The Myth of Revenue Fluctuation During the Network Investment Cycle

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4Q 2018 | IN-5328


Hype Around Early 5G Deployments


According to the leading telecommunication infrastructure vendors, 5G connectivity entered the commercial deployment stage at the end of 2018. Early adopters, including the United States, China, Japan, South Korea, and the United Kingdom, all announced their commercial mobile 5G launches for 2019, as telecommunication infrastructure vendors have already started to ship 5G-capable network equipment. Huawei alone claims that it is currently testing 5G with 154 Mobile Service Providers (MSPs) in 66 countries and has already shipped more than 10,000 5G basestations worldwide. Mobile infrastructure vendors’ revenue fell flat for the past 7 years, in parallel with the wide-ranging spread of 4G technologies. Despite the momentous hype around 5G, vendors cannot expect a significant revenue increase from the new generation in the upcoming 2 years either.

5G hype is evolving further, and not a week goes by without a groundbreaking 5G success story from any major MSP: Verizon launched commercial pre-standard 5G home Fixed Wireless Access (FWA) on October 1, 2018; Elisa…

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