As the 5G revolution continues to unfold, the question on everyone’s mind is whether the average consumer truly benefits from the next-generation network technology. In India, where 5G was launched in October 2022, the network has rapidly expanded to cover almost every city and town. Leading the charge in the 5G rollout are telecom giants Reliance Jio and Bharti Airtel, while Vodafone Idea (Vi) struggles to secure funds for its own 5G deployment.
The surge in 5G consumers globally raises an important query: Does it make sense for the average consumer to invest in the next-generation technology? While the advantages for enterprises are evident, many argue that for the average consumer, 5G may not offer substantial benefits beyond what is already provided by 4G.
With decent 4G speeds ranging from 20-30 Mbps, consumers can easily connect devices via mobile hotspots, stream content online, engage in social media activities, and more. The question then arises: Do consumers really need more than this level of connectivity in today’s digital landscape?
For a niche consumer base, such as content creators and gamers requiring high-speed networks for downloading heavy assets and seamless online gaming, 5G might seem appealing. However, many of these individuals can access Wi-Fi networks at various locations and rely on fiber broadband connections when at home or the office. The additional utility provided by 5G may not be compelling enough, especially considering the relatively slow upload speeds.
Telcos and vendors like Ericsson and Nokia emphasize 5G Fixed-Wireless Access (FWA) as a key use case for consumers. Reliance Jio has already introduced Jio AirFiber, its 5G FWA service, in about 4000 towns and cities. Meanwhile, Bharti Airtel advocates for fiber over airfiber, indicating that 5G may not be the superior technology for consumers in fixed locations.
Sunil Bharti Mittal, Chairman of Bharti Enterprises, recently expressed that 5G may have arrived too early. The challenge for telcos lies in monetizing 5G, and while 5G FWA is one approach, the industry is eager to discover new revenue streams from consumer 5G services.
