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Ericsson Mobility Report: 5G uptake even faster than expected

  • 5G subscriptions now expected to reach 1.9 billion in 2024, as operators ramp up deployments and users switch to 5G devices
  • 5G coverage is forecast to reach 45 percent of the world’s population by the end of 2024
  • In 2024, 5G networks are projected to carry 35 percent of the global mobile traffic

Rapid early momentum and enthusiasm for 5G has led Ericsson (NASDAQ: ERIC) to forecast an extra 400 million enhanced mobile broadband subscriptions globally by the end of 2024. The June 2019 edition of the Ericsson Mobility Report forecasts 1.9 billion 5G subscriptions – up from 1.5 billion forecasted in the November 2018 edition – an increase of almost 27 percent.

Other forecasts have also increased notably as a result of the rapid 5G uptake. 5G coverage is forecast to reach 45 percent of the world’s population by the end of 2024. This could surge to 65 percent, as spectrum sharing technology enables 5G deployments on LTE frequency bands.

Communication service providers in several markets have switched on 5G following the launch of 5G-compatible smartphones. This includes Telstra, which launched Australia’s first 5G network , with the first 5G consumer devices available last month. As 5G devices increasingly become available and more 5G networks go live, over 10 million 5G subscriptions are projected worldwide by the end of 2019.

Fredrik Jejdling, Executive Vice President and Head of Networks, Ericsson, says: “5G is definitely taking off and at a rapid pace. This reflects the service providers’ and consumers’ enthusiasm for the technology. 5G will have a positive impact on people’s lives and businesses, realizing gains beyond the IoT and the Fourth Industrial Revolution. However, the full benefits of 5G can only be reaped with the establishment of a solid ecosystem in which technology, regulatory, security, and industry partners all have a part to play.”

Total mobile data traffic continued to soar globally in Q1 2019, up 82 percent year-on-year. It is predicted to reach 131EB per month by the end of 2024, at which time 35 percent is projected to be over 5G networks. As per recent trends, most of this increase will originate from video traffic. Video traffic in mobile networks is forecast to grow by around 34 percent annually up to 2024 to account for nearly three-quarters of all mobile data traffic, from approximately 60 percent back in 2018.

The June 2019 report also features three articles written jointly with service providers that offer a glimpse of the progress being made in markets that are on the verge of, or already deploying 5G.

In an article co-written with Telstra, the report discusses how operators can manage the ever-growing demand for data and video while maintaining consumer experience, particularly for live content streaming with LTE Broadcast (LTE-B).

LTE-B technology was switched on nationally across the Telstra mobile network on July 11, 2018 as part of an end-to-end service streaming live Australian Football League (AFL) games.  In the first 3 months of the new service, Telstra broadcasted more than 50 AFL games and related live events, resulting in 43,000 streams to broadcast users which equated to 4,700 hours of consumed video. As explained in the article, Telstra has observed that LTE-B users watch a stream more than 25 percent longer than viewers watching the same content on a non LTE-B enabled device. LTE-B also improves the video and audio experience for customers watching live content.

Emilio Romeo, Head of Ericsson, Australia & New Zealand, says: “We are very impressed by the momentum being generated by markets deploying 5G and are proud to be working with leading operators, including here in Australia, to launch the first 5G networks around the world. As network capabilities continue to grow, consumers are demanding enhanced forms of experiences; 360-degree video and AR/VR applications will become commonplace. Implementation and uptake of such technologies will only grow as 5G is rolled out, and compatible devices are successively introduced. As demand for data continues to grow, we have continued to work together with operators to better manage the ever-growing demand for data and video while maintaining consumer experiences, especially around live content streaming, one instance of which is on accelerating the LTE-B ecosystem with Telstra in Australia”.

There are 1 billion cellular IoT connections globally, a figure that is expected to rise to 4.1 billion by the end of 2024, of which 45 percent is represented by Massive IoT. Industries using Massive IoT include utilities with smart metering, healthcare in the form of medical wearables, and transport with tracking sensors.

Read the full Ericsson Mobility Report June 2019

NOTES TO EDITORS:

Find out more about Ericsson 5G.
Find out more about Ericsson Spectrum Sharing.
Find out more about Ericsson’s other publicly announced 5G contracts.
Find out more about Ericsson’s 5G partnerships.
Find out more about Ericsson 5G use case trials.

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