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What is 5G?

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The next evolution of mobile data could be the last step-change we see in mobile data transmission – but when will 4G switch to 5G?

Mobile data use has rocketed over the past five years – increasing 74 per cent alone in 2015 – taking the overall global figure to around 3.7 exabytes per month. This will increase even further when 5G is released.

Underpinning this explosion is the growth of streaming services, both audio and video, and people’s growing use of apps – all underwritten by the expectation of having a high-speed data connection at all times, even when away from Wi-Fi.

With 4G now entrenched as a global standard for our immediate future in developed markets, it is set to be usurped by 5G, but what does that mean for you? In short: faster speeds and more capacity, due to a more resilient network.

 

What is 5G?

Next-generation mobile networks are expected to handle much more data volume, connect many more devices, significantly reduce latency and bring new levels of reliability.

5G has been designed to meet these needs by pooling bandwidth to boost range and speed.

How much faster is 5G compared to 4G?

At first, 5G will likely average speeds of 100Mbps, which isn’t a huge step up from the maximum for networks already using LTE-Advanced, which tend to deliver download speeds of between 30-50Mbps in real-world conditions. In lab conditions, the technology most widely in use today can handle up to a theoretical maximum of 150Mbps. This maximum depends on the category of the device and connection, however. Category 4 LTE maxes out at 150Mbps, but Cat 9 goes up to a theoretical maximum of 450Mbps.

Just to confuse things a little further, due to the technical definitions of wireless technologies – and the lack of a universal standard – you could see LTE-Advanced marketed as 5G, or 4G+, or LTE-Advanced+ or by some other as yet undefined name. In summary, it’s a marked improvement but the exact numbers will vary.

 

How is it so much faster?

4G LTE-Advanced, 5G or whatever else you want to call it splits the data into bands, each of which has its own particular bandwidth limitations. By aggregating these different bands and pooling the bandwidth (essentially), the end-user should get speeds far closer to 100Mbps and beyond as the technology develops.

5G, however, could be the last step-change in mobile technology, with some predicting a more additive and iterative upgrade process would remove the need for a full jump to ‘6G’. The current process is one of evolution (rather than revolution) for both hardware and software, but one that’s aiming at a potential 100 times increase in speeds… eventually.

 

Who is working to introduce 5G to the masses?

Nokia recently took a step closer to 5G mobile networks by announcing it is bringing 4.5G Pro to mobile operators by the end of 2016. According to the firm, 4.5G Pro delivers ten times the speeds of conventional 4G networks, allowing network operators to offer peak speeds of one gigabit (1,000 megabits) per second.

Although the Finnish firm hasn’t announced a release date yet, Nokia is also poised to release 4.9G in the ‘near future’ – an upgrade which it says will push data speeds to several gigabits per second.

In the US, AT&T and Verizon have begun trialing 5G across a controlled number of sites and will roll this trial out further over the next decade, starting in 2017. The trial and roll out formed part of the Obama administration’s Advanced Wireless Research Initiative led by the National Science Foundation (NSF).

More recently, Ericsson and Orange announced they are working on the development and test of selected 5G use cases based on Orange’s network, using Ericsson 5G technology.

The partnership will enable so-called “5G technology building blocks”, proof of concepts, and pilots across Europe from 2017 onwards. These include wireless multi-gigabits internet access, “ultra large mobile coverage solutions” and connected cars.

As well as Orange, Ericsson is partnering with NTT DOCOMO and Intel to build a 5G trial environment in central Tokyo, starting next year. The purpose of the trials is to test use case applications and radio performance. Ericsson will provide 5G end-to-end systems including 5G radio and core networks, and Intel will contribute its chipset in user devices.

The trial will be conducted using the 28GHz frequency band; a candidate band which the Japanese government is considered designating for use by commercial 5G networks in Japan.

 

What about in the UK?

The UK Chancellor, Philip Hammond, announced a commitment to 5G in the recent Autumn Statement in November. He has dedicated around £740m to be used for the development of 5G, but mentioned no set launch date for the 5G service.

 

And when can we expect it to arrive?

As it stands now, 5G is expected to start rolling out globally sometime in 2020, with Ovum’s figures suggesting there will be 24 million 5G subscribers by 2021. It says that less than 10 per cent of those connections will be in Europe though. It could be even fewer than that if operators follow through on threats to delay 5G rollouts if strong net neutrality laws are adopted.

