50% mobile in North America will run on 5G

Almost half of all mobile connections in North America are forecast to be running on 5G networks by 2025 according to GSMA.

The report suggest that the North American region will migrate to 5G at a much faster rate than comparable markets in Europe and Asia.

The GSMA’s flagship Mobile Economy series, published at Mobile World Congress Americas this week, predicts there will be around 200 million 5G mobile connections in the USA and Canada by 2025, representing 49 per cent of the projected total market by that point.

“Mobile operators in North America are now making record levels of investment to upgrade networks and acquire spectrum as we commence the 5G era,” commented Mats Granryd, Director General, GSMA.

“With nationwide mobile broadband coverage and high levels of smartphone ownership, consumers across the US and Canada are highly engaged and early adopters of new types of digital service and content – and we therefore expect these two markets to migrate rapidly over to new 5G networks over the coming years,” added Granryd.

4G is currently the dominant mobile technology in North America (accounting for 70 per cent of connections in 2017) and will continue to grow until next year, when 5G will begin to make an impact.

US operators will launch the first commercial 5G networks by this year, with operators in Canada expected to launch 5G in 2020.

It’s expected that by 2025, the 5G adoption rate in North America (49 per cent of connections) will be significantly ahead of Europe (30 per cent) and key Asian markets such as China, Japan and South Korea (30 per cent, aggregate).

The number of IoT connections in North America is forecast to almost triple between 2018 and 2025, reaching almost 6 billion.

“North American mobile operators are offsetting the decline of many traditional mobile services by successfully unlocking new revenue opportunities in content, IoT and – very soon – 5G,” commented Granryd.

“The early 5G use cases in the region are likely to focus on the provision of enhanced mobile broadband offerings to the consumer market, while services in areas such as autonomous vehicles, industrial and vehicular automation, remote medical surgery, and advanced AR and VR, will gain scale soon after,” added Granryd.