By 2030, The efficiency and productivity bought by 5G could add as much as US$1.3tn to global GDP. That’s the finding of PwC’s study The global economic impact of 5G, which uses economic modelling and expert insight to look at the use-cases for the technology in a variety of industries.
The majority of this figure, at more than 80 percent, is projected to lie in healthcare applications (US$530bn), smart utilities management (US$330bn) and consumer and media applications (US$254bn). For business, particularly in these industries, it’s time to pay attention and develop strategies that harness the technology to create competitive advantage and implement and integrate imperatives that must be met for it to generate value.
New levels of connectivity and collaboration enabled by 5G will amplify and deepen the insight that organisations can gain from connected technologies. Able to see, attempt and achieve more, new opportunities for growth will open up — something especially important as organisations rethink and reconfigure business in a post-pandemic world. While it’s predicted that 5G’s contribution to economic growth will be modest over the next five years as the infrastructure it requires is rolled out, from 2025 we expect to see investments will have an increasingly energising effect on the global economy.
5G boost to global GDP by industry by 2030 (US$, 2019 values)
North America will likely experience the biggest percentage uplift to GDP from 5G ($US484bn) followed by Asia and Oceania, and then Europe, the Middle East and Africa (EMEA).
5G’s projected economic impact by country by 2030 (US$, 2019 values)
Here are some of the industry use-cases that might eventuate:
Technology, including 5G, will allow for a new, connected healthcare ecosystem where patient and provider needs are met accurately, conveniently, cost-effectively and at mass scale.
As the global utilities industry enters a period of sweeping energy transition, 5G will help achieve goals and maintain market competitiveness.
Consumer and media
The pandemic accelerated shifts in consumer behaviour, with customers flocking to over-the-top (OTT) gaming, media and music services for entertainment during isolation and went online for grocery buying.
A whole new world of manufacturing will be unleashed as 5G tech allows greater flexibility and responsiveness on the factory floor.
COVID-19 had substantial knock-on effects for the financial services industry such as an acceleration in the migration to digital channels. The bandwidth and connectivity of 5G will support a range of services such as AI-based advice and improvements in drone use for insurance purposes.
The potential for impact across all industries is enormous when it comes to the applications the 5G era will enable. For business, a strategic approach underpinned by clear use-cases will deliver the greatest value. For recommendations on what to include in such a strategy, download the full Global economic impact of 5G for further information.
As the 5G revolution creates new productive potential at the individual and global level, it’s time for business to seize the opportunity it offers to power tomorrow.
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