GSMA, Telecom News, ET Telecom

GSMA, Telecom News, ET Telecom

APAC has more than 400 million 5G subscriptions by 2025, but usage gap is significant: GSMANEW DELHI: Asia-Pacific will have more than 400 million 5G plans by 2025, accounting for 14% of the region’s total mobile subscriptions, and while 4G will remain the dominant technology, its share has begun to decline, according to a report from the GSM associationGSMA

“The figure (read: share of 5G subscriptions) much higher (67% on average) in the developed Asia-Pacific, which includes Australia, Japan, Singapore and South Korea,” the report said, adding that 4G has the potential to grow elsewhere in the region, especially in South Asia and Southeast Asia.

While 5G adoption will continue to rise as a result of the pandemic recovery and growing 5G handset sales, 4G adoption will peak at 71% in 2023 before declining across the APAC region in 2025. up to 69%, according to GSMA.

The London-based company, which represents global mobile network operators, noted that 5G is now commercially available in 14 countries. By contrast, several others, including India and Vietnam, are expected to 5G networks the coming years.

Meanwhile, telecom operators’ total revenues are expected to rise from $210 billion (2021) to $224 billion (2025).

On the other hand, capital expenditures (Capex) will remain stable in Asia-Pacific development for years to come, but will decline in developed Asia-Pacific after initial investment in 5G networks, GSMA said. Telcos’ capex will reach $134 billion in 2022-25, of which they will spend 75% on 5G, according to the report.

According to the company, by April 2022, 25 operators in 18 countries had launched commercial 5G stand-alone (SA) services, with Asia-Pacific leading the way in the commercialization of 5G SA.

Mobile technologies and services continue to make a significant contribution to the Asia-Pacific economy, generating 5% of the region’s gross domestic product (GDP) by 2021. industry The body said, noting that this reflects an economic value addition of about $770 billion, which will rise to $880 billion by 2025.

The mobile ecosystem also supported nearly 8.8 million jobs, both directly and indirectly in 2021, and made a substantial contribution to public sector financing, with approximately $80 billion raised through taxes. According to the report, mobile broadband networks today cover 96% of the population in Asia-Pacific, but only 44% (1.44 billion) people use mobile internet services, indicating a large usage gap.

This gap is due to poor digital skills, a lack of affordability of devices and services, a lack of relevant content to drive demand for digital connectivity, and online safety concerns, especially for vulnerable populations such as women and people with disabilities. physical disability.

“It is critical to address the usage gap and extend the benefits of the Internet to more people in society,” said GSMA’s Head of Asia Pacific, Julian Gorman† “However, it will require a concerted effort from a wide range of stakeholders, working with mobile operators and other ecosystem players such as device manufacturers and digital content creators, to drive adoption and overcome the barriers we see today.”