Global 5G connections to reach 3.2 billion by 2026; growing 940% currently

According to Juniper Research, the overall number of 5G connections is expected to reach 3.2 billion by 2026, up from 310 million in 2021.

According to the analysis, the expansion will result in a considerable decline in average revenue per 5G smartphone connection from $29 to $17 globally, affecting operator revenue significantly.

Juniper suggests that operators use orchestration tools to maintain the fastest throughput and lowest latency on a network for connections that require it.

“By taking this strategy, operators will be able to justify charging a premium for these prioritized connections over other 5G connections, hence slowing the decline in average revenue,” it claimed.

Operators will increase investment in standalone 5G networks to best position their services to manage future capacity, according to the report, in order to optimize the monetization of the large growth in 5G connections.

Operators can monetize data-intensive use cases like remote healthcare and mobile gaming using standalone 5G networks, which use next-generation technology like network orchestration tools

Value-added 5G services must be monetized by operators.

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The new report, 5G Monetisation: Business Models, Strategic Recommendations, and Market Forecasts 2021-2026, found that automating network orchestration tools is a top priority for operators when it comes to monetizing their 5G services.

According to the paper, these solutions enable operators to change network conditions based on AI traffic monitoring, allowing them to provide additional bandwidth to connections that require it while maintaining service performance.

By 2026, Asia Pacific will have 2 billion connections.

By 2026, the Asia Pacific area will account for nearly 60% of worldwide 5G connectivity, according to the analysis. Network orchestration technologies, in conjunction with mmWave frequencies that enable data-intensive 5G services, will be a key driver in developing an ecosystem in this region that allows mobile customers to use 5G networks for new mobile services while maintaining network performance.

‘Operators in China, Japan, and South Korea have all implemented lower subscription costs, which has hastened 5G adoption, allowing these subscribers to explore novel services that require 5G connectivity,’ said report co-author Dave Bowie.

Juniper Research provides advice, analyst reports, and industry commentary to the global hi-tech communications sector, as well as research and analytical services.