5G is quickly growing in importance on a global scale as one of the fastest wireless technologies ever created. In APAC, where delays caused by the COVID-19 pandemic left 4G as the network for communications, the shift to 5G has now picked up and is quickly moving along in many Southeast Asian countries.
According to the latest findings by research firm Frost & Sullivan, the region's overall 5G market growth is being strengthened by multi-access edge computing (MEC) and new emerging technological innovations.
The analysis, “APAC 5G Total Market Growth Opportunities,” uncovered that APAC’s 5G revenue is expected to grow at a CAGR of 62.2 percent - jumping from $2.13B in 2020 to $23.89B in 2025. Of these areas, China, South Korea, and Japan are projected to have the most significant growth in 5G revenue over the next 5 years.
It’s important to note that while 5G is developing rapidly in the area, there is still 4G being used so finding a technology mix that allows for incorporation with Multi-access Edge Computing (MEC) and private networks to meet IT and company specific connectivity needs, is critical.
"The new dimensions of 5G are triggering the development of new services and technology monetization. Most local governments in APAC support domestic 5G deployments because they help drive economic growth. Mobile operators look to 5G to drive new revenue streams beyond connectivity and help them regain competitiveness against fixed broadband providers," said Mei Lee Quah, Director, ICT at Frost & Sullivan.
The move to 5G is being accelerated by things like artificial intelligence (AI), cloud computing, and robotics - which all require strong connectivity and are expanding monetization potential for mobile operators.
While there are growing opportunities emerging for mobile operators there is also a lot of change and growth still needed in the region. In order to maximize the benefits that 5G network growth will bring, there needs to be a greater focus on adapting to meet customer needs, on offering solutions specifically designed for enterprises and on providing mission critical offerings.
"5G is emerging at a time when customer experience is a key performance metric and a primary challenge for mobile operators. Customer experience needs to meet the rising expectations of 'always connected' consumers while also improving profit margins," Quah advised.
"By 2025, 5G will attract approximately 70%–80% of APAC's investments in mobile networks."
Interested in hearing more about 5G and its global potential? Join other technologists and business leaders at 5G Expo June 21-24 in Fort Lauderdale, Fla. to learn about applications, use cases, and the competitive landscape as we embark on this new and exciting shift in fixed and mobile communications.
Edited by
Maurice Nagle
