The future of the wireless WAN is bright, according to a recent IDG report commissioned by Cradlepoint.

4G LTE or 5G is being used or under consideration as the primary WAN link for 78% of businesses surveyed, and 91% plan to adopt cellular connectivity in some capacity in the near future. IDG surveyed 499 IT decision makers in manufacturing, financial services, health care, and construction across the U.S., Canada, and the United Kingdom.

Cradlepoint has a vested interest in the future of cellular WAN. The company this year has rolled out two SD-WAN appliances with integrated LTE and support for 5G networks and announced a partnership with AT&T.

The State of the Wireless WAN

Of those surveyed, 39% are using LTE as their only WAN link, and the same percentage is using cellular connectivity for failover or to augment existing wired links.

"Wireless isn't only useful for adding bandwidth and boosting reliability; it offers an opportunity to change how and where businesses interact with their customers," IDG wrote in the report.

Digital signage, IoT, and connected vehicles remain LTE's strongest use cases, according to the report.

Looking to the future, respondents ranked the ability to deploy new services as the No. 1 factor driving LTE and 5G adoption.

5G Benefits to Bolster Wireless WAN Adoption

The perceived benefits of 5G, namely lower latency and higher throughput, will speed the adoption of cellular as a primary WAN link, especially for IoT and connected vehicles, according to IDG.

"5G will create fiber-fast networks for business and enable new application and use cases that will allow further innovation," the report claims.

Of those surveyed, 60% cited bandwidth as the top driver for 5G adoption, while 51% expect 5G to enable the introduction of new services.

An overwhelming majority of survey respondents (91%) said they plan to use LTE or 5G in some capacity in the near future.

"5G is expected to explode over the next three years and clearly enthusiasm is high, as nearly half of respondents plan to deploy 5G links in existing locations when it becomes an option," the report reads.

High Costs, Security Concerns Hamper Wireless WAN Adoption

However, the high cost per megabit transmitted by cellular networks compared to broadband and uncertainty over security remain barriers to adoption for many enterprises, according to the report.

"Cost is a concern when comes to branch connectivity as [IT decision makers] say they struggle most with the high cost of WAN," the report concludes.

Many carriers have started to realize this demand and have begun offering flat-rate pricing and no-overage data plans, according to IDG.

Additionally, IDG notes that wireless WAN has the potential to simplify deployments and lower operational overhead for highly-distributed enterprises.

"Cellular networks often save organizations money when it comes to vendor relationships, as most can contract with one or two nationwide carriers instead of dozens or even hundreds of regionally-based wired [internet service providers]," the report states.

Security also remains a major concern, with 39% of those surveyed describing it as a top issue.

However, IDG explained that "while security is top of mind, it is important to note that with a cellular network, users can use an access point name, which is a private cellular network provided by a carrier."