Fixed wireless vs.
satellite internet
for businesses
in rural areas

Author: Shane Schick

Research suggests almost 30% of business in 2021 was conducted online. However, while many can enjoy the benefits of 5G technology for business, there remains a digital divide, particularly between urban and rural America. In 2021, just 72% of residents in rural areas said they have a broadband internet connection at home, which builds upon earlier research from Pew which found that 24% of rural Americans consider access to high-speed internet in their local community to be a major problem.

As CNET noted in a primer it published late last year on internet access options, some businesses in rural areas may need to consider fixed wireless vs. satellite services as their only available connectivity options. This is because these two options do not require cable infrastructure. Instead, both use a fixed receiver or antennae to access the web.

Satellites orbiting the earth can be used to provide internet connectivity and other services in rural areas. A satellite dish serves as an antenna, and although the speeds are typically not as fast as fiber or cable, and signals are more likely to be affected by rain attenuation, satellites can help provide the essential connectivity a rural business needs. Meanwhile, fixed wireless internet involves sending radio waves from transceivers to base stations. As the name implies, these are stationary or fixed antennae that don't move. The CNET article noted that these receivers and antennae are much smaller than a satellite dish. 

Checklist for your business

This article explores both options to help you decide what the best business internet option is for your rural business. Relevant considerations for your checklist include:

  • Location
  • Speed and usage
  • Cost
  • Quality of service

Fixed wireless vs. satellite in my area?

There are a range of free online tools—such as InMyArea.com and Bandwidth Place—that can provide general guidance on the availability of satellite and fixed wireless business internet (FWA) in your area, although it is best to reach out directly to your provider to determine specific availability.

The availability of FWA will depend in part on whether your business is within the coverage area. Your exact location will be important to the quality of service as hills, trees, buildings or other obstacles nearby can distort your connection. Line-of-sight considerations are generally less important in farming regions, where structures such as grain elevators and grain dryers may be used to host wireless equipment.

Businesses that move locations frequently, such as the construction industry, can use fixed wireless business internet delivered wirelessly through a modem that's self-installed in a site trailer. This means the connectivity can be moved with the trailer from location to location onsite (or to other construction sites entirely) without interrupting service anywhere within the coverage area.

Speed and usage requirements

Satellite internet speeds can vary between 12 megabits per second (Mbps) and 500 Mbps depending on the location and price of the plan. The average speed is more likely 10-35 Mbps. Fixed wireless internet speeds can range from 3-1000 Mbps, although the standard rate is more likely 25-50 Mbps.

Quality of service

Reduced latency and low power consumption are seen as key drivers for the growth of FWA, and these capabilities will facilitate greater use of applications such as intelligent transportation systems, industrial automation and real-time professional audio.

Business Tech Planet made a strong case for the strength of fixed wireless business internet vs. satellite due to potential congestion issues with satellite services, a greater risk of impact from weather conditions and higher latency due to how far satellite signals need to travel. Strong, consistent and reliable internet coverage will be more important for businesses constantly requiring access for cloud-based applications.

In 2021, Congress approved a $65 billion investment in broadband with the aim to "deliver reliable, affordable, high-speed internet to every household." The timeline for that result is still some time away, so many rural businesses will still need to decide between fixed wireless vs. satellite. Each decision will be unique, as each business is unique; however, location, cost, speed and usage requirements and quality of service will be important factors for all.

Learn more about how a trusted provider can help you choose the best plan for your business.

The author of this content is a paid contributor for Verizon.


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