What is the future of the Global 5G Market?
5G is the fifth generation cellular mobile communications which are expected to revolutionise the society with its promises of improved end-user experience by offering new applications and services through seamless coverage, low latency, high data rate and significantly improved performance.
The 5G technology is currently under testing and in all its probability, is expected to launch in some markets in the next year. With the widespread adoption of the Internet of Things (IoT) and the 5G network, mobile operators are anticipating greater opportunities and better revenue streams. The Global 5G Market is expected to expand at a bullish rate during the forecasted period of 2019-2025.
The benefits of the 5G market might be profound but so is the requirement of the number of investments in the new technologies and networks. There are many elements of the 5G technology that can be built on the existing 4G infrastructure. This indicates operators can start with the up-gradation of the capacity of their existing 4G macro network by acquiring additional spectrum or by reframing available portion of their 2G or 3G spectrum. This evolutionary approach will enable most operators to minimize investments while the incremental revenue potential of 5G network remains uncertain.
The initial costs of 5G infrastructure improvements might be tremendous and intolerance for rate hikes have already been displayed by consumers. But there are several benefits that the 5G network is expected to provide. It will allow consumers to download data-heavy content within a few seconds. But once 5G becomes commercial users will have to change their current devices in favour of 5G enabled ones. 5G technology will further work on the increment of the use of wireless technologies across completely new sectors from industrial to commercial, healthcare, agricultural, educational and social sectors. Additionally, 5G will help make transport infrastructure smarter and more efficient.
Various challenges may act as growth constraints in the 5G market. It requires skilled engineers to install and maintain the 5G network and the 5G equipment. Moreover, the deployment of 5G networks will require additional investment to upgrade mobile communication infrastructure which is expected to be very expensive.
Since the development and launch of a 5G network are still at its nascent stage, the 5G network may have some security and privacy issues, which will take some time to get resolved.
The previous experiences with 3G and 4G technology indicate that it will be commercially challenging to deploy 5G networks in the rural areas since demands tend to be lower in the rural areas. But it is expected to be widely accepted in the urban regions which will aggravate the digital divide between the urban and the rural.
The increase in demand from several business areas, the emergence of IoT technology for 5G infrastructure and the expanding demand for mobile data services have been contributing to the growth of the global 5G infrastructure services.
5G technology is expected to be revolutionary and plays an important role in improving economic growth, creating new business opportunities and also improve consumers’ life experiences in general. The global 5G market is expected to disrupt the market with its huge potential to act like an economy booster and also by providing various ways to organize business sector as well as help in the fostering of various business models.