5G is the next generation of mobile internet connection and is the successor of the fourth generation of mobile internet. It promises faster download and upload speeds, with download speeds 10 to 20 times faster than the current 4G mobile internet.
In a world where more electronic devices are making use of the internet, with users popularity for video and music streaming continuously increasing, internet speed has become a very important factor. The high use of internet data is resulting in existing spectrum bands to become congested, particular in areas where there are a large number of users trying to access the same online mobile service simultaneously. 5G technology addresses this issue with its capability to support over 1,000 more devices per meter than what is supported by the current 4G technology.
Devices that we use in our daily lives are continuously being upgraded with technological improvements that enable these devices to send and receive data. Collectively this concept is referred to as the Internet of things (IOT). IOT devices include smart watches, smart refrigerators, and smart bulbs, among other devices. These devices are continuously accessing the internet to transmit data and as such it is evident that for the world to continue its communication advancement it must also continue developing its mobile data connection technology.
5G will make possible the technological advancement need for developing autonomous vehicles, as it provides the spectrum capability for vehicles to continuously communicate on the road and provide real-time information to other cars. It has the capability for drones to be connected all together wirelessly and for these to carry out special assignments autonomously such as, search and rescue missions and traffic monitoring.
With its low latency (the amount of data that can be transferred per second) 5G technology will make possible the remote control of heavy machinery, with the possibility for specialised technicians to control such machinery from anywhere in the word. With its strong capabilities, 5G will also assist the health care industry with expected improvements in precision surgery, physical therapy and the conceptual possibility of remote surgery.
How China got involved in 5G?
One of the largest suppliers in the 5G roll-out is Huawei Technologies Co. Ltd, which is a Chinese multinational telecommunications equipment and electronics manufacturer. Huawei has two main competitors: Ericsson and Nokia, with the former based in Sweden and the latter based in Finland. As of 2016, Huawei said it supplied more than half of the 537 4G networks globally and is triple the size of either of its two competitors in terms of its annual revenue.
The daughter of Huawei’s founder was arrested in Canada back in December 2018 and the company has been heavily criticised by the US for its presumed possibility of building backdoors into its technology on behalf of the Chinese government, which are used as a spying tool on data of other countries. In February 2018, the US banned equipment from Huawei so as to prevent Chinese spying, adding to the already high trade war tensions. The European Union has also came up with a series of network security measures that somewhat limits the free trade market for Huawei.
China is a dominant player in the 5G technology and it’s on track to be the winner of the 5G implementation. China is determined to become a global leader in digital space and as such will be of an extreme importance in revolutionising technology as we know it today.
Disclaimer:
This article was issued by Rowen Bonello, Research Analyst at Calamatta Cuschieri. For more information visit, www.cc.com.mt . The information, view and opinions provided in this article are being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice.