5G-A and 5G RedCap will enable telcos to provide services including extended coverage, increased network efficiency and device battery life to enterprise users
5G-Advanced and 5G Reduced Capacity (RedCap) will be key for telecom operators who are seeking to capitalize on the global 5G market, which is expected to reach a value of $400 billion this year, according to a new research from Juniper Research.
However, the report anticipates that as 5G penetration rates become saturated amongst consumers, it will be imperative for carriers to launch services over 5G networks that provide value to enterprise IoT users.
5G Advanced and 5G RedCap will enable operators to provide services including extended coverage, increased network efficiency and device battery life to enterprise users, the research firm said.
The report also predicts the benefits of 5G Advanced and RedCap will be “instrumental” in the growth of IoT sectors, including automotive and mobile broadband. In turn, it forecasts there will be over 360 million 5G IoT devices using public network by 2028, up from 35 million devices in 2024. Juniper Research also identified Fixed Wireless Access (FWA) as the sector to benefit most from these services, given the large amounts of traffic generated.
“FWA has always been positioned as a key service for 5G network monetization, but the emergence of 5G Advanced and 5G RedCap will enable operators to offer similar network conditions as fixed network service providers. Operators must leverage their existing billing relationships with consumers to promote their FWA solutions,” said research co-author Sam Barker.
In a separate report, Juniper Research found that the number of Citizens’ Broadband Radio Service (CBRS) connections in the U.S. will increase from 17 million last year to 66 million in 2028.
The report predicts that this substantial growth of over 280% will be chiefly driven by the technology’s ability to offer 5G services at a reduced cost to industries, such as energy, mining and manufacturing. The research firm noted that the reduction in costs is achieved through the removal of spectrum access fees.
CBRS is a spectrum-sharing initiative in the U.S., with access provided by CBRS Devices (CBSDs), which greatly reduces the cost of connectivity for enterprises.
The report predicts that while the lack of spectrum cost can impact upon the quality of network service via CBRS, service vendors will find the most success with industrial use cases. By 2028, 50% of CBSDs will be attributable to the industrial sector. The research also anticipates that these use cases, which are often in remote locations, will benefit from the lack of competition from other CBRS spectrum users.
It also predicts that private networks will be the key use case for CBRS over the next five years.
“The most immediate priority for CBRS vendors must be industrial sectors, such as energy, mining and manufacturing, which will provide the most immediate return on investment,” said research author Alex Webb.
