5G technology has no business model

HLB EL Salvador

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The fifth generation of mobile communications is the first in history that breaks into much of the world simultaneously and with a variety of devices on the market, which will allow a vertiginous penetration for which, however, there is still no clear one business model. 

This was revealed on Tuesday in the first forum organized by the 5G National Observatory (which coincides with its first anniversary), closed by the acting Minister of Economy and Business, Nadia Calviño, and about a technology that allows communications with Gigantic bandwidth and minute latencies.

The Vice President of Qualcomm Technology in Europe, Dino Flore, explained that the key to this technology is that it will allow “everything and everyone to be intelligently interconnected”, because objects can make intelligent decisions thanks to their connection to the cloud, artificial intelligence and massive data management.

While 4G started in a few countries, 5G is making its way in many places simultaneously and “the good news – according to Flore – is that Europe is at the center of everything”, although among the pioneers South Korea stands out, where 13% Traffic is already on this new technology and mobile prices are already comparable with those of the previous generation. Although the most “remarkable”, in his opinion, is that while in other technological transitions the standards and networks first arrived and finally the terminals, this time there are already more than 150 devices on the market or in development, which will help to its rapid penetration.

It will also help the generalization of unlimited data rates, such as those offered by Vodafone in Spain, where in less than half a year it has been made with 1.3 million customers, said the leader of the world leader in 5G chips. The Secretary of State for Digital Advance, Francisco Polo, has agreed that Spain can be one of the winning countries of the fourth industrial revolution, “which will catalyze 5G, something that will depend on the talent you can believe and retain and the how digitalization is “governed”.

Federico Ruiz, responsible for the National Observatory of 5G, stressed that this revolution will take place in a “very mature” sector in which it will compete with “very aggressive rates”, which is very attractive for the consumer, but complicated to face for The suppliers have agreed to highlight several industry representatives.

Thus, the general director of Telecommunications and Information Technology, Roberto Sánchez, has argued that the full deployment of 5G networks will require “an investment capacity that is not in the hands of operators.”

The head of Innovation and Digital Transformation of GSMA, Javier Albares, has added that the deployment of a true 5G network in Europe will cost around 500,000 million euros, double the investment capacity of European operators. “There is a gap of 250,000 million and we have to start talking about this,” he warned. “If the future is a future of unlimited data, great coverage and low price, we all understand that it is a fairly difficult model to attract investors.”

 

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