The global revenue from 5G services is expected to increase to more than $600 billion by 2026 and advanced data capabilities will support its adoption in areas such as mobile gaming and immersive reality, according to a new study by Juniper Research.
According to the findings, global revenue from 5G services is projected to reach $73 billion by 2021, up 250 per cent from $20 billion in 2020.
Telecom operators would generate around 8.5 per cent of their revenue from 5G as they seek a return on heavy capital investments, the report said.
Over the next five years, however, as geographical reach and device support expand, telcos will need to prepare their networks accordingly.
In light of the rapid adoption of 5G, the global research firm recommends that telcos focus their efforts on virtualising core network functions.
It predicts that operators will struggle to meet the growing mobile data demand from 5G networks and estimates that 5G data will reach 1.5 PB worldwide by 2026, with mobile broadband providing 80 per cent of 5G data.
In order to support mobile broadband growth, the research firm recommends that operators increase network virtualisation and network orchestration, as well as accelerate the deployment of fibre backhaul infrastructure.
