By 2030, global mobile data traffic is expected to increase eight times its current rate, according to Ericsson, a leading provider of Information and Communication Technology to service providers, making the 5G revolution an eventual need in the tech industry.
Not only will 5G serve mobile device consumers, but it will provide better service to industries across the globe. Ericsson notes there is a need for more efficient technology with the capacity for higher data rates and spectrum utilization as more and more technology advances.
“New applications such as 4K/8K video streaming, virtual and augmented reality and emerging industrial use cases will also require higher bandwidth, greater capacity, security, and lower latency. Equipped with these capabilities, 5G will bring new opportunities for people, society, and businesses.”
From 1G to 5G, mobile devices got major upgrades. Starting with 1G, mobile device users were able to make voice calls. Moving up to 2G, the era of texting along with voice calls began. By 3G, mobile devices were able to handle web browsing. 4G allowed for more video consumption and higher data speeds and 5G will serve “consumers and digitization of industries.”
Ericsson states that 5G brings a whole new game to the ballpark with drastic improvements to network connection, stability and security of the connection as well as better data speeds.
According to Ericsson, 5G will provide speeds 100 times faster than that of 4G networks, providing “instant access to services and applications.”
“The introduction of 5G will make it possible for communications service providers to improve their business in various ways,” Ericsson wrote. “Just as 4G shook up the landscape, whereby data packages became more important than voice and SMS packages, 5G brings opportunities for communications service providers to offer new services. 5G will also improve cost-efficiency. Our economic study of enhanced mobile broadband shows that evolution to 5G will enable 10 times lower cost per gigabyte than current 4G networks.”
5G not only provides faster speeds but the ability for more technological innovations not capable with the current network. Ericsson believes that this could potentially create a multi-billion-dollar market online.
“5G also presents an opportunity for operators to tap into revenue streams emerging from the digitization of industries,” Ericsson wrote. “Enabling new use cases, new services, new business models and new eco-system service providers can benefit from up to $619 billion market opportunity globally in 2026. In other words, this represents the chance to add up to 36 percent growth in revenues across this period.”
Both AT&T and Verizon have gone live with 5G across 19 cities in the U.S. The 5G cities Verizon launched were Chicago and Minneapolis. While 5G is on the verge of becoming a nationwide service, users of the networks may have to upgrade their phones and devices to experience 5G speeds to the fullest.