5G Statistics You Must Read: 2024 Adoption Analysis & Data

5G is the much-touted wireless standard that is a step beyond 4G. There has been much buzz about 5G technology even before its full rollout in various regions. With all the improved features 5G has over 4G, it is quite understandable for the public to receive this new technology with much anticipation. 5G is even included in today’s most important mobile app trends, indicating that 5G will impact many facets of technology as we know them.

In this article, get to know some interesting 5G statistics that will give you a glimpse of what’s to come. Market share data, as well as 5G adoption rates and coverage, give consumers and businesses an idea of how well-received this technology currently is and going to be. Meanwhile, expectations from consumers, business players, and industry insiders and the challenges they face with 5G reveal gaps that could hinder full implementation and adoption of this new technology.

General 5G Statistics

5G is an exciting new technology that consumers and service providers are bracing for. 5G statistics reveal projected volume growth for 5G smartphones as well as for revenue for 5G chipsets. Leading original equipment manufacturers are also beefing up 5G patents in a bid to be first in the 5G wars.

• There are currently 236 million 5G global subscriptions. Subscriptions are forecast to reach three billion by 2025. (5G Americas and Omdia, 2021)
• As of April 2021, there are 683 total 5G and LTE deployments made worldwide. (5G Americas and Omdia, 2021)
• There are currently 135 5G networks around the world that comply with 3rd Generation Partnership Project (3GPP) standards. (5G Americas, 2020)
• 5G smartphone shipments will comprise 40% of global volume by 2021. This is expected to grow to 69% in 2025. (IDC, 2021)
• By 2021, there will be 89.5 million 5G smartphone units shipped to the United States. 5G smartphone shipments will reach 153.3 million units in 2025, at a CAGR of 35.6%. (IDC, 2021)
• Consumer electronics and automotive applications are forecast to both have a 21.7% share of the 5G infrastructure by 2025. Meanwhile, industrial apps will have a 20.1% share while energy and utilities will have a 15.7% share. (Statista, 2020)
• The 5G chipset market is projected to reach $3.55 billion in 2021 and $22.86 billion by 2027, at a CAGR of 41%. (Statista, The Insight Partners)
• Samsung has a 74% market share of the 5G smartphone market in the US. This is followed by LG at 15% and OnePlus at 11%. (Counterpoint, 2020)
• Huawei has a 15.39% share of 5G families with patents. Huawei is followed by Qualcomm (11.24%), ZTE (9.81%), and Samsung (6.7%). (IPlytics, 2021)

5G Adoption and Spending Statistics

Even amid the global pandemic, 5G coverage around the world grew by a triple-digit percentage. Today, commercial 5G is available in many countries. South Korea, Saudi Arabia, and the Netherlands are the top countries when it comes to connection speed. On the other hand, China has the most coverage based on the number of cities with 5G.

5G also opens up another world of possibilities other than new mobile technology. With improved speeds and near-zero latency, it will drive the adoption of self-driving cars, extended reality, augmented reality, virtual reality, and 4K and 8K video. These technologies are also expected to add to the number of devices connected to the Internet of Things.

5G Coverage by Country and Region

• North America had a share of 89.33% in global LTE connections in Q4 of 2020. It is followed by Oceania, East and Southeast Asia (78.46%), Western Europe (69.73%), and Latin America and the Caribbean (57.59%). (5G Americas and Omdia, 2021)
• Governments are investing in 5G in a bid to make hyperconnected public services. For example, China has allotted over $30 billion on research and development on 5G for the next five years. On the other hand, the European Commission has earmarked $1 billion for 5G for its Horizon 2020 project. (5G Americas, 2020)
• South Korea tops the countries with the fastest 5G download speeds at 354.4 Mbps. On the other hand, Saudi Arabia has the fastest peak 5G download speed at 862.6 Mbps. Meanwhile, the Netherlands has the fastest 5G upload speed at 32.5 Mbps. (OpenSignal, 2021)
• As of 2021, Commercial 5G is available in 1,336 cities in 62 countries. (VIAVI Solutions, 2021)
• In Asia, there are 528 cities with 5G coverage. On the other hand, there are 459 cities in EMEA with 5G coverage. Meanwhile, 349 cities in America have 5G coverage. (VIAVI Solutions, 2021)
• China has the largest number of cities where 5G is available at 341 cities. It is followed by the US with 279 cities, then South Korea with 85 cities. (VIAVI Solutions, 2021)
• In 2021, 5G coverage grew by a whopping 350% to cover 1,336 cities with 5G. as a result, 30% of the world’s countries now have 5G coverage. A year prior, there were only 378 cities with 5G. (VIAVI Solutions, 2021)

