New Delhi: 5G mobile services are expected to create an over $27 billion business opportunity for India by 2026, says Swedish gear maker Ericsson.
Telecom operators are currently recording an average top speed of around 22mbps on their 4G networks, while 5G services tests have recorded download speed of over 1000mbps or 1gbps.
“5G will enable a USD 27 billion business opportunity in India. Out of this USD 13 billion is the addressable revenue opportunity for mobile operators in the country," Ericsson India, managing director, Nitin Bansal told PTI.
He said an Ericsson study for the Indian market on 5G business has found that in terms of industry segment manufacturing at $2.4 billion revenue will see the biggest opportunity. It will be followed by sectors like energy and utilities with potential of $2.1 billion revenue, public safety $1.6 billion and healthcare at $1.6 billion.
India is aspiring to launch 5G services at par with other technologically advanced nations after standards for the technology are finalised by United Nation’s telecom body ITU in 2019. Bansal said Ericsson has started trials for advance technology with Indian telecom operators which will help them in transition from 4G to 5G using the spectrum in which they are providing mobile services.
“Ericsson is currently doing Massive MIMO trials with Indian telecom operators. These products enable a smooth evolution from 4G to 5G. All radio products within Ericsson Radio System delivered since 2015 support 5G new radio capability through remote software installation. It enables fast and smooth migration to 5G in existing bands," Bansal said.
According to Ericsson Mobility Report, India will have over 10 million 5G subscriptions by 2023. According to Ericsson’s 5G Business Potential study, digitalisation will enable a $27 billion revenue opportunity for the ICT (Information and Communications Technology) industry in India by 2026.
“Telecom operators can profit from 5G-enabled market opportunities if they expand their role from being connectivity and infrastructure providers to becoming service enablers and service creators," Bansal said.