onebyone
SENIOR MEMBER
- Joined
- Jul 2, 2014
- Messages
- 7,550
- Reaction score
- -6
- Country
- Location
This story was delivered to BI Intelligence Apps and Platforms Briefing subscribers. To learn more and subscribe, please click here.
China’s telecoms will spend a combined 2.8 trillion yuan (US $411 billion) on building out 5G mobile networks from 2020 to 2030, according to a new 5G study from the China Academy of Information and Communications Technology.
The figures in the study, as reported by the South China Morning Post, forecast China to become the biggest 5G market by subscribers in the next decade; China’s 5G subscriber count is expected to reach 588 million by 2022, according to an estimate from equity firm Jefferies. China is currently the largest 4G market, with 843.7 million 4G subscribers as of April 2017.
Here are three key takeaways from the report:
- 5G will spur new revenue for telecom and hardware makers. By 2030, China Mobile, Unicom, and China Telecom are expected to generate 7.9 trillion yuan in combined 5G-related revenue.
- Legacy and emerging mobile services and technologies alike will see more adoption due to 5G speeds. Internet companies and application developers are expected to generate 10.7 trillion yuan in total 5G-related revenue from 2020 to 2030. 5G will power nascent tech like augmented and virtual reality (VR), connected homes, M2M communications, and large-scale operations of IoT devices.
- The 5G market is expected to have such a significant impact on the Chinese economy that it could account for 3.2% of Mainland China’s entire GDP in 2025, generate 8 million jobs, and add 2.9 trillion yuan in economic value by 2030. As demand for 5G services heightens, there will be a boom in new companies, employment opportunities, and sales of equipment.
But perhaps more importantly, China’s ambitious pursuit of pervasive 5G connectivity could help advance global efforts. While China diverted from global network norms in its 3G standard, it's now working on developing 5G standards with global compatibility in mind, according to a report from FierceWireless. 5G is expected to hit the consumer market sometime around 2020, according to the GSMA.
Peter Newman, research analyst for BI Intelligence, Business Insider's premium research service, has conducted an exclusive study with in-depth research into the field and created a detailed report on the IoT that:
- Provides a primer on the basics of the IoT ecosystem
- Offers forecasts for the IoT moving forward and highlights areas of interest in the coming years
- Looks at who is and is not adopting the IoT, and why
- Highlights drivers and challenges facing companies implementing IoT solutions