Europe lagging a little behind isn’t too surprising – countries like South Korea have been considering the specifications, implementation and deployment of 5G since as far back as 2008. Previously, UK networks like a EE were looking at a 2022 time-frame for deploying the new standard; though that could theoretically move forward a little, it’s unlikely to be by much.

A formalised standard should be in place by 2018 ahead of early rollouts in 2020 – but as of now, there’s no single definition. This leads to a potential problem for both business and users.

To try to side-step some of these issues (largely incompatible hardware issues) various interested parties (handset manufacturers, the 3GPP and others) around the world are working together to ensure a non-fragmented user experience when it does arrive.

Elsewhere, Audi, BMW, Daimler, Ericsson, Huawei, Intel, Nokia and Qualcomm recently announced the formation of the “5G Automotive Association”.

The goal is to address the issues around connected mobility and road safety with apps including connected automated driving, access to services and integration into smart cities and intelligent transports.

 

What is causing the delay?

The main reason for ensuring global compatibility is that otherwise devices made for one country won’t necessarily work on the same spectrum bands in other countries. This is particularly vital for the success of the Internet of Things (IoT) and connected-devices in general; each of them will need a low-latency, high-capacity, and highly reliable connection to truly reach their potential.

The concession to this point of harmonisation is that LTE-Advanced/5G should be backwards compatible, provided the right groundwork is laid down ahead of the rollouts. For example, a device that supports Cat 4LTE, but not faster Cat9 will still use LTE-Advanced technology, but won’t get the full benefits of that carrier aggregation. It’ll still be a whole lot better than current 4G (and most certainly 3G) speeds though.

With live deployments not yet under way and technical terms still not yet defined, there’s still time for everything to change again before 5G actually arrives – and of course, there’s still time to introduce another completely new acronym.

If you found this article interesting, check out our ‘Latest Industry News’ page for more Technology insights. You can view it by clicking on this link!

– Ben Woods

Ofcom Report: The Change in UK Network Use

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The Network use in the UK is increasing as Brits are spending more time online than ever before, according to Ofcom’s annual Communications Market Report

British consumers are spending more time on the internet network than ever before, so much so that many are actively seeking a so-called “digital detox” from their online lives, according to communications market regulator Ofcom.

In its latest Communications Market Report – an annual survey of British communications and media usage and attitudes – Ofcom reported that 15 million people in the UK have sought time offline to do other things, such as spending time with friends and family, or holidaymaking.

Most of these people found taking a break from the digital world to be a rewarding experience, although some respondents to Ofcom’s survey reported feeling lost and cut-off, or worried that they were missing out.

“The internet has revolutionised our lives for the better, but our love affair with the web is not always plain surfing,” said Ofcom director of market intelligence, Jane Rumble. “Millions of us are taking a fresh look at the role of technology in our lives and going on a digital detox to get a better tech-life balance.”

The 2016 report highlighted the importance of connectivity to the increasingly digitised world. According to Ofcom, 9.2 million broadband connections are now superfast – in the regulator’s view this means capable of delivering speeds of over 30Mbp. This was up from 7.1 million two years ago.

As a result of this growth in superfast connections, total telecoms revenues grew for the first time since 2011, up 0.5% to £37.5bn between 2014 and 2015, as average household spend increased due to the higher costs associated with most superfast packages.

Superfast connections

Rumble said the regulator estimated that nine in 10 premises now had access to a superfast broadband connection, up from 83% last year, which tallies with other assessments of availability.

“We are aiming for 95% by the end of 2017, so availability is growing,” she said. “I think the core questions are now related to those people who aren’t able to get superfast broadband and that is absolutely a priority for Ofcom.”

Rumble also reaffirmed Ofcom’s commitment to the 10Mbps universal service obligation, currently on its way to becoming law. She said the regulator considered a 10Mbps connection adequate for activities such as streaming video on demand (VoD), an activity that has seen a boom in popularity in the UK in the past 12 months at the expense of live television.

Ofcom will release more concrete statistics on broadband take-up in September 2016.

4G popularity still soaring

Meanwhile, 4G connections accounted for 46% of all mobile connections, up from 28% in 2014. Ofcom said 98% of UK premises were now covered by at least one 4G network, and 71% were covered by all four.

Data use is also soaring, with 89% of 16 to 24-year-olds and 25 to 34-year-olds, 77% of 35 to 54-year-olds, 50% of 55 to 64-year-olds, and 21% of over-65s using web and data services on their devices.

The report said 71% of UK adults now owned a smartphone, up from 66% this time last year, which remains the most popular device for getting online.

Ofcom said the