Consumer services to drive 5G services to $315 BN value by 2023
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| 24 October 2022
Despite the anticipated economic downturn in many territories in 2023, a Juniper Research study is predicting that operator billed 5G service revenue will grow by 60% year-on-year at the end of 2023 from the $195 billion expected in 2022.
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The research, 5G Monetisation: Business Models, Strategic Recommendations & Market Forecasts 2022-2027, forecasts that over 600 million new 5G subscriptions will be created next year. Furthermore, it predicts this increase in revenue to $315 billion will be driven by the accelerating migration of cellular subscriptions to 5G networks owing to operator strategies that minimise or remove any premium over existing 4G subscription offerings.

Despite the growth of the Internet of Things, Jupiter expects revenue from consumer connections, for applications such as mobile video, will continue to be the cornerstone of 5G operator revenue increase. “Over 95% of global 5G connections in 2027 will be connected personal devices such as smartphones, tablets and mobile broadband routers,” noted research co-author Olivia Williams.

Going further out, the report sees the growth of 5G networks maintaining steadily with over 80% of global operator billed revenue attributable to 5G connections by 2027. Jupiter also believes that just like how the communications industry demonstrated its robustness against the impact of the Covid-19 pandemic, the growth of 5G will also be resilient against this economic downturn owing to the vital importance of mobile Internet connectivity.