What is 5G Infrastructure?
The fifth-generation (5G) wireless systems or fifth-generation mobile network or 5G Infrastructure is the next-generation advanced telecommunication technology that enables high-speed data transfer rate, high system spectral efficiency (implies larger data volume), ability to connect multiple devices simultaneously, and relatively low battery consumption.
360Quadrants recognizes the below-listed companies as the best 5G Infrastructure providers -
1. Qualcomm Inc
3. Intel Corporation
4. Ericsson Inc
5. NEC Corporation
6. AT&T Inc
7. Huawei Technologies
8. Nokia Corporation
10. ZTE Corporation
5G Infrastructure Market Overview
5G is the next-generation wireless broadband technology that would provide high-speed data communications for various applications. The 5G network connectivity is expected to address the growing demand for high-speed data communications. To provide high-speed data connectivity, 5G enabled infrastructure is required. The 5G network infrastructure includes different hardware components, software-based technologies for network operations and core semiconductor chips.
The 5G infrastructure market is estimated to be valued at USD 784 million in 2019 and projected to reach USD 47.8 billion by 2027 at a CAGR of 67.1%
30 companies offering top 5G Infrastructure were analyzed, shortlisted and categorized on a quadrant under Visionary Leaders, Innovators, Dynamic Differentiators, and Emerging Companies to identified best facial recognition solution providers.
The competitive leadership mapping (Quadrant) showcased below provides information for 30 top 5G Infrastructure solutions. Vendor evaluations are based on two broad categories: product offering and business strategy. Each category carries various criteria, based on which vendors have been evaluated. The evaluation criteria considered under product offerings include the breadth of offering, delivery (based on industries that the vendors cater to, deployment models, and subscriptions), features/functionality, delivery, product quality and reliability, and product differentiation. The evaluation criteria considered under business strategy include geographic footprint (on the basis of geographic presence), channel strategy and fit, vision alignment, and effectiveness of growth (on the basis of innovations, partnerships, collaborations, and acquisitions).
Visionary leaders are the leading market players in terms of new developments such as product launches, innovative technologies, and adoption of growth strategies. These players have a broad portfolio of products that caters to most regions globally. Visionary leaders primarily focus on acquiring the leading market position through their strong financial capabilities and well-established brand equity.
Companies under this quadrant are well-established vendors with strong business strategies such as industry coverage, inorganic growth, geographic reach, and technology innovation. However, they have a weaker product portfolio than the innovators in this matrix. They generally focus on a specific type of technology related to the product considered in this market.
The need for innovative technologies to modernize access control offerings has resulted in innovations in the access control market. Innovators demonstrate substantial product innovations compared with their competitors. These players have wide product portfolios. However, they lack effective growth strategies for their overall business.
Emerging players offer niche products and have gradually started gaining traction in the market. They lack effective business strategies, unlike other established players. These players are mostly the new entrants and require more time to gain market visibility.
Top Drivers of the 5G Infrastructure Market
Some of the top drivers of the 5G Infrastructure Market are –
Speed – Latency is a major concern present in connections as data transmitted often lags which affects not just delivery but response time as well. The quicker the data is transmitted, the quicker the receiver can respond. 5G Infrastructure is designed to reduce latency and produce 10x decrease in end to end latency. This can drastically improve user experience and open doors to create new opportunities to for IoT.
Data Traffic – There has been a rapid rise in the volume of data being carried by cellular networks. This has driven consumer demand for video as well as business and consumers to use cloud services. In addition, there is a rise in the number of smartphone users and an increase in the average data volumes per subscription. To support the increasing data traffic more bandwidth is required. 5G Infrastructure can handle this demand.Virtual Networking – There is a growing demand for virtual networking architecture in telecommunications. Currently, networks are implemented with a variety of hardware that are developed for specific application purposes. It not possible to scale up such hardware and if possible, it proves to be costly. 5G Infrastructure provides a platform that offers users to only set up connections that are required and can be scaled up with little or no effort.
Transportation – Autonomous vehicles, connected bus stops, connected vehicles and connected traffic infrastructure are the major areas of growth for 5G Infrastructure. SK Telecom completed a trial of 5G technology for driverless cars in collaboration with KOTSA, which involved two self-driving cars sharing traffic information with each other.
Smart Manufacturing – Nokia in collaboration with Telia and Intel ran a series of 5G smart factory tests at a Nokia factory in Oulu, in Finland where a video application was used to monitor and analyze a process on an assembly line.
Traffic -UK's second-biggest phone network has partnered with the Smart Mobility Living Lab to develop an advanced driverless testbed. The aim is to develop a road management system with the focus on a 10 percent reduction in the time that motorists spend in traffic.
What are the benefits of 5G Infrastructure?
Latency: 5G Infrastructure will allow users to transfer large amounts of data and minimize the lag from when data is sent/received. This will allow real-time connectivity for users.
Connectivity: Due to the increased speed and bandwidth people and devices will be able to connect and communicate with each other instantly, simultaneously without causing any overload to the network.
Mobility: 5G Infrastructure will support movement from 0 to 310 mph, meaning sustainable operations on-the-go without interruptions.
Connection Density: 5G Infrastructure will be able to connect more devices than LTE and support up to 1 million connected objects per square kilometer.
Location Tracking – 5G Infrastructure will provide a base for more accurate location tracking with high speeds and low latency.
Application of 5G Infrastructure
5G Infrastructure will be deployed by using various development and combination from below –
- Small Cells
- Macro Cells
- Sub 6Ghz
- Above 6Ghz
How does 5G Infrastructure work?
A mobile network has two main components, the Radio Access Network and the Core Network.
A Radio Access Network consists of various types of facilities that include small cells, masts, towers and dedicated in building and home systems. These facilities connect mobile users and wireless devices to the main core network.
The core network is the mobile exchange and data network that manages the mobile voice and data and internet connections.
5G Infrastructure will use advanced features in the core network. For 5G use, the core network will be developed to network function virtualization and network slicing for different applications and services. Under the radio access network, small cells will also be used a major feature of the 5G network at the new millimeter wave (mmWave) frequencies where connection range is short to provide continuous connection. Macrocells will be used for MIMO antennas that have various elements or connections to send and receive more data simultaneously.
5G Infrastructure will be developed on the base of 4G. When a 5G connection is established the device using the 5G network will connect to both the 4G network to provide control signaling and to the 5G network to help provide fast data connection by adding to the existing 4G capacity.
The 5G Spectrum
5G Infrastructure will provide an increased spectrum with greater capacity, multiple users and faster speed.
The 5G initial frequency bands are 6GHz and below 6GHz and frequencies that match exiting mobile and Wi-Fi networks. Spectrum above 6Ghz will provide more capacity and will enable more users to use the network without effecting speed and bandwidth. The 5G Infrastructure will be developed on the 6GHz and above GHz spectrums.
Trends and Facts in 2020
There is a growing demand for 5G Infrastructure from different business verticles.
SDN and NFV are the two main technologies for 5G network that provide intelligent network architecture to enhance 5G network capabilities in terms of network functionality and operation.
Above 6 GHz frequencies like 26 GHz and 28 GHz bands have strong momentum. As they are adjacent, they tend to support spectrum harmonization, and thus reduce handset complexity, economies of scale, and early equipment availability.
The Asia Pacific Region is forecasted to lead the 5G Infrastructure Market.
China will be one of the fastest adopters of 5G Infrastructure.