A new study has revealed how growth opportunities through enhanced connectivity across the Asia-Pacific region are being driven by 5G telecommunications technology.
Analysis of the research, conducted by Frost & Sullivan, identifies the unique ability 5G holds to help enterprises deliver next-generation customer experiences through enhanced reliability, low latency and optimized power consumption will help mobile operators generate significant growth opportunities.
As 5G is gradually launched across the region and backed by government initiatives, market revenues are expected to grow from $2.13 billion in 2020 to $13.90 billion in 2025 at a compound annual growth rate of 45.5%.
Quah Mei Lee, Associate Director, ICT Research at Frost & Sullivan, said:
“The enterprise and manufacturing sectors will heavily influence the success of 5G in Asia-Pacific. Mobile operators and the industry need to focus on promising and viable use cases to scale and tap into the enterprise segment. Unlike 4G, 5G is not exclusive to mobile operators.
“Rapidly evolving customer preferences also will accelerate 5G adoption as the technology can encourage innovation, leading to new business models with better prospects.”
“New concepts, such as private 5G networks, network slicing, and the B2B2X business models show the promise of 5G and will drive growth of 5G solutions in APAC. With enabling technologies in place, industries will have a greater capability to innovate, giving rise to new business models that were not possible before,” Quah added.
In an increasingly digitalized environment, 5G mobile operators can find substantial growth opportunities by:
- Understanding customer requirements and building network capabilities and solutions to address them.
- Forging industry partnerships to design and implement viable business and pricing models as well as develop end-to-end solutions.
- Obtaining government buy-in to establish supportive investment ecosystems, including skilled human resources, adequate infrastructure, and favourable policies.
- Ensuring platforms and operations can support rapid and large-scale changes in the partner ecosystem.
- Developing shared capabilities with vertical industries through application programming interfaces.