Ericsson urged mobile operators to do more to educate consumers on the benefits of 5G and identify use cases that will drive adoption of compatible phones and subscriptions. An independent analysis suggests that increased availability of compatible devices, coupled with a broader post-pandemic recovery and accelerated network deployments, will help triple the number of global 5G connections to 670 million by 2021. However, Ericsson's consumer survey On 5G, which he says represents 1.300 billion smartphone users, he fears that mobile users may not share the same enthusiasm as mobile operators for the benefits of next-generation networks.
Global 5G connections
In the UK, it is believed that 5 million people could adopt 5G by 2021. But the study notes that 97% of all consumers do not have a 5G smartphone or a 5G-enabled subscription and that the number of people who plan to update it did go from 27% in 2019 to 25% today. This despite the fact that the four operators have launched their services and are developing nationwide. EE, which has the widest coverage of any 5G operator, has more than a million connections. Globally, 70% of consumers expect 5G to enable innovative services and applications, but two-thirds of those use cases have yet to be commercialized. Ericsson says operators need to better market the value of 5G services and identify innovative services that will excite more consumers, not just early adopters. However, trends among UK users who have already upgraded provide some examples of benefits that could be passed on. For example, 5G users rate indoor coverage and battery life as important as speed, a fifth use Wi-Fi less than before, and subscribers spend three more hours per week on augmented reality apps. and cloud gaming on your phone compared to 4G. users. 5G subscribers also consume two and a half times more data than 4G subscribers. All this means a stronger relationship between operator and customer. The challenge for operators is to demonstrate how the additional capacity, speed, and low latency of 5G deliver these benefits. In-game rewards are important. 5G customers value their operator more than their 4G counterparts, while UK consumers are willing to pay 7% more than the 10% premium they are willing to pay for 5G. These trends can reduce the churn rate and increase the average revenue per user (ARPU) of operators. Of course, Ericsson has a great interest in this area. As one of the world's largest manufacturers of telecommunications equipment and one of the "big three" in the radio access network (RAN) market, it stands to benefit greatly from the investments made by operators. "Until now, analyzes of 5G network experiments have mainly focused on 5G speeds and availability based on independent network metrics," said Jasmeet Singh Sethi, ConsumerLab Manager at Ericsson Research. "But it's equally important to understand how early adopters of 5G perceive this experience." A CCS Insight study indicates that 5G is about to become mainstream, estimating that 75% of all devices sold in developed markets will be compatible by mid-decade.