by Jacob Wolinski. Excerpts of article posted at: https://www.valuewalk.com/2020/03/5g-tech-market/
It is evident that 3G and 4G network mobile phones have been an immense driver in the steep surge of internet use on mobile phones, across the world, and the continuing growth of the network.
The next generation of a telecom network is 5G, which operates at higher radio frequencies. This also offers the chance for much quicker internet speeds: –
In this table, it clearly claims the uprising about 5G is that it will change the world. This is because the capability and capacity of the 5G technology have the tendency to transform existing technologies in incredible ways.
Various Studies on 5G Technology:
Here is the list of various studies over 5G technology that came up when the revolution was going to happen. They are as follows:
Impact on Various Industries:
5G will employ an enormous influence mainly in the automotive, healthcare, and IoT sectors in the near future, and will dramatically change lives. 5G technology will, however, take time to have an analogous effect on other industries.
5G will Generate New Revenue Streams:
It has been observed that the 5G network has the possibility to unlock up to $12.3 trillion of revenue, crosswise a broad range of telecom industries.
5G Technology Will Create New Growth and Jobs:
It is predictable that by the year 2035, the output from the global value chain of 5G (network operators) will be superior to what the entire mobile value chain is at present. In terms of contribution to global GDP, research predicts that contribution of 5G between the years of 2020 and 2035 will equal the size of India’s economy in recent times and will also see 5G supporting 22 million jobs globally.
5G will Drive Innovation of New Genres of Products and Services
5G technology has the potential to give rise to new industries, along with having an impact on existing businesses in terms of the products and services. Research indicates positive outlooks on 5G’s technology towards ensuring security and reliability.
In fact, while 5G evolves into a more tangible network, there will be much happening depending on investments that are being made in 5G infrastructure, related applications, products as well as services.
In the new term, a broad agreement is that initial deployments of 5G will be driven by enhanced mobile broadband (eMBB). However, eMBB alone will not be able to create substantial revenue from 5G for network operators. Yet, past migrations from one generation of mobile technology to the next invariably meant consumers might pay almost similar amounts while data speeds increased, and call-data payments grew due to falling unit network cost.
For wide-spread and transformative impact along with tangible business benefits, the 5th generation of wireless network technologies will need to expand its scope. Thus, the possibilities of 5G technology are immense in the coming years.
Features of 5G Technology:
In the essential aspect, 5G technology caters to a lot of possibilities to explore new ways to manage networks. In this, a term referred to as network slicing comes up, which empowers a single physical network that supports many virtual networks with assorted performance and features. Picking an instance, one network slice can deliver high-speed mobile broadband on the same infrastructure, above which another slice might result in lower consumption of network over the speed of the connection, which is in 5G.
In fact, 5G technology also makes it possible to use the same infrastructure in offering various services to different users and industry-sectors. After seeing such tremendous outcome, it is evident that 5G technology will, therefore, open lucrative scopes for more new business models in the future than the current environment where network providers offer the same services, yet the only variation is in regards to pricing and the bill plans.
Enhancements for Future Mobile Broadband:
The established reliable 5G technology continues to work on multiple fronts to improve its performance and efficiency further, counting improved coverage, capacity, potential, mobility, power, and more. These enhancements will further benefit not only core mobile broadband services and smartphone connectivity, but also the prolonged use cases that 5G NR is bringing with Release 16 and more.
Another critical area of research is continued towards advancements in multiple antenna MIMO technology. There has been a proper working on enhancements that can deliver more optimized downlink and uplink massive MIMO operations, along with reduced signaling, lower latency, and expanded support for multiple transmission points.
Besides, there has also been a proper focusing on further reduction of device power consumption with features like enhanced C-DRX, which is known as connected mode discontinuous reception and 2-step RACH (simplified random-access procedure). With this, improving mobility is another core research area for multi-network access systems with enhancements for minimizing network interruptions, thus allowing for quicker activation of proper connection, and supporting more seamless dual connectivity.
2020 – Is the Year of Real 5G?
At present, 5G is leading in the telecom industry. A lot of operators all over the world are preparing or already commercially launching new services for the customers to connect to next-generation mobile networks with 5G technology.
Most of the early deployments in 5G technology are based on especially RAT (Radio Access Technology) upgrades, that uses the existing frequency spectrum and legacy core network. This results in delivering a fraction of the technology’s potential. Though 5G expectations were set very high where the data rates grew up to 1 Gb/s downlink, the end-users often get surprised when they experience better improvement in comparison to existing 4G technology.
Upgrades of these core networks, which include edge computing, virtualization (VNF and SDN technologies), and network slicing, will let them forming new platforms for 5G tech market growth. While some mobile operators in the line are still analyzing potential deployment strategies, and others are already advanced in upgrading their infrastructure of networks using 5G.
In the case of point, Verizon introduced CAPEX efficiencies since implementing its Intelligent Edge Network with unified transport and the single network core. It has completed 60% of a unified framework for various networks by Q4 20191. Another major market player in the US telecom industry, AT&T, in collaboration with Microsoft’s Azure Cloud, has virtualized 75% of its primary network functions with software by the end of the year, consenting them to cut $1.5 billion in costs in the year 2020.
Potential of 5G Technology:
The potential use of 5G technology has been subjected to the assumption for moderately some time. It is supposed that 5G has the potential to change many industries and can take further in smart cities, autonomous vehicles, smart industry 4.0, and more. It is a great thanks to the new features and enhancements found in 5G technology in the present year, where mobile operators can potentially see more returns on their significant investments. The improvements in mobile broadband that includes power consumption can thus allow device vendors to produce cheaper handsets, thereby raising the number of users and helping mobile operators spend less on device subsidies.
The Expanding 5G Tech Market Snapshot:
As per a study conducted by Market Research Future, the global level market of 5G technology is expanding year by year. The real growth period is detected to be between 2020 to 2025, in which the 5G tech market will be developing more than present at a compound annual growth rate of 70.83%. Even the market can achieve a valuation of USD 700 Bn by 2025-end, by examining massive opportunities knocking the door in the present time.
The final report of the 5G tech market is picked from https://www.marketresearchfuture.com/reports/5g-technology-market-2988.
The market, as per the study, is gaining a quick mileage. A developing solution to the network, along with cost-effective and feasible options, is making the market vulnerable to attain more worth than before in the future. When looking at regional prospects, North America is becoming the ruler and is at the forefront in the adoption of 5G technology at a rapid pace. This region is commanding more than two-thirds of the global market share. The reasons depicting such a rise in the 5G tech market here is attributed to the swelling popularity of consumer electronic devices with applications that depend on a high-speed network. Thus, the statistics presented that North America’s regional market is expected to exhibit a CAGR of 71.0% throughout the growth period.
Followed by North America, the Asia-Pacific region is also likely to emerge as the second-largest market for 5G technology by the year 2025. The region shows the potential of reaching a valuation of USD 17.55 at 74.60% CAGR.