Available 5G Technologies

• In the US, T-Mobile has the most number of 5G points-of-presence (POP) at 287 POPs. It is followed by AT&T with 233 POPs and Verizon with 231 POPs. (T-Mobile, 2021)
• During the second wave of 5G, experts predict huge growth in new applications other than smartphones. For instance, automotive applications are forecast to reach a CAGR of 285% from 2021 to 2023. (Accenture, 2020)
• 5G can potentially change the cinematic experience with technologies like ultra-high-end scan and capture, extended reality, real-time rendering, and interactive AI. Fifty-eight percent of consumers said that they would be thrilled to get a connected, end-to-end extended reality experience. Similarly, 84% of consumers said that they are willing to pay for such an experience. (Accenture, 2020)
• 55% of consumers feel enthusiastic about music and concerts that incorporate AR experiences. As such, 5G can change the future of live events. (IBM, 2019)
• 49% of eSports enthusiasts would switch to a 5G network once it’s available, even though they are not eligible for a phone upgrade. (IBM, 2019)
• A survey found that 57% of consumers are most excited about UHD video (4K and 8K) on mobile devices. On the other hand, 45% look forward to VR entertainment applications while 44% cited the ability to watch video/movies in 3D. (IBM, 2019)
• The adoption of VR technologies is expected to run parallel with the rollout of 5G networks. VR is expected to reach 22 billion in total market revenue by 2024. In addition, it will be the fastest-growing media segment in the next five years. (IBM, 2019)

Benefits of 5G Statistics

Both businesses and consumers alike can benefit from 5G technologies, albeit in different ways. For starters, businesses can build 5G-enabled smart factories. 5G is also set to generate job growth in the next decade or two. On the other hand, the main benefit to consumers is increased speed and lower latency. Moreover, a number of consumers believe 5G presents a viable alternative to fixed broadband.

For Businesses

• In Europe, the total benefit of a full 5G deployment for open innovation platforms will cost €46 billion. However, the benefit in doing so will amount to €208 billion. (Analysis Mason, 2020)
• Europe’s smart production sector is expected to benefit the most from full 5G deployment in the amount of €90 billion. (Analysis Mason, 2020)
• Businesses can realize value out of 5G in zero to three years when deployed in private or campus-style use cases. An example would be manufacturing environments. (KPMG, 2019)
• 5G technologies will generate $13.2 trillion in sales enablement by 2035. (Qualcomm, 2019)
• The global 5G value chain is expected to generate 22.3 million jobs in 2035. This figure is 3.4 times greater than the number of jobs that economic output supported in 2019. (Qualcomm, 2019)

For Consumers

• Consumers can benefit from 5G’s improved speed of 10Gbps maximum, which is 10 to 100 times faster than 4G or 4.5G networks. (Thales, 2021)
• 5G speeds allow users to download a two-hour movie in less than 10 seconds. (CNN, 2020)
• One of the main benefits of 5G is lower latency, which is defined as the delay between sending and receiving information. 5G offers a latency of one millisecond compared to 200 milliseconds for 4G. (Thales, 2021)
• 76% of consumers see 5G fixed wireless access (FWA) as an appealing alternative to wired broadband. (Nokia, 2019)
• Europe’s smart rural clusters will benefit in the amount of €73 billion while smart urban clusters will benefit in the amount of €33 billion. (Analysis Mason, 2020)

5G Expectations Statistics

Consumers expect a lot from 5G services. In general, they look forward to enjoying increased speed and coverage. But as to whether or not 5G meets their expectations, the results seem to be a mixed bag. Some say that it meets their expectations while some say it does not. At any rate, most consumers feel excited about having 5G available in their area.

