5G Ecosystem Cycle

The 5G Ecosystem cycle is identified to best use the advanced end-to-end architecture of 5G and its functional drivers. It is based on inter-dependencies across all key areas of the ecosystem and the need for certain actions to occur in each of these areas to initiate and maintain momentum.

Keys Components of the 5G Ecosystem cycle are - Spectrum, Infrastructure, Devices, Services, Impact and Security.

1. SPECTRUM:

Spectrum is the oil of the 5G ecosystem, without which no 5G network infrastructure or devices can operate. The future networks will rely on a combination of mainstream and alternative technologies and will use both licensed and unlicensed spectrum across different spectrum bands together (low frequency = long range, indoor penetration but low capacity density; high frequency = short range, no indoor penetration, high capacity density).

2. INFRASTRUCTURE:

Infrastructure comprises the elements of the 5G network that provide coverage, bandwidth, latency and reliability for 5G devices such as base stations, mobile backhaul, edge clouds and core networks, as well as the end devices on which the 5G network will be used.

3. DEVICES

According to Gartner, the number of connected devices (sensors, smartphones) in use will increase to 25 billion by 2021, from 14.2 billion in 2019, creating stronger sectorial dependencies on the networks. The devices must be able to support much greater performances and need to exist in a variety of form factors to support the new 5G-enabled use cases and business models.

4. SERVICES

5G represents an opportunity for connectivity providers 5G ecosystem to improve network leadership by being the first movers and competitively positioning themselves to deliver key services across diverse geographies. However, subscriber-based business models need to be transformed to enable digital services that support the roadmaps of enterprises across sectors. Involving non-traditional stakeholders across industries would be required to create partnership-based ecosystems and achieve the deployment of 5G networks more quickly.

5. SECURITY

The actual and perceived end-to-end security of 5G infrastructure, devices and uses will be a key factor for end users, enterprises and public institutions when deciding to move their activities to 5G.

6. IMPACT

Impact can be achieved in two dimensions: Economic and Social.

– Economic impact: employment (payroll), economic output, profits, investment.

– Social impact: health, education, livelihood, air quality, greenhouse gas levels, land use and biodiversity, waste management, water consumption, water quality.

Key challenges faced across these areas:

Spectrum

-Local permits and planning for spectrum usage.

-Auctions and high fees for spectrum procurement.

-Fragmentation during spectrum allocation.

Infrastructure

-Fibre Backhaul: capacity, availability, deployment cost and long distance reach.

-New funding models for fiber deployment/ownership.

-Small cell deployments:local permits and planning.

Devices

-Availability of devices compatible with local spectrum and allocations.

-Lack of clear roadmap for device manufacturers.

Services

-Use cases arising from integration with new technologies (AI, Big data, IoT).

-Lack of incentives for cross industry collaborations.

-Skills upgrade of service provider resources.

Security

-Security of personal data collection.

-Device vulnerability.

-Network data transmission vulnerabilities.

Impact

-Limited focus on societal and environmental benefits due to 5G.

-Disintegration of benefits provided by 5G Vs benefits provided by other IT technologies.

Reference: World Economic Forum and PwC Reports on 5G Networks.