilities inherent in cellular networks. Neutral host access to carrier networks while using a private cellular network can disrupt the traditional DAS business soon while also creating opportunities to replace Wi-Fi. However, in many cases all of these networks will operate side-by-side in a complementary fashion as we seek to fulfill the insatiable appetite for wireless data.

 

Josh GerstJosh Gerst
Vice President, Engineering
RF Connect

 Questions & Answers

Q: What is the current state of the in-building wireless sector right now? Growth rate and Market Size?
A: Wireless connectivity demand continues to grow in the US and worldwide. Traffic on wireless networks continues to grow at a 30% YOY rate. This demonstrates not just demand, but dependence on wireless technology and devices from the public. The growing capabilities and applications of wireless technology for use in public safety in reporting an emergency as well as first responders in dealing with them will continue to drive the need for ubiquitous access to the wireless networks.

Q: What is the current state of the in-building wireless sector right now: Hottest & Emerging Geographies?
A: Areas that are growing and are building a lot of new construction often have LEEDS certified buildings that block most wireless signals from penetrating into the building core. This creates dead space that the public and first responder phones and radios cannot connect with wireless networks. These lead to needed in building systems.

Areas of the country which are passing local or state ordnances requiring ERCES coverage and performance in existing as well as new buildings, also create demand for those systems to be put in to address this requirement.

Q: What Macro Trends (Market, Economy, Industry) do you see having impact on the in-building wireless sector in 2024 and beyond?
A: Downturns in the market will certainly affect capital budgets and this is certainly possible in the rising interest, higher inflation environment we find ourselves in. This causes slowdowns in spend decisions certainly. The rise in ERCES requirements for all buildings in code will help drive demand in that sector. The carrier spend for these systems is somewhat down as they focus capital on building out their midband spectrum for 5G in the near term, but this also provides opportunity for upgrades to existing wireless in-building systems. Private Wireless Networks are also growing in capabilities, usefulness, and therefore demand with the continued unleashing of capabilities powered by the use of CBRS shared spectrum.

Q: What are the biggest opportunities for the in-building wireless sector right now?
A: The continued buildout of the "middleprise" small and medium sized buildings for both commercial and public safety use, private wireless deployments for many use cases, pushing public safety capabilities through both two way radio and advanced intelligence and capabilities to first responders through broadband wireless networks.

Q: What are the biggest risks or challenges for the in-building wireless sector right now?
A: New entrants into the industry who don't hire experienced engineers and managers and train and certify their people, who do a poor or even disastrous job in their designs and deployments continuing to give the industry a bad reputation as a whole and getting push back from AHJs in doing ERCES systems at all.

AHJs (for many different reasons, sometimes just misinterpreting the requirements) that require significantly more than national code proscribes for ERCES systems, which often drives the cost of these systems up to the point where the powerful building owner/manager industry lobbies government to change/delay/weaken/cancel the ERCES requirements altogether.

Q: What technology innovations will impact the sector in the near term?
A: I think FirstNet and other dedicated first responder wireless services will continue to grow and develop useful applications that will enhance both the safety and effectiveness of our public safety community. Enhancements to E911 regulations especially in the accuracy of z-axis positioning will also further enhance the capabilities of locating first responders as well as victims in buildings in the near future.