According to Ericsson’s report, investing in 5G will bring significant headwinds to the device and network market.
- COVID-19 may have Prevented investment in 5G in the short termHowever, it sheds light on the need for digital infrastructure in the long run.
- Both device and network 5G connectivity is prioritized as the region normalizes after the pandemic.
- Bandwidth improvements are the biggest driver of 5G adoption, as well as the introduction of new services such as artificial intelligence and virtual reality.
Despite the economic impact of COVID-19 and the looming shortage of semiconductors, 5G investment is progressing rapidly.
According to the recent Ericsson Mobility Report, service providers continue to turn on 5G, with over 160 services launching commercial 5G services. The report predicts approximately 580 million 5G subscriptions by the end of 2021. This increase is estimated, even though COVID-19 suppressed some 5G buildouts in 2020, causing a shortage of 5G-enabled chips. This is in line with the recent IoT World Today research report. 5G connectivity is a priority for survey respondents..
“After the pandemic, society plans to return to a more normal situation, so the need to secure and invest in high-quality digital infrastructure is all a key factor in economic recovery, Ericsson said. It should be on the agenda of the person. “
Bandwidth improvements are the biggest driver of 5G adoption (60% of respondents), and many expect 5G to enable the introduction of new services (51%). As a result, 72% of respondents are confident or very confident that 5G will enable artificial intelligence or artificial reality services. 67% of respondents are confident or very confident that 5G will bring the promised business benefits of the next year.
The report points out that various new 5G smartphone models are accelerating the demand for public 5G connectivity, as well as lower prices for 5G-enabled devices. On the network side, more 5G stand-alone (SA) networks are being developed that are made possible by network slicing and dual connectivity using new radios.
And of course, according to the report, the IoT device itself is an accelerator for 5G connectivity.
By the end of 2026, 44% of cellular IoT connections will be broadband IoT and 4G will connect most, according to the report.
The report states that from 2021 to 2022, more IoT infrastructure will be 5GSA. Non-Standalone (NSA) 5G is a deployment model that provides 5G services without an end-to-end 5G network. This means that the network relies on the previous generation (4G LTE) infrastructure.
“In the first half of 2021, we saw the first IoT devices with 5GSA capabilities. 5GSA-enabled modules from several vendors are already available and additional module vendors are driving the IoT ecosystem. Is expected, “said the report. “By the second half of 2021, 5G is expected to expand its reach to more IoT device types, including cameras, VR headsets and unmanned aerial vehicles (UAVs). Some of these use cases are It is expected to evolve with time-critical communications capabilities in 2022. “
However, as stated in the report, there are obstacles to adopting 5G. in particular, Semiconductor shortage It imposes restrictions on the adoption of 5G.
Wireless WAN collects steam with investment in 5G
Ericsson’s report also notes that the proliferation of IoT devices is straining network bandwidth and performance. The result is a new wireless wide area network (WWAN) that supports these multiplicative connections. In fact, according to a recent online survey of 499 IT decision makers in the United States and Canada, 40% of organizations already have branches, vehicles, and IoT devices connected over the WAN.
Second, the WAN has become wireless to accommodate the proliferation of edge IoT. WANs, which are burdened by the ever-increasing variety and speed of connected devices, require network connectivity at the edge with agility, flexibility, reliability, security, and performance. It also needs to be cost-effective and easy to manage on a large scale.
“Enter, WWAN” was reported. “Whether used as a primary or secondary link to connect fixed locations or as the sole connection for IoT devices and fleet vehicles, WAN edge 4G and 5G cellular broadband is essential for modern business operations. As mobile devices continue to proliferate at the “edge of the network” or out of the field, companies have developed WANs to support their mobile device needs.
Retailers use WWAN to deliver goods and services to their customers’ homes. Healthcare providers are using new technologies to close the gap in patient care. First responders leverage connected technology to meet the real-time information needs of the community while keeping people safe and productive. All these business activities and changing customer preferences require new forms of connectivity.
The report also found that 51% of respondents plan to deploy new services over the WAN.
Finally, according to the report, 5G is the fastest mobile communications technology ever deployed and is projected to cover about 60% of the world’s population by 2026.
Ericsson Report Finds Increased 5G Investment
Source link Ericsson Report Finds Increased 5G Investment