According to a report by Juniper Research, two emerging 5G technologies – 5G advanced and 5G reduced capacity (RedCap) – will be key for telecom operators to capitalise on the global 5G market in 2024. As per the report, operators will generate $400 billion in service revenue from 5G networks in 2024, an annual growth of 32 per cent from 2023.
However, the report anticipates that as 5G penetration rates become saturated amongst consumers, it will be imperative for operators to launch services over 5G networks that provide value to enterprise internet of things (IoT) users. 5G advanced and 5G RedCap will enable operators to provide services including extended coverage, increased network efficiency and device battery life to enterprise users.
The report predicts the benefits of 5G advanced and RedCap will be instrumental in the growth of IoT sectors, including automotive and mobile broadband. In turn, it forecasts there will be over 360 million 5G IoT devices using public networks by 2028, a substantial growth from 35 million devices in 2024. It identified fixed wireless access (FWA) as the sector to benefit most from these services, given the large amounts of traffic generated. FWA leverages cellular networks to provide Internet connectivity to other devices, often through Wi-Fi.
Commenting on the report, Sam Barker, vice president, telecom market research, Juniper Research, said, “FWA has always been positioned as a key service for 5G network monetisation, but the emergence of 5G advanced and 5G RedCap will enable operators to offer similar network conditions as fixed network service providers. Operators must leverage their existing billing relationships with consumers to promote their FWA solutions.”
