Innovative 5G services could add $565b to global GDP – GSMA study

A new study by the GSMA, the organization representing the interests of mobile operators worldwide, says unlocking spectrum for the mobile industry to deliver innovative 5G services across different industry sectors could add $565 billion to global GDP and $152 billion in tax revenue in 14 years from 2020 to 2034

In a press release copied to ghanabusinessnews.com, GSMA argues that next-generation 5G services will improve access to healthcare, education and mobility as it reduces pollution and increases safety. These outcomes, it says, however will rely on government support for the identification of sufficient millimeter wave (mmWave) spectrum for the mobile industry at the next ITU World Radiocommunication Conference in 2019.

The report titled, “Socio-Economic Benefits of 5G Services Provided in mmWave Bands”, the GSMA says is the first to examine and quantify the impact of mmWave spectrum on the overall contribution of 5G networks to society, adding that mmWave spectrum will carry the highest capacity 5G services.

“It has the ideal characteristics to support very high data transfer rates and ultra-reliable, low latency capabilities, which will support new use cases and deliver the benefits of 5G to consumers and businesses around the world,” the release noted.

The organization states that the early lead already being established in 5G in the Asia Pacific and Americas regions are expected to generate the greatest share of GDP attributed to mmWave 5G, at $212 billion and $190 billion respectively. Europe is forecast to have the highest percentage of GDP growth attributable to mmWave of any region, with 2.9 per cent, it said.

However, the advantages are not restricted to early-adopting mobile markets and, as the rest of the world deploys 5G in subsequent years, economies of scale derived from spectrum harmonisation will stimulate even faster growth. Regions such as Sub-Saharan Africa, Central Asia and Latin America and the Caribbean could see growth in GDP contribution from mmWave 5G applications of over 65 per cent per year from 2026 until 2034, it indicated.

By Emmanuel K. Dogbevi

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