13:52 10th May, 2019
Smartphone Users See Great Value In 5G, Says Study
The report said that smartphone users are willing to pay a 20 percent premium for 5G services
Smartphone uses may heave a sigh of relief from network congestion, and to bring more home broadband choices as they look forward to the roll out of 5G services. This is according to a newly released Ericsson ConsumerLab report on 5G Consumer Potential. This latest study was based on 35,000 interviews with smartphone users aged 15 to 69, carried out in 22 different countries including India.
The report said that smartphone users are willing to pay a 20 percent premium for 5G services, while half of early adopters would pay as much as 32 percent more. Despite no real use cases, the study states that smartphones will be the “silver bullet” for 5G: the magical single solution to delivering fifth-generation services.
In fact, one in five smartphone users’ data consumption could reach more than 200-GB per month on a 5G device by 2025, it said.
The key findings of the study include the fact that consumers expect 5G to provide relief from urban network congestion in the near term – especially in megacities, where six in 10 smartphone users report facing network issues in crowded areas. The respondents also anticipate more home broadband choices to be available with the launch of 5G.
The report also dispels the myth that consumers are unwilling to pay a premium on 5G. In fact, smartphone users state that they are willing to pay 20 percent more for fifth-generation services, and half of early adopters as much as 32 percent more. However, four in 10 of these high spenders expect new use cases and payment models as well as a secure 5G network in addition to a consistently high internet speed.
Another key finding is that current 4G usage patterns are not indicative of future usage behaviors. Video consumption is set to rise with 5G. Consumers expect to not only stream video in higher resolutions but also use immersive video formats such as Augmented reality (AR) and Virtual reality (VR), resulting in an additional three hours of video content being watched weekly on mobile devices by users in the 5G future when they are out and about, including one hour wearing AR glasses or VR headsets.
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