Verizon is gearing for commercial 5G launch of in 2018 and plans are to launch wireless residential broadband services in three to five U.S. markets.
In 2017, Verizon has successfully trialled 5G residential applications in 11 markets and commercial launch is based on customer experience and on Verizon’s confidence in new technology powered by millimeter-wave spectrum. Verizon’s first commercial launch is planned to be in Sacramento, California in the second half of 2018.
Verizon estimates the market opportunity for initial 5G residential broadband services to be approximately 30 million households nationwide. As 5G continues to evolve, customers will benefit from a wide array of services – including broadband, mobile and IoT (Internet of things) — and the necessary bandwidth and low latency for 3D and virtual reality applications.
In 2018, the company plans do capital spending in the range of $17.0 billion to $17.8 thanks to commercial deployment of 5G.
In Q1, 2018, Verizon has done net addition of 66,000 Fios Internet. Total Fios revenue growth of 1.9 percent, excluding the impact of the revenue recognition standard. In the telematics business, Verizon has created the new Verizon Connect organization. Total Verizon Connect revenues, excluding the impact of the revenue recognition standard, were $234 million in first-quarter 2018. IoT (Internet of Things) revenues, including Verizon Connect, increased approximately 13 percent year over year. Both these divisions will benefit a lot from initial 5G deployment.
Recently, Verizon chairman and CEO Lowell McAdam and KT chairman and CEO Chang-Gyu Hwang successfully conducted pre-commercial 5G video call on two fully functioning prototype 5G tablets developed by Samsung. Lowell McAdam participated on the international call from Minneapolis whereas Chang-Gyu Hwang participated from Seoul. The successful 5G transmission over prototype 5G devices is the result of ongoing collaboration between Verizon, KT and Samsung to advance the development of 5G technology, device availability and new and exciting use cases. The video call opens up new use cases both for consumer and enterprise user.
In beginning 2018, Verizon’s deployment of 5G technology over millimeter wave spectrum provided massive bandwidth, ultra-high speed and single digit latency for emerging fixed and mobile use cases. With 5G evolving, one can expect development of new use cases to deliver the capabilities to become a commercially viable solution. This successful test on Verizon’s millimeter wave spectrum – using Nokia 5G network technology on a 5G NR prototype device provided by Qualcomm Technologies was an important milestone on the road to preparing Verizon’s network for widespread implementation of commercial 5G mobile services for consumers and enterprises.
The test was conducted this month at Nokia’s facility in Murray Hill, NJ and follows prior interoperability testing between Nokia and Qualcomm Technologies.
The initial launches will provide a strong framework for accelerating 5G’s future deployment of Verizon.