• 26% of consumers in the US who expect that 5G will greatly exceed expectations think 5G will deliver improved connectivity. On the other hand, 28% of consumers who think 5G will somewhat exceed expectations said the same. (Accenture, 2021)
• 27% of consumers in the US expect to pay 1% to 10% more for 5G services over their existing services. 21% expect to pay 11-20% while 21 to 30% said they expect to pay 14% more. (Accenture, 2021)
• 38% of consumers in emerging countries said that they will “certainly switch and pay extra” if 5G results in superior quality video streaming. Only 12% said the same in mature countries. (IBM, 2019)
• In a survey of the telecoms industry, 30% of respondents said that 5G is meeting their expectations. On the other hand, 24% said that 5G is less impressive than what they expected. Meanwhile, 11% said that 5G is better than they expected. (Telecoms Intelligence, 2020)
• 72% of individuals said that they expect 5G to offer improve mobile data speed. Another 49% said that they expect improved mobile service coverage. Meanwhile, 36% said that they expect innovative new services. (GSM Association, 2020)
• Seven in 10 consumers said that they are excited about the possibility of having 5G availability in their market soon. On the other hand, four in 10 consumers expect 5G to be available in their market within a year. (Ericsson, 2019)

What are the environmental impacts of 5G technology?

As 5G technology rolls out globally, it’s important to consider its environmental implications, especially as energy consumption and resource use continue to increase with the growing number of connected devices. Here are some key environmental impacts and considerations associated with 5G:

• Increased Energy Consumption: The high-speed, low-latency connections of 5G require a denser network of cell towers and small cells compared to previous generations. This increase in infrastructure, combined with more powerful hardware, can significantly raise overall energy consumption for telecom providers and network operators.
• Manufacturing and Resource Use: 5G deployment requires substantial amounts of physical hardware, from base stations to antennas. Producing this equipment consumes a range of raw materials, including metals and rare earth elements. The extraction and manufacturing processes involved have environmental costs, such as mining waste and greenhouse gas emissions.
• E-Waste Concerns: The rapid pace of 5G development may lead to increased electronic waste as outdated 4G infrastructure and older devices are phased out. Proper recycling and disposal methods are essential to mitigate the environmental impact, yet e-waste remains a global challenge.
• Potential for Reduced Emissions in Other Sectors: While 5G may have direct environmental costs, it also enables technologies that can reduce emissions in other sectors. For example, 5G-supported IoT devices and sensors can optimize energy use in manufacturing, logistics, and agriculture. Autonomous vehicles, smart city applications, and remote work capabilities can collectively contribute to lower carbon emissions.
• Smart City Initiatives: By supporting smart city solutions, 5G can facilitate more efficient traffic management, energy distribution, and waste management systems. These innovations can help cities lower their carbon footprints and enhance sustainability practices.

Challenges in 5G Implementation

The challenges encountered with 5G implementation can be seen from various viewpoints. For instance, from the point of view of consumers, they might not want to switch to 5G without a capable device or an affordable 5G plan. For those in the telecommunications industry, the top barrier is virtualization. Meanwhile, businesses cite infrastructure as their top challenge for implementing 5G technology.

• 60% of technology firms in Europe said that the required business infrastructure investment is one of the biggest challenges in 5G technology. Other concerns were increased cost of connectivity (53%) and developing use cases (51%). (DLA Piper, 2020)
• 48% of respondents from the telecommunications industry said that virtualization is the biggest operational challenge to 5G technologies. 36% cited edge computing while 34% said open Radio Access Network (RAN). (Telecoms Intelligence, 2020)
• 24% of respondents from the telecommunications industry said that the biggest market impediment they face in delivering 5G services is too much proprietary technology, which leads to vendor lock-in. (Telecoms Intelligence, 2020)
• 53% of respondents from the telecommunications industry think that mobile network operators can best solve 5G security challenges. On the other hand, 45% said network equipment providers are in the best position to do so while 43% think it should be digital security specialists. (Telecoms Intelligence, 2020)
• 45% of respondents said that ensuring compatibility with 4G and other existing services was the strongest barrier to 5G edge adoption. Another 41% cited unified administration of hybrid or multiple cloud implementations. (Futurum, 2020)
• 45% of consumers said that not owning a 5G phone is a barrier to using 5G in areas where it is available. Meanwhile, 44% said that 4G service is good enough for them. Another 38% find 5G data plans to be too expensive. (Nokia, 2019)

Towards a 5G-Enabled World

5G global coverage has managed to amass an impressive triple-digit growth despite the pandemic. Such is proof that 5G is on the brink of achieving widespread adoption. For consumers, this means not only faster connection speeds and near real-time data transfer but also being able to use immersive technologies like AR and VR. In the case of businesses, they can realize benefits from 5G as well even though investing in this new technology entails cost. This should convince them to adopt 5G as an effective business strategy for digital transformation.

