5G technology seen as a game changer

Next generation 5G mobile technology is being hailed as an “innovation engine” and “game changer” by executives in key industries, according to a new study.

The Ericsson report, Opportunities in 5G: The view from eight industries, which captures the opinions of more than 650 executives globally, found the vast majority of respondents (94 per cent) rate next-generation mobile networks as important to the strategic development of their business.

The automotive, utilities, public safety, high-tech manufacturing, internet/digital natives, healthcare, financial services and media/gaming are the eight industries covered by the study.

Responding to disruption from emerging technologies -- such as M2M communications, broadband connectivity, cloud service, and mobile -- is a key driving force behind business innovation within the respondents’ companies and industries. “A large majority indicated they intend to make significant changes to their businesses in order to take advantage of 5G when it arrives,” Ericsson said.

For instance, the automotive industry wants 5G to enable new offerings such as enhanced GPS, collision avoidance and connected car technology while public safety and healthcare executives rate 5G technology as a “game changer”, important to their industries’ strategic development.

Meanwhile, high-tech manufacturing and the media industry report the highest levels of disruption from emerging technologies and new entrants.

“Emerging technologies, such as the Internet of Things, are becoming integral parts of our economy and lifestyle, and this is driving major change across industries,” said Rima Qureshi, head of region North America and chief strategy officer at Ericsson.

“5G will accelerate this transformation and create new uses, new revenue streams, and new business models for industries and consumers alike. With 5G, industries will have connectivity that is customised for their requirements and the agility to move quickly to meet customer needs and be innovative.”

Highlights from the report include:

Automotive: cars will rely on high-performance, secure networks

Increased performance, increased security and device-to-device communications are expected to be the areas where 5G provides real business value. The connected car is the major trend in the auto industry, and while many are looking ahead to self-driving systems, enhanced GPS with instant traffic and map updates is the most favoured use for 5G globally.

Utilities: 5G will help cut costs, secure facilities

Increased productivity, faster introduction of new products and services to consumers, and boosted efficiency are key business drivers for utility companies to adopt 5G. Remote monitoring and maintenance through sensors is seen as the top benefit as many utilities look to protect valuable assets located in distant and sometimes hazardous locations.

Internet/digital Natives: build customer loyalty with 5G

The online stores, social networks, digital organisation and collaboration tools, and travel and ride-sharing services included in this category seek out cutting-edge technology to help them stay relevant, attract new customers, and build brand loyalty. A total of 96 percent confirm they are investing to take advantage of 5G, and that an enhanced customer experience is the leading expected benefit.