Further 16 major markets worldwide will switch on commercial 5G networks this year, following on from the first 5G launches in South Korea and the US in 2018. It is calculated that mobile operators worldwide are currently investing around $160 Bn per year (capex) on expanding and upgrading their networks, despite regulatory and competitive pressures.
As 5G network launches accelerate 5G could easily account for a 15% of global mobile industry by 2025.
All these facts and many more trends and projections are included in the he 2019 global edition of the GSMA’s flagship Mobile Economy report series, published today at MWC Barcelona 2019.
5G, key for IOT, big data and AI developments, all techs that will enhance productivity and improve everyday’s life
“The arrival of 5G forms a major part of the world’s move towards an era of Intelligent Connectivity, which alongside developments in the Internet of Things, big data and artificial intelligence, is poised to be a key driver of economic growth over the coming years,” said Mats Granryd, Director General of the GSMA. “While 5G will transform businesses and provide an array of exciting new services, mobile technology is also helping to close the connectivity gap. We will connect more than a billion new people to the mobile internet over the next few years, spurring adoption of mobile-based tools and solutions in areas such as agriculture, education and healthcare, which will improve livelihoods of people around the world.”
5G to add $2.2 trillion to global economy over next 15 years
GSMA forecast is that 5G will contribute $2.2 trillion to the global economy over the next 15 years, with key sectors such as manufacturing, utilities, and professional and financial services benefitting the most from the new technology.
The report underscores as well that technologies and services generated 4.6% of GDP globally already last year, a contribution that amounted to $3.9 trillion of economic value added. This contribution is expected to grow to $4.8 trillion (4.8% of GDP) by 2023 as countries around the globe increasingly benefit from the improvements in productivity and efficiency brought about by increased take-up of mobile services.
The mobile ecosystem also supported almost 32 million jobs in 2018 (directly and indirectly) and made a substantial contribution to the funding of the public sector, with more than $500 Bn raised through general taxation.
Some other key foretells inlcuded in the report
With the number of 5G connections expected to reach 1.4 Bn by 2025 (15% of the global total), this kind of high speed connections will represente 30% of the total in markets such as China and Europe, and around half of the total in the US.
In this context, the number of global IoT connections will triple to 25 Bn by 2025, while global IoT revenue will quadruple to $1.1 trillion.
Despite the quick rise of 5G, 4G will continue to see strong growth over this period, accounting for almost 60% of global connections by 2025 (up from 43% last year).
One billion new unique mobile subscribers have been added in the four years since 2013, bringing the total to 5.1 Bn by the end of 2018, representing about two thirds of the global population. More than 700 million new subscribers are forecast to be added over the next seven years, about a quarter of these coming from India alone.
But what’s even more important, the furure of Internet is mobile. GSMA report sees that additional 1.4 Bn people will start using the mobile Internet over the next seven years, bringing the total number of mobile internet subscribers globally to 5 Bn by 2025 (more than 60% of the population).
Image over the headline.- © GSMA.
Related external links:
2019 global edition of the GSMA’s flagship Mobile Economy report series (full report)