Point to Multipoint generally assumes there is a central base station to which remote subscriber units or customer premises equipment (CPE) (a term that was originally used in the wired telephone industry) are connected over the wireless medium.
Connections between the base station and subscriber units can be either line-of-sight or, for lower-frequency radio systems, non-line-of-sight where link budgets permit.
Various software planning tools can be used to determine feasibility of potential connections using topographic data as well as link budget simulation.
Often the point to multipoint links are installed to reduce the cost of infrastructure and increase the number of CPE's and connectivity.
Point-to-multipoint systems can be implemented in licensed, semi-licensed or unlicensed frequency bands depending on the specific application.