The outlook for the global economy in 2023 is uncertain, with most technology industries in the doldrums, with AI representing the only industry that is not.
Despite the prevailing gloomy outlook, the number of 5G users continued to rise against the trend. 5G growth has exceeded previous expectations.
Chou also participated.
David Chou, general manager of Ericsson Taiwan, said the increase in global 5G users in 2023 was mainly driven by strong user demand for high-performance mobile networks. Among them, India stands out as the fastest growing region.
According to the latest Ericsson Mobile Trends Report, there will be approximately 610 million new 5G users in 2023, a significant 63% increase compared to 2022 and approximately 100 million more than originally expected. . The total number of 5G users around the world is expected to exceed 1.6 billion.
5G resiliency
Despite economic challenges and geopolitical uncertainty in some markets, 5G user growth demonstrated resilience.
Chou pointed out that the growth situation of 5G shows signs of smartphone recovery. Global smartphone shipments in the third quarter of 2023 decreased by only 1% year-on-year.
Since the commercialization of 5G, more than 1,000 smartphone models have been launched. More than 240 models were launched in 2023 alone.
In 2023, 5G smartphones accounted for 62% of smartphone shipments. This is up from 57% in 2022.
In the six years from the end of 2023 to the end of 2029, the number of 5G users worldwide is estimated to increase from 1.6 billion to 5.3 billion. This represents a growth rate of over 330% for him.
North America leads 5G adoption
By the end of 2029, North America and the Gulf Cooperation Council (GCC) countries are expected to achieve 92% 5G penetration. This is the highest worldwide, followed by Western Europe.
The 5G penetration rate in Northeast Asian markets, including Taiwan, is expected to reach nearly 80%. Therefore, this region will rank at the top of his 5G penetration worldwide.
Regarding mobile network data, Chou pointed out that although data volume will continue to increase in 2023, the rate of growth is slowing due to an already high base. Mobile data in 2023 25% of his traffic was 5G.
Notably, the average monthly data usage in 2023 was 21 GB worldwide. However, although 5G commercialization only started in India in October 2022, the average monthly data usage is estimated to reach 31 GB and reach 75 GB in 2029.
Chou explained that the three factors that drive mobile network usage are smartphones, network quality, and content. When all three come together, the development of mobile communications will accelerate, with India being a prime example.
room for improvement
Regarding areas where 5G needs further improvement in the future, Dan Yao, Vice President and CTO of Ericsson Taiwan, pointed to indoor coverage and medium frequency deployment. Since 80% of the traffic occurs indoors, there is a growing demand to expand indoor and outdoor 5G medium frequency coverage to ensure a smooth 5G connection experience for users.
5G’s medium frequency band offers both high capacity and good coverage. This makes it an ideal choice for providing a comprehensive 5G experience.
Currently, the global population coverage of mid-frequency bands is expected to exceed 30%, a significant increase from 10% in 2022. The main drivers for this are large-scale adoption in India and various introductions in Europe.
Yao pointed out that users spend 90% of their time indoors, and indoor traffic demand per user is 1.5 to 2 times that of outdoor demand. To achieve ideal indoor network performance, you should consider a comprehensive network deployment plan that includes small base stations in key locations to improve coverage and capacity, thereby increasing user satisfaction. there is.
Overall, global 5G development remains on track. We are experiencing growth in both adoption and usage.
Continuing progress will require continued development of both devices and content to support the rollout of 5G networks. Fortunately, based on the current situation, both aspects seem to be on the right track.