Thursday, May 2, 2019

How China is poised to lead the global 5G market?

With the global 5G rollout expected in 2020, China is expected to lead the way. China has already started investing aggressively in infrastructure, and this is in line with their aim to become the largest 5G market in the future. China is currently leading the market in 4G connectivity and is positioning themselves favorably to seize a significant share of the 5G market when the technology will be rolled out in the future.



China is expected to commercially deploy 5G in 2019, and the country’s government is working together with the telecom operators to meet the timeline. The country has already placed its bets on 5G with the announcement of investments worth USD 411 Bn between 2020 and 2030, thus marking the most significant investment on telecom infrastructure in the country’s history. Domestic telecom providers like China Mobile, Huawei, and ZTE are teaming up with international players to test 5G build out. The country has entered more than 25 agreements to test 5G radio technology, 5G architecture, and Internet of Things (IoT).

Commitment of the domestic telecom carriers toward 5G and government support for research and development are expected to drive large-scale 5G adoption in China. Also, the importance given to 5G in China’s 13th Five-Year Plan (2016-20) augurs well for the country’s target of leading the global 5G market by 2025. 5G is touted as the most critical growth component of China’s vibrant digital economy and its aspirations in artificial intelligence.



With the infrastructure already in place, the onus is now on the Chinese companies to leverage the country’s leading position in the 5G race to set the global standards. Despite the fact that it is too early to predict whether China will dominate the 5G market, but there is no denying the fact that the efforts of the government and telecom operators has tilted the balance of power towards China.

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