A new Juniper Research study has discovered that global revenue from 5G services will reach $73bn by the end of 2021; rising from $20bn last year, which represents a growth of 250%. It predicts that 5G will represent 8.5% of operator revenue by the end of this year, as operators seek a return on their significant investment into the technology.
5G service revenue to exceed $600bn by 2026
The report found that operators’ 5G service revenue will increase to over $600bn by 2026. However, the advanced data capabilities of 5G standards will drive adoption in areas such as mobile gaming and immersive reality, which will proliferate as geographical coverage and device support increase over the next five years, to which operators must prepare networks.
Report author Dave Bowie remarked: “Given the varying requirements of these 5G use cases, network orchestration tools that enable the real-time management of network performance are key to providing a service that meets the demand of 5G subscribers and enable operators to fully maximise 5G service revenue.”
Mobile broadband to test 5G resilience
The report predicts that over 80% of 5G data generated will be attributable to mobile broadband connections. To support this growth, it recommends that operators increase network virtualisation and network orchestration, and urged accelerated roll-outs of fibre backhaul infrastructure that can handle high data generation, to reduce the threat of traffic congestion over 5G mobile broadband services.