5G technology is still on the horizon but in order to support the huge projected market growth, OEMs should start considering supply chain questions and building the right supplier relationships now. Real application of 5G is expected to arrive in late 2019 and early 2020.
“We are still 18 to 24 months out,” Ashish Parikh, director of IoT platforms and solutions at distributor Arrow told EBN. “We are going to see more on infrastructure in 2019 and 2020. Industrial devices, assets, and people’s understanding of what it means and how take advantage of it with the first wave of industrial devices will be 2020 or 2021. The leaders in the space can start taking advantage of this. It’s not too far off that.”
Editor’s Note: After perhaps a decade in research labs and drawing boards, 5G is on the verge of deployment. Indeed, early deployments of the technology are coming online now. You can tell because the marketers have sunk their teeth in and started promoting it. With 5G moving out of the lab, the team at Aspencore looks at what it will take to reach full deployment — from technical, supply chain, carrier, and policy perspectives.
Distance learning, video conferencing, multi-user gaming, telematics/automated driving, and other uses are all potentially empowered by new 5G technology. What’s fascinating about the 5G rollout, you typically think about telecom and handsets because of the innovation of this technology, it allows for a lot of applications that people don’t think about,” said Jonathan Lee, director of Global Commodity Management at Flex. “The conversations vary wildly. With 3G and 4GLTE, those conversations didn’t happen.”
Image courtesy: Flex
The efficiency and low-investment requirements of 5G compared to other technologies makes it ripe for a variety of applications, according to a report from Market Research Future. “The factors contributing to the growth of the 5G technology are the shift toward new broadband technology, growing demand for high data speed, huge network coverage, and stable growth in the mobile data traffic, increasing demand for machine-to-machine communication in organizations and the increasing demand for broadband services over other mobile networks,” the report said. The research firm predicts a compound annual growth rate of 22% for 5G over the next five years, adding that the market size will reach $73 million by 2023.
Image courtesy: Market Research Future
Further, it promises speeds that are 10 times faster than 4G standards in most applications but up to 100 times faster in some limited scenarious. “The rising demand of higher speed rates of internet all over the globe is driving the 5G technology market, 5G networks can deliver data-access speeds up to 10 Gbit/s,” the MarketWatch report said. “5G technology will be comprised of lowest possible latency i.e. 1-5 milliseconds which is an indulging factor for consumers.” MarketWatch is even more aggressive with its predictions around 5G putting the potential global market size at about $90 million in 2023.
At the same time, 5G standards continue to evolve and infrastructure needs to be built. “There are definitely many challenges ahead not just for contract manufacturers but also for the OEMs, supply base and carriers,” said Graham Scott, senior director, Global Commodity Management for contract manager Jabil. “Around 5G specifically, there are a number of new elements that we have to consider, from the standards we use to the infrastructure that’s required. We’ve already seen it with 3G/4G convergence.”
The up-coming fifth-generation wireless broadband technology is based on the IEEE 802.11ac Standard for Information Technology. A second set of standards, specifications for the standalone version of 5G New Radio (SA 5G NR), was ratified this summer. However, details remain to be worked out as OEMs work to figure out how to couple LTE Advanced and Wi-Fi with 5G technology to address the demands of new applications.
Check out the articles showing how 5G is coming along and the issues it still faces.
5G test gears up
As products emerge and networks assemble, the test-equipment industry must keep up with standards, production, and deployment.
5G: Where is it and where is it going?
Despite the oncoming hype, 5G has a considerable way to go given that deployment is just beginning. We still need much of systems to get into full production. Then, businesses and consumers will have to buy the products.
Could local fees kill 5G?
The costs wireless carriers will have to pay to install small cells could be a hinderance to deployment and a windfall to local governments.
Optical interfaces to address 5G test
ODI is now positioned to address difficult challenges in 5G communications, mil/aero systems, and high-speed data acquisition
5G Networks Under Construction
Engineering managers from AT&T and Verizon share their experiences designing and deploying their first 5G cellular networks.
5G buildout will be more involved than we’ve been led to believe
The spectrum that each cellular network operator has license to will have ramifications for the 5G networks they will have to build. Among the most significant of those ramifications is cell spacing.