5G expected to reach 1bn users worldwide – what’s the opportunity for the channel?

It took only 4 years for 4G to reach 1bn users, which is the fastest technology adoption ever, quicker even than the time it took to get to 1bn social media users. 5G is expected to be even quicker. In 2012 the price of 1GB of mobile data would buy you 23 Big Macs. Today it wouldn’t buy you any.

The channel knows that the business market is very price sensitive and as usage costs reduce, so demand accelerates. However, companies are more interested in more speed than a discounted lower speed. Ethernet ARPU in the industry has not changed since 2017 despite the average circuit speed trebling.

4G (4G LTE) allows you to download Zoom in under 15 seconds or load a YouTube video in under 2 seconds. On 4G LTE-Advanced this could be achieved in 7 seconds and 1 second. On 5G downloads will happen instantly.

So, what’s the opportunity for the channel?

“5G gives MSPs more control over both their customers and margins. It is a low-risk product that is easy to sell, provision, support and bill. There are huge opportunities for MSPs to be providing 5G connectivity for smart lighting, smart bins and smart parking, as Governments across the globe invest in technologies to make their cities smarter. Security, shipping, manufacturing and retail are all sectors investing in IoT and looking for the very best cellular connectivity available with customised security features and pre-configuration. MSPs growing successful IoT revenue streams are attracting much higher company valuations.” Lee Broxson, CSO.


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