- High-tech manufacturing and the media
industry report the highest levels of disruption from emerging technologies and new entrants
- Automotive industry wants 5G to enable new
offerings such as enhanced GPS, collision avoidance and connected car
- Public safety and healthcare executives
rate 5G technology as a “game changer” for their industries important to the
strategic development of their business.
A new global report from Ericsson (NASDAQ: ERIC), “Opportunities
in 5G: The view from eight industries”, reveals the anticipated impact of
5G, the next-generation mobile technology, on specific industries. It examines how
these industries expect to apply 5G, which specific uses of the new technology
are likely to dominate in their industry, and what business reasons will drive
them to move to 5G.
The report captures the opinions of more than 650 executives globally –
including CIOs, CTOs, CMOs, and other heads of IT Infrastructure – from the
eight key industries most likely to be impacted by 5G: automotive, utilities, public
safety, high-tech manufacturing, Internet/digital natives, healthcare, financial
services, and media/gaming.
A majority of these decision-makers depend on and actively invest in
communications technology to help drive innovation. Looking ahead, 94 percent
rate next-generation mobile networks as important to the strategic development
of their business.
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.
Rima Qureshi, Head of Region North America and Chief Strategy Officer says:
“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. 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 customized 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 favored 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.
Public safety: 5G will
improve citizens’ experience, security
Public safety organizations expect 5G technology and
the Internet of Things (IoT) to help keep citizens safe while spending as few
taxpayer dollars as possible. A total of 96 percent say they are already
investing to take advantage of these technologies. They look to new networks to
expand capabilities in connected devices and for network slicing through 5G to
provide secure priority communications during an emergency.
manufacturers: Reach peak productivity with 5G
With disruption from new entrants and business
processes threatening the manufacturing industry, the majority of companies plan
to take advantage of 5G technologies to increase productivity, improve the customer
experience and introduce new products and services to consumers faster. Many
expect 5G to help manage risks through monitoring of assets and improving remote
site safety and security.
Natives: Build customer loyalty with 5G
The online stores, social networks, digital
organization 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.
Healthcare: 5G promises
to improve quality of life
A significant majority of healthcare executives
surveyed expect 5G to allow them to implement new services and products that
will improve quality of life for the public and 94 percent said they will make
significant changes to their business to take advantage of 5G networks.
Additionally, healthcare executives think that security
is just as important as performance in terms of 5G business value.
Financial Services: 5G
will enhance productivity, customer satisfaction
The financial services industry expects 5G to boost
real-time mobile trading and high frequency trading. With security top-of-mind
in the financial world, though, 84 percent of financial services executives
expressed even greater interest in 5G’s potential for powering more secure
Media and Gaming: 5G
will bring truly immersive experience
Media and gaming executives place the highest priority
on delighting their audiences and holding their attention. This includes
providing new immersive experiences – such as ultra HD 4K and virtual reality
on mobile devices – using the higher capacity delivered through 5G networks. A significant majority highlighted live personal 360
view broadcasting and fixed wireless broadband as additional developments
expected from 5G.