Five 2022 Trends That 5G Service Providers Should Consider

Therefore, 5G service providers should take necessary measures to help companies solve critical problems, strengthen ecosystem partnerships and profitability, and implement 5G and related technologies. Therefore, this article will discuss five 2022 trends that 5G service providers should consider.

5G Adoption Is Not Guaranteed

Among all the emerging technologies considered in the EY Reimagining Industry Futures study (including the Internet of Things, blockchain, and artificial intelligence), companies have focused primarily on 5G. Approximately 56 percent of organizations plan to invest significantly in this area within the next three years. Organizations are increasingly interested in 5G technology because it will enable them to achieve sustainable development goals (up to 68%) and improve supply chain management (up to 65%).

However, enterprises' long-term adoption of 5G is not guaranteed, and vendors should weigh all aspects. Of course, it should be noted that the number of companies that plan to invest in 5G in Asia and the Middle East has decreased by approximately 8% compared to last year. 5G technology providers should expect that even as the technology becomes widespread, some organizations may not embrace it.

The View of Companies Has Become More Defensive Towards 5G

Today, organizations have adopted a more defensive mindset towards 5G. A perspective that brings efficiency and optimization before entering the market and creates growth at a high level. Nearly half (49%) of the organizations surveyed prioritize optimizing processes using 5G technology. However, only 28% of organizations are considering using 5G to enhance virtual reality (VR) or augmented reality (AR).

At the same time, 85% of them admitted that the coronavirus's global epidemic attracted them to 5G technology. 80% of these organizations state that supply chain disruption has intensified their need for 5G, and 71% considered environmental, social, and governance (ESG) issues to be the main factor. Hence, 5G providers must take these attitudes into account and present a more compelling vision of 5G's potential for the growth and development of organizations while ensuring that it meets the short-term needs of organizations.

Companies Are Ready to Deploy 5G

Companies are increasingly looking at solutions to deploy 5G technology delivered through business models. The EY Reimagining Industry Futures study shows that 77 percent of organizations are interested in using private networks to implement and support 5G. In addition, 50 percent of these organizations consider having a private network a vital investment strategy for 5G and business growth, citing benefits from greater network control and improved reliability.

However, 71% of businesses are considering deploying 5G technology through an intermediary such as a mobile virtual network operator (MVNO), and 64% say direct access to the full range of 5G capabilities is possible. These show that telcos and 5G providers will be under more pressure to deal with enterprise customers and might need more agile strategies to enter the market.

Cyber Risks Can Be Overlooked

Businesses have shown a poor understanding of 5G's relationship with other emerging technologies. Looking to the future, examining and analyzing the relationship of 5G with other technologies should be among the priorities. This means that organizations should have a complete and comprehensive understanding of the basics of emerging technologies.

The focus on using more advanced technology will undoubtedly lead to an increase in cyber security attack levels. Given the wide range of potential cybersecurity threats, companies must ensure that trust based on design principles underpins 5G technology deployment.

Telecos and Communication Service Providers

Currently, companies are looking for communication providers that offer 5G services at the lowest price. Companies consider suppliers' ability to deliver and customize solutions as two critical attributes.

This shows that organizations are not only looking for supplier companies and want to have a long-term partnership with them for transformation and development in the future. However, the opinion of organizations on which supplier has the most expertise in the field of digital transformation will differ.

Companies that provide applications and platforms are considered the best-equipped transformation partners. The number of network equipment vendors is increasing yearly, and it is expected to intensify significantly in the coming years.

The EY Reimagining Industry Futures study proved that 5G is one of the essential topics that organizations should pay special attention to because it significantly contributes to flexibility. However, some businesses may ignore growth opportunities and cannot use all possibilities for any reason. In such cases, the role of suppliers becomes essential.