Ericsson raises 5G expectations
2 min readSwedish telecom giant Ericsson says global 5G subscriptions are expected to reach 220 million by the end of this year, revised up from its June forecast of 190 million.
Ms Allen says about 60% of the world population will have access to 5G by 2026.
According to the latest Ericsson Mobility Report, issued in November, total mobile data traffic worldwide is expected to reach 226 exabytes (EB) per month in 2026, up from its previous forecast of 164EB per month in June.
The steady growth in data traffic is being driven by 5G connectivity, and due to irreversible changes in the ways that people live and work representing a big leap forward in the journey toward digitalisation, the report indicates.
In Southeast Asia and Oceania, total mobile data traffic is expected to reach 32EB per month in 2026, which is equivalent to 33 gigabytes per month per smartphone. During the period 2020-26, it is projected to increase with a compound annual growth rate (CAGR) of 33%.
Growth in mobile data consumption has translated into more diversified and generous data plans from mobile operators across different geographies, the report says.
The report points out that 1 billion people, or 15% of the world population, are expected to have access to 5G coverage globally by the end of this year. In Southeast Asia and Oceania, the number could surpass 380 million by 2026, representing 32% of all mobile subscriptions.
Nadine Allen, head of Ericsson Thailand, said the pandemic has put a big strain on people this year and has led to irreversible changes in the way people live and work. At the same time, cellular networks have become a critical infrastructure in supporting digitalisation in people’s daily lives, she said.
She said about 60% of the world population is expected to have access to 5G coverage in the next six years. By that time, 5G subscriptions are forecast to reach 3.5 billion. This is estimated to account for over half of the global mobile data traffic at that point in time.
In Southeast Asia and Oceania, 5G is expected to be the second most popular telecom technology by 2026, just behind 4G.
Thailand was the first country within Asean to roll out 5G. Ms Allen said people in the country have started to experience some of the benefits of 5G.
Manufacturing, auto, as well as energy and utilities are the key sectors that will benefit the most from the roll-out of 5G, she said.
Vietnam and Malaysia are among the countries where 5G spectrum auctions will be held in 2021 with the ultra-fast internet service expected to be rolled out later next year.
According to the report, the success of 5G will not be based solely on coverage or the number of subscribers. The report suggests the value will also be determined by the ways 5G is used in the future as well as applications related to 5G.
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