Be that as it may, roadblocks to 5G implementation will have to be addressed first for end-users to benefit from its full potential. With exciting innovations like smart factories and immersive experiences, 5G promises to bring the physical and the digital worlds closer than ever before.

Key Insights

• Global Subscriptions: There are currently 236 million 5G global subscriptions, projected to reach 3 billion by 2025.
• Network Deployments: There are 683 total 5G and LTE deployments worldwide and 135 5G networks adhering to 3GPP standards.
• 5G Smartphone Shipments: Expected to comprise 40% of global volume by 2021, growing to 69% by 2025.
• Top 5G Countries: China leads with the largest number of 5G-covered cities (341), followed by the US (279) and South Korea (85).
• 5G Download Speeds: South Korea has the fastest average 5G download speed (354.4 Mbps), while Saudi Arabia has the fastest peak speed (862.6 Mbps).
• Market Growth: The 5G chipset market is projected to reach $22.86 billion by 2027, at a CAGR of 41%.
• Consumer Excitement: 72% expect improved mobile data speed, 49% expect better coverage, and 36% expect innovative new services with 5G.
• Business Benefits: 5G will generate $13.2 trillion in sales enablement by 2035 and is expected to create 22.3 million jobs.
• Implementation Challenges: Key challenges include required infrastructure investment, increased cost of connectivity, and virtualization.

FAQ

1. What is 5G and how does it differ from 4G?
   5G is the latest wireless standard that offers faster speeds, lower latency, and greater capacity compared to 4G. It supports a wide range of applications including enhanced mobile broadband, massive machine-type communications, and ultra-reliable low latency communications.
2. How widespread is 5G adoption globally?
   As of 2021, commercial 5G is available in 1,336 cities across 62 countries, with significant growth expected in the coming years. China leads with the most cities covered by 5G.
3. What are the benefits of 5G for consumers?
   Consumers benefit from 5G through improved download speeds, lower latency, and enhanced connectivity for applications such as UHD video streaming, VR entertainment, and real-time gaming.
4. What industries will benefit most from 5G?
   Industries like consumer electronics, automotive, industrial applications, energy, and utilities are expected to benefit significantly from 5G, with improved connectivity and the ability to implement advanced technologies like smart factories and autonomous vehicles.
5. What are the main challenges in implementing 5G?
   Challenges include the required investment in business infrastructure, increased cost of connectivity, developing use cases, ensuring compatibility with existing services, and managing the transition to virtualization.
6. How does 5G impact the job market?
   The 5G value chain is expected to generate 22.3 million jobs by 2035, supporting new roles in technology development, network management, and application deployment.
7. What are consumer expectations from 5G services?
   Consumers expect 5G to offer improved mobile data speed, better coverage, and innovative new services. They also anticipate higher quality video streaming and enhanced AR/VR experiences.
8. Which countries have the fastest 5G speeds?
   South Korea has the fastest average 5G download speed at 354.4 Mbps, while Saudi Arabia has the fastest peak speed at 862.6 Mbps.
9. What is the potential economic impact of 5G?
   5G technologies are projected to generate $13.2 trillion in global sales enablement by 2035 and significantly contribute to economic growth across various sectors.
10. How are governments supporting 5G development?
    Governments are investing heavily in 5G development, with China allocating over $30 billion for research and development over the next five years and the European Commission earmarking $1 billion for 5G under its Horizon 2020 project.

References:

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By Louie Andre

B2B & SaaS market analyst and senior writer for FinancesOnline. He is most interested in project management solutions, believing all businesses are a work in progress. From pitch deck to exit strategy, he is no stranger to project business hiccups and essentials. He has been involved in a few internet startups including a digital route planner for a triple A affiliate. His advice to vendors and users alike? "Think of benefits, not features."