5G 3 years = 4G 5 years, Operators Have Achieved Success after the 1st Round of 5G Deployment
PR99635
BARCELONA, Spain, Feb. 28, 2023 /PRNewswire=KYODO JBN/ --
Huawei has convened the 5G Business Success Summit at this year's Mobile World
Congress (MWC). Peng Song, President of Huawei's ICT Strategy & Marketing,
delivered a keynote speech titled "Diverse Paths to 5G Monetization,
Accelerating 5G Business Success". In his speech, he noted that the
achievements made by 5G in its first three years are equivalent to those that
4G made in its first five years, and that leading operators are already
celebrating the success of the first round of 5G development, which has
instilled a sense of certainty and confidence in the industry. 5G will thus
sustain this success if its value can be further unleashed in ToC, ToH, and ToB
sectors.
During his speech, Mr. Peng noted that the global user penetration rate of 5G
in its first three years amounts to that of 4G in its first five years.
Operators reporting over 20% 5G user penetration during the first round of
deployment have seen significant growth in mobile revenue. In the meantime,
devices, content, experience, and business models are diversifying as more
operators and partners embrace 5G. This is evidence of a market shift from
risk-based to revenue-based decision-making for even more assurance of business
success. Huawei found that fast migration of 5G users and traffic is the key:
if an operator migrated 30% of traffic to 5G eMBB in three years, it would take
less than four years to see ROI. This duration would be even shorter if the
operator also deployed FWA and ToB services.
ToC: Differentiating Experience Is A New Paradigm of Network Monetization
5G networks use powerful capabilities to provide differentiated experience for
different users. For example, operators can provide guaranteed downlink bit
rates for VIP users and a good experience for uplink services. Operators in
China have already begun to explore this new paradigm.
ToH: 5G FWA Is a Real Quick-Win Home Broadband Service with Fiber-Like
Experience
By the end of 2022, 95 operators had commercially launched 5G FWA services for
more than 10 million home users. With its fast deployment, good experience, low
cost, and high energy efficiency, 5G FWA sunsets old copper lines in developed
markets and enables home broadband access in emerging markets. Operators in
Europe, the Middle East, and Africa have reported outstanding results.
ToB: 5G Private Networks Are Key to Exploring the Enterprise Digital Blue Ocean
Mr. Peng believes that operators can set up extensive service connections with
enterprises through 5G private networks, creating a market space for enterprise
digital transformation that is three to ten times larger than the market for
private networks themselves. This will also drive the sales of cloud, data
center, F5G, and other value-added services. The current 5G ToB private network
market outside China is developing rapidly. In 2022 alone, the total number of
networks built doubled. This future potential is even bigger.
Mr. Peng concluded his speech by adding that 5G is not just about economic
value to operators, but also huge social value. Huawei calls on global
operators and industry partners to join its GUIDE business blueprint and
further unleash the potential of 5G networks from "5Good to 5Great".
Data support: According to the latest GSMA and GSA statistics, by December
2022, more than 240 5G networks had been put into commercial use worldwide,
over 1,700 different types of 5G terminals had been released, and the number of
5G users had exceeded 1 billion. In addition, the ARPU of the world's top 20
operators had increased by 10%, which is 1% higher than the global baseline.
MWC Barcelona 2023 runs from February 27 to March 2 in Barcelona, Spain. Huawei
showcases its products and solutions at stand 1H50 in Fira Gran Via Hall 1.
Together with global operators, industry professionals, and opinion leaders, we
dive into topics such as 5G business success, 5.5G opportunities, green
development, digital transformation, and our vision of using the GUIDE business
blueprint to lay the foundation for 5.5G and build on the success of 5G for
even greater prosperity. For more information, please visit:
https://carrier.huawei.com/en/events/mwc2023.
SOURCE: Huawei
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Caption: Mr. Peng giving a keynote speech at the Business Success Summit for MWC 2023
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