5G Services Market Is Scheduled To Expand Almost 80x In Terms Of Value

The increasing demand for 5G technology from the Internet of Things (IoT) is expected to provide significant momentum to the 5G services market in the forecast period. As per the data released by the Federation of Indian Chambers of Commerce and Industry (FICCI), the global revenue for the IoT is anticipated to procure USD 1.1 trillion by the end of 2025.

In addition, AI-powered devices are likely to pose a lucrative opportunity to the 5G market. The growing commercial application of 5G services is increasing at a rapid rate, thereby bolstering the market considerably. In addition, the increasing usage of AR/ VR is projected to further boost the demand for 5G technology since it offers low latency and wide coverage, which can benefit the market in the forecast period.

High Expenses associated with 5G Mobile Broadband to Hamper the Market Growth

The high cost associated with the 5G network mobile phone subscription is expected to hinder the market growth in the forecast period. The high cost of production would result in expensive 5G smartphones which is likely to limit the market growth in the coming time. In addition, the outbreak of COVID-19 has brought a temporary halt in the spectrum auctions in countries such as; the U.S, the U.K, and France.

The lockdown imposed globally hampered the manufacturing of 5G smartphones. Furthermore, launching 5G services in developing countries such as; India would face major challenges, which would hinder the market expansion in such nations. Challenges such as; low speed of data, and lack of regulatory bodies are likely to impede the 5G Industry growth in the forecast time.