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Global subscriptions to 5G services will increase significantly more than expected

SUBSCRIPTIONS for services in the new generation 5G mobile networks will grow much stronger in 2020 than expected thanks to the accelerated expansion of technology in China, Swedish equipment manufacturer Ericsson estimated on Tuesday.

By the end of the year, the number of global subscriptions to services in 5G networks will reach 190 million, they calculated at Ericsson, almost doubling the previous estimate that they should have reached 100 million.

The main reason is the accelerated development of 5G technology in Northeast Asia, Ericsson said, highlighting the construction of a network that should cover much of China, and the improvement of infrastructure in South Korea and the introduction of commercial 5G services in Japan. “By the end of 2020, the number of subscriptions in the region should approach 170 million,” the semi-annual Mobility Report states.

In other parts of the world, the introduction of 5G technology has been delayed

In other parts of the world, the introduction of new services has been delayed due to the coronavirus pandemic.

“In Europe, for example, several auctions of parts of the radio frequency spectrum have been postponed, so slower growth in 5G subscriptions is expected in the short term.”

Forecasts of 5G subscriptions in North America in 2020 and 2021 have been slightly raised, and those on the number of subscriptions in that region and in North America in 2025 have been confirmed.

In total, in the world in 2025, the number of subscriptions to services in 5G networks should reach 2.8 billion, or about 30 percent of total subscriptions to mobile services, according to Ericsson.

In November last year, they expected 2.6 billion subscriptions, which would correspond to about 29 percent of total subscriptions.

“Despite the uncertainty caused by the pandemic, service providers have continued preparations for the transition to 5G and in the meantime, more than 75 per cent of them have announced the introduction of commercial 5G services,” Ericsson notes.

4G technology will dominate mobile services by 2025, they point out, predicting 5.1 billion subscriptions in 2022 and 4.4 billion in 2025. The new technology (5G) will still carry almost half of mobile data traffic in 2025, they estimate.

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