5G to become leading technology in Southeast Asia

December 05, 2022 | 09:55
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Global 5G subscriptions remain on track to top one billion by the end of this year, and five billion by the end of 2028, despite current and developing economic challenges in many parts of the world, according to the November 2022 edition of the Ericsson Mobility Report.

The report also forecasts global fixed wireless access (FWA) connections to grow faster than previously expected. FWA – the wireless alternative to wireline broadband connectivity for homes and businesses – is one of the major early 5G uses, particularly in regions with unserved or underserved broadband markets.

Driven in part by accelerated FWA plans in India, and expected growth in other emerging markets, FWA is forecast to grow at 19 per cent year-on-year through 2022-2028, and top 300 million connections by the end of 2028.

5G to become leading technology in Southeast Asia

More than three-quarters of communications service providers (CSPs) surveyed in more than 100 countries currently offer FWA services. Almost one-third of CSPs are offering FWA over 5G, compared to one-fifth a year ago. Almost 40 per cent of the new 5G FWA launches in the past 12 months have been in emerging markets

On 5G itself, about 110 million subscriptions were added globally between July-September 2022, bringing the total to about 870 million. As forecast in previous reports, 5G is expected to reach one billion subscriptions by the end of this year – two years faster than 4G did following its launch.

This reinforces 5G as the fastest-scaling mobile connectivity. Key drivers include the timely availability of devices from multiple vendors, with prices falling faster than for 4G, and China’s large early 5G deployments.

North America and North East Asia continue to see strong 5G growth, with 5G penetration in the regions expected to reach about 35 per cent by end of 2022.

Globally, almost 230 CSPs have launched 5G services to date, with more than 700 5G smartphone models announced or launched commercially.

By the end of 2028, five billion 5G subscriptions are forecast globally, accounting for 55 per cent of all subscriptions. In that same timeframe, 5G population coverage is projected to reach 85 per cent while networks are expected to carry around 70 per cent of mobile traffic and account for all contemporary traffic growth.

Global 4G subscription numbers also continue to rise, growing by about 41 million between July and September 2022. Global 4G subscriptions are expected to reach a peak of about 5.2 billion around the end of this year.

Overall mobile subscriptions are expected to top 8.4 billion by 2022 and 9.2 billion by the end of 2028. Most subscriptions are associated with smartphones. At the end of 2022, 6.6 billion smartphone subscriptions are estimated, accounting for about 79 per cent of all mobile phone subscriptions

Southast Asia and Oceania highlights

5G to become leading technology in Southeast Asia

In Southeast Asia and Oceania, it is expected that most major service providers will have launched commercial 5G services by the end of 2028. Subscriptions in the region are anticipated to reach around 620 million by the end of 2028, meaning it will become the leading technology in subscriptions, with a penetration rate of 48 per cent.

Denis Brunetti, head of Vietnam, Myanmar, Cambodia and Laos, Ericsson said, “4G and 5G will enable Vietnam to unlock the full potential of the Fourth Industrial Revolution and will be the critical national infrastructure and foundation upon which Vietnam can further build on its digital transformation journey, supporting the government’s vision and strategy in driving sustained socioeconomic development through science, technology and innovation.”

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Digital transformation is already a global engine of sustainable economic growth and, undoubtedly, 5G will be a socioeconomic driver for Vietnam. The enhanced speed, security, and resilience offered by 5G will provide stimulus for local industry to innovate and digitalise rapidly, creating significant economic value for the country. Connected, digital enterprises not only tend to thrive and generate jobs, but also contribute to increased revenues, as well as addressing climate change.

By Ericsson

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