5G Technology Market Report

Organizations and businesses need robust and ultra-low latency networks to support data-intensive activities like live broadcasting, real-time analytics, and industrial automation. With a simplified, all-in-one solution for network deployment, management, and teardown to reduce operational complexity and costs it can be deployed quickly and efficiently for temporary, high-demand applications. For instance, in October 2024, T-Mobile introduced 5G On Demand, a portable, complete solution for deploying private 5G networks that includes setup, teardown, and management. Commercially available by the end of 2024, it supports industries like media, entertainment, and oil and gas. 5G On Demand powered high-profile events like the PGA Championship, enabling ultra-low latency, high-quality video with minimal equipment, and overcoming traditional network limitations.

As demand for faster and more reliable mobile networks is growing, consumers and businesses need high-performance 5G networks that support data-heavy applications like IoT, and cloud services. Led market players to launch solutions that reduce capital expenditure and streamline network operations while improving efficiency. For instance, in November 2024, Viettel introduced the RAN 5G network in collaboration with Qualcomm using Qualcomm’s 5G RAN platforms. The network is live in Hanoi and Ha Nam, with over 300 sites planned by Q1 2025. The RAN 5G network integrates Qualcomm’s X100 and QRU100 platforms, enhancing the efficiency and performance of service all over Vietnam. These improvements allow providers to offer more competitive pricing, better quality of service, and a more robust network experience, which can be a selling point for attracting new customers.

One of the challenging factors in adopting 5G technology is the high initial investment in infrastructure deployment. For many telecom operators, particularly in emerging markets, this financial issue can be an issue, which could impede its growth and widespread adoption. Another significant factor is regulatory and spectrum allocation issues. Moreover, concerns related to security and privacy continue to loom large, making them easy targets for cyberattacks. The complexity of ensuring robust security protocols in such a vast network could deter businesses from adopting the technology. Additionally, the limited availability of compatible devices and applications could slow consumer and business adoption.

In rural and remote areas, the challenge of providing cost-effective 5G coverage due to geographical and infrastructure limitations also represents a significant constraint. Further, public perception and fear surrounding potential health risks from increased electromagnetic radiation exposure may influence 5G adoption, as some segments of the population remain skeptical about the long-term effects of 5G technology.

Industries across sectors, from public safety to transportation, are increasingly seeking solutions that can deliver real-time insights to optimize operations. The demand for these capabilities is increasing collaborations to offer solutions by providing real-time data that optimizes emergency services, tracks environmental changes, and enhances resource allocation, which is crucial for consumers and businesses that rely on efficient city management. For instance, in February 2024, Tiami Networks partnered with Intel to revolutionize 5G technology by developing PolyEdge, combining AI, 5G, and radar capabilities on edge devices. The collaboration leverages Intel’s FPGA AI framework and Tiami’s machine-learning algorithms to enhance public safety, environmental monitoring, and smart city initiatives. This innovation promises real-time data analysis for efficient resource allocation and improved emergency responses.

However, sectors such as healthcare, automotive, manufacturing, and retail are growing rapidly and increasingly rely on advanced technologies like IoT, AR/VR, and AI, there is a strong need for high-speed, low-latency networks to support these innovations.  Due to this market players are increasing collaborations to address the key needs in the 5G technology by enhancing developer access to network services, and driving innovations to support digital transformation across multiple industries. For instance, in February 2024, Verizon announced a collaboration with Vonage to develop advanced 5G network APIs for developers by integrating Verizon’s network services into Vonage’s platform. To provide enhanced customer engagement, foster innovation, and drive digital transformation.

Furthermore, the increasing demand for reliable and high-speed mobile services in rural communities, where access to fast internet is limited and often lacks adequate broadband, impacts education, healthcare, business operations, and economic growth. Government organizations are providing 5G Funds, meeting this demand by subsidizing service providers to deploy 5G infrastructure in these areas. For instance, in September 2024, The FCC's 5G Fund Order allocates up to US$ 9 billion to expand 5G services to over 14 million rural homes and businesses, prioritizing underserved areas and encouraging innovation. The FCC’s funding creates investment opportunities for infrastructure providers, who can play a key role in building the 5G network. Companies involved in network construction, antenna deployment, and backhaul infrastructure can benefit from contracts to expand network reach.

North America leads the 5G technology market driven by robust technological advancements and significant investments from major telecommunication companies such as Verizon, AT&T, and T-Mobile. The increasing adoption of IoT devices in various industries like healthcare and automotive due to high-speed internet and low-latency uses further contributes to the expansion of 5G technology. Moreover, regulatory support from government organizations for innovations such as the FCC, facilitates the rapid expansion of 5G infrastructure is boosts market growth. Moreover, the region's technological presence, including the majority of key players in software, hardware, and semiconductor industries, positions it as a leader in the 5G market.

Europe region is witnessing significant growth in the deployment of 5G networks in nations like the UK, Germany, France, and Sweden are progressing well in their 5G adoption. The adoption of 5G technology is largely driven by investments from telecom providers like Deutsche Telekom, Vodafone, and Orange. Furthermore, the European Union is also playing a crucial role in shaping the 5G landscape by launching the 5G Action Plan to ensure the swift rollout of 5G technology across member states with its wide-ranging applications across consumer, industrial, and commercial sectors. The 5G market is set to transform multiple industries by enabling next-generation technologies and improving operational efficiencies across sectors.

The Asia-Pacific region is a major player in the 5G technology market both in terms of deployment and adoption due to the presence of major telecom operators, advanced technological infrastructure, and government-backed initiatives to accelerate 5G rollout. Additionally, the region’s large-scale manufacturing industries are advancing from low-latency applications and automation enabled by 5G due to increasing mobile internet penetration and IoT devices. Nations like   China, South Korea, and India have made significant strides, becoming the largest market for 5G in terms of subscribers and infrastructure and actively promoting 5G as part of their national growth with state-owned telecom operators. 

Latin America is in the early stages of 5G adoption, driven by the increasing demand for high-speed connectivity and the adoption of next-generation technologies across sectors like healthcare and automotive. Further, the presence of telecom operators like Vivo, Mexico telecom América Móvil (Telmex), and other regional players are deploying 5G in major urban centers in Brazil and Mexico is making strides in network developments through investments in 5G trials and spectrum auctions. The government is also conducting 5G spectrum auctions, and the growing demand for mobile broadband and IoT solutions, especially in industries like agriculture, transportation, and energy, further fuelling market growth.

Furthermore, the Middle East & Africa region is an emerging market for 5G adoption with growing adoption of high-speed mobile services in sectors such as healthcare, education, and retail. The UAE, Saudi Arabia, and South Africa are leading 5G technology as the government is collaborating with technological innovators and telecom operators such as Etisalat, du, and STC to expand 5G networks in urban areas and provide commercial services. South Africa, with its large population and a mix of urban and rural is slower due to the challenges related to infrastructure, regulatory issues, and financing.