5G growth continues in Southeast Asia

June 26, 2023 | 09:21
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5G subscriptions continue to grow in Southeast Asia and Oceania highlights, with 5G subscriptions forecast to reach around 430 million by the end of 2028 and to contribute 34 per cent of all mobile subscriptions, according to the June 2023 edition of the Ericsson Mobility Report.

The number of smartphone subscriptions in the Southeast Asia region is projected to grow at a compound annual growth rate (CAGR) of 3 per cent, reaching over 1.12 billion by 2028 from 930 million at the end of 2022.

4G is also showing growth with subscriptions expected to reach 770 million in 2028 from 640 million at the end of 2022 – a CAGR of 3 per cent.

5G growth continues in Southeast Asia
Ericsson enables communications service providers and enterprises to capture the full value of connectivity

In terms of 5G coverage, by the end of 2022, 5G was available to around 50 per cent of the population in Malaysia and 66 per cent in the Philippines. More than 80 per cent of the population in Australia and Thailand had access to 5G. And Singapore achieved more than 95 per cent coverage by mid-2022.

Denis Brunetti, head of Ericsson in Vietnam and Myanmar said, ”We have been supporting service providers in Vietnam with commercial 5G pilots since 2020, leveraging our technology leadership to deliver a world-class consumer experience to the 4G installed base in Vietnam, which can seamlessly and efficiently be upgraded to 5G capabilities when required. 5G will provide the critical infrastructure that will drive the digital transformation in Vietnam.”

Mobile data traffic per smartphone continues to grow strongly in Southeast Asia and Oceania and is expected to reach around 54 GB per month in 2028 – a CAGR of 24 per cent.

The report also shows that 5G mobile subscriptions are growing in every region and forecast to top 1.5 billion globally by the end of 2023, with India leading the way.

Despite geopolitical challenges and macroeconomic slowdown in some markets, communications service providers worldwide are continuing to invest in 5G.

Following the launch of 5G services in October 2022, the major 5G Indian market is witnessing huge network deployments under its Digital India initiative.

5G subscriptions in India reached about 10 million by the end of 2022 and are estimated to account for about 57 per cent of mobile subscriptions in the country by the end of 2028, making it the fastest growing 5G region globally.

The latest Ericsson Mobility Report also reveals that the uptake of 5G subscriptions in North America has been stronger than expected in previous forecasts. At the end of 2022, the region had the highest 5G global subscription penetration at 41 per cent.

Global mobile network data traffic continues to grow, with the monthly global average usage per smartphone expected to exceed 20 GB by the end of 2023.

The report also shows continued revenue growth in top 5G markets. Fredrik Jejdling, executive vice president and head of Networks, Ericsson said, “The global adoption of 5G technology has surpassed one billion subscriptions, bringing positive revenue growth for communications service providers in leading 5G markets. We see a strong link between the increase in 5G subscriptions and service revenue."

"Over the past two years, the introduction of 5G services in the top twenty markets has resulted in a seven per cent revenue boost. This trend shows the growing value of 5G, benefiting users and service providers alike,” said Jejdling.

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