Perspectives and barriers: 5G implementation and its impact on small and medium businesses

A modern mobile device is practically useless if you cannot make a call, send a message or access the Internet from it. All this is provided by a stable cellular network.

Until recently, four generations of networks were known to the global telecommunications industry: 1G, 2G, 3G, and 4G (LTE). However, the sector is now actively preparing for the full implementation of 5G technology, a new standard developed for wireless broadband digital communications.

In this article, we'll take a look at what the business benefits of 5G are and why it's not as simple as it looks.

5G - a breakthrough in mobile communications and its benefits

The fifth generation of cellular technology (5G) is a revolutionary global standard for wireless communications. It would be wrong to call 5G an improved version of LTE, although it is undoubtedly a consequence of the evolution of the fourth generation of networks.

5G technology is a qualitatively new type of network. Unlike earlier generations that changed the speed and quality of the connection, 5G involves a new ecosystem of devices and sensors. This seamless connection is able to connect almost everyone and everything over long distances and in the shortest possible time.

5G networks operate at the expense of high-frequency bands of the short-range radio frequency spectrum (millimeter waves). These waves are intertwined with other wireless connection signals on different segments.

Through network slicing, 5G reduces network congestion and improves download speeds. This feature allows you to create subnets within the same network to maximize connectivity for specific applications.

A full 5G network is currently available in China, the US, South Korea, Spain, Italy, Finland, the UK, Saudi Arabia, Australia, and the Philippines. The European Commission estimates that 5G will be available in all populated areas of the EU by 2030. In this regard, we recommend that you now study the pros and cons of introducing 5G Internet for business.

Benefits of 5G for business

From a technological standpoint, the fifth-generation network has the potential to impact the way business is done and change entire industries. Due to a number of business benefits of 5G, the technology is being used in finance, healthcare, education, and other areas.

High speed connection

According to the specifications declared by the developers, the 5G network is capable of reaching a maximum speed of up to 10 Gbps. And this is 10 times faster than 4G speed.

This is almost lightning fast, thanks to which users can access the Internet faster, watch videos and listen to music on streaming services in the best quality. Downloading data and large files on a 5G network takes just a few seconds.

According to a study by HighSpeedInternet.com, users will be able to save up to 24 hours per month on downloading and streaming Internet data.

Connection speed as a business benefit of 5G will allow companies to automate and expand the capabilities of video conferencing, corporate networks.

Low response latency

Latency is the time from sending data/signal by the device to receiving it by the end user.

On average, 5G latency is 5ms, while 4G, for comparison, is 60ms. That is, with the fifth generation network, live broadcasts, broadcasts, stock trading, online video games, virtual reality will be able to take place in full real time, regardless of the location of the interlocutors.

The advantage of 5G Internet for business in this case is the ability to increase the productivity of work processes and provide high security, for example, during payments and verification in banking.

Increased throughput

Throughput is user capacity, i.e. the ability to transfer a certain amount of data at maximum speed. Since it is increased to 5G, this means that the network can simultaneously connect more devices per square kilometer without loss of speed and quality.

According to some estimates, the bandwidth of 5G technology is 10 times higher than that of 4G. This business benefit of 5G will allow businesses to switch between cellular and Wi-Fi connections as needed without fear of losing connection due to high traffic.

Potential for new technologies

In general, 5G Internet for business is an opportunity to deploy new technologies, applications, develop smart devices, create virtual worlds and smart cities.

Self-driving cars are already available in the US thanks to the fifth generation of cellular networks.

Disadvantages of 5G Technology for Businesses

Like any other emerging technology, 5G has its drawbacks. Given the fact that the network is now developing and expanding, it cannot be said that they are critical, but at the moment it is worth remembering about them.

High costs for deployment

To fully reap the benefits of 5G for business, many businesses will need to completely retool their telecommunications infrastructure. And these are the purchase of new equipment, the modernization of technological processes, the opening of new licenses, the replenishment of the team with industry specialists, and the provision of services.

Thus, the development and deployment of the fifth-generation network will be expensive. If large companies can cope with the financial burden, then, unfortunately, most small enterprises are not ready to spend such a resource on the implementation of 5G.

Insufficiently developed infrastructure

Because the 5G specification requires higher frequencies, the network has a limited range. Trees and tall buildings impede wave propagation so more cell towers will be needed to achieve extensive coverage.

Initially, 5G operation is supported by 4G, but in the future, the fifth generation will develop towards independence. To increase the throughput and improve the signal, sensors and additional antennas will be installed on buildings and street objects.

Rapid battery wear

When connected to 5G, the battery of any device wears out faster: because the network is more powerful, it has a greater effect on the battery and weakens the device. As 5G research and development continues, manufacturers are also looking for new ways to enhance the performance of reusable power sources.

Cyber Security Risks

This disadvantage is directly related to the high cost of deploying the technology in the enterprise. Since companies may try to save money while implementing 5G Internet for business, such a system may be more vulnerable to hacking and become a target for scammers.

To mitigate risks, ensure that appropriate precautions have been taken during deployment and software is properly maintained and updated.

In conclusion: the effectiveness of using 5G Internet for business

5G is much more than high speed, fast response, and improved bandwidth. Taken together, this is a real opportunity for businesses to embark on a large-scale digital transformation.

The adoption of 5G technology in industry can lead to more flexible and efficient manufacturing operations while improving security levels. The creation of smart factories becomes possible thanks to automation, augmented reality and the Internet of Things (IoT). Widespread use of 5G IoT devices and sensors enables deeper integration of artificial intelligence into enterprise operations.

The introduction of the 5G Internet in business contributes to more effective interaction through video communication, simplifies video training and file sharing, and improves customer service. And employees will be able to perform various tasks and cope with a large amount of work in less time.