GlobalData, Telecom News, ET Telecom


NEW DELHI: Telecom operators in Asia and the US will lead in terms of deployment of 5G networks by 2020, while Europe as a region will lag behind, according to research and consulting firm GlobalData.

2020 is the year when the new 5G technology will become mainstream globally. Some pre-standard 5G network trials are being conducted in 2017 worldwide, with a few standardized, commercial services set to commence in 2018 and many more operators launching during the following two years.

The report said that telecom perators globally are currently seeking to make the most of 4G technology.

In India, for instance, telecom operators like Bharti Airtel and BSNL have already inked agreements with Nokia to define a path for the 5G migration. Gear vendors like Huawei and Ericsson are also involved with Indian telecom operators around 5G technology, and expect standard 5G trials to begin by 2018 second half.

Mukesh Ambani-led Reliance Jio has already said that its all-IP network is 5G ready. The green-field 4G telco is working with Samsung for 4G deployments in India.

GlobalData’s report forecasts that over half of all mobile subscriptions will be 5G-capable in South Korea by 2022, compared with only around 7% in Europe.

Upin Dattani, Senior Manager – Europe for GlobalData Technology, said, “Some mobile markets, such as South Korea and Japan, are well-suited to 5G, with widespread fiber availability, small cell deployments, advanced 4G networks and supportive regulators. In Europe, operators are keen to obtain a good return on the substantial capital expenditure made in 3G and 4G investments. While European operators see benefits from more reliable and responsive next generation networks, technological progress will likely be at a more measured pace.”

The report said that 5G will, for the first time, go beyond increased bandwidth and capacity, as was the focus in previous wireless generations, adding low latency, high density and high reliability. These capabilities will enable a variety of use cases, opening the door to new, predominantly business-focused services such as self-driving cars and smart cities.

5G also supports the focus that many operators have in looking for new, adjacent revenue streams, including fixed-mobile integration, digital content and the Internet of Things.

“Hopes are running high for the potential of 5G to truly transform mobile business models, and tap new revenue opportunities moving beyond consumers and into diverse digital industries. The implications go beyond any individual operator to impact national and regional competitiveness. Despite this, for all the efforts to fast-track early 5G deployments, it’s important to recognize that 5G rollouts will take years to complete; no region or country has won or lost the race to 5G yet,” Peter Jarich, Chief Analyst for GlobalData Technology said.

(ETTelecom is organising The 5G Congress on November 24 in New Delhi. Stay tuned for more.)

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