The initial use cases for 5G may be limited to high speeds, allowing consumers to experience seamless connectivity for live gaming, video conferencing and live broadcasting, but within two-three years, they will seek 5G immersive experience to enjoy sporting activities, concerts and movies, experts said.
This means telecom service providers will have to package services on top of the 5G experience to get more share of the consumer wallet, which in turn would drive up their average revenue per user, while leased 5G networks for captive services would become an additional revenue stream.
“Initial 5G launches globally have focused on offering enhanced mobile broadband experiences for consumers. While gaming is a key focus area with immersive gaming and cloud gaming propositions picking up pace, at the same time, 5G’s ability to support higher bandwidth and speeds makes it suitable for live broadcasting – sports, live events and music festivals,” said Prashant Singhal, global telecom, media and technology, emerging markets leader, EY.
In India, Bharti Airtel has implemented immersive video technologies over its 5G test network to recreate historic cricket matches, while Jio has held trials of high-definition virtual reality-enabled multiplayer cloud gaming ahead of its commercial 5G launch.
“Right now, the use cases for consumers are gaming and video streaming, because that’s what we know, but in two years, this will change when users and suppliers (of services) have 5G. Then we will see use cases emerge in healthcare, online shopping and education with realtime interface integration between industry and consumers,” said Peeyush Vaish, partner and telecom sector leader, Deloitte India.
According to GSMA Intelligence’s consumer survey for the Asia Pacific market, consumer intent to upgrade to 5G is growing and existing 5G users are increasingly interested in adding content and services such as video streaming, music, gaming, live sports and cloud storage to their 5G plans.
“Immersive experiences, which leverage the low-latency and high-bandwidth capabilities of 5G networks, are also gaining traction among consumers. Entertainment experiences (e.g. sporting activities and venues, concerts, gaming labs, movies and theatres), which customers pay a premium for in the physical world, provide avenues for operators to demonstrate the value of 5G,” analysts at the organization said in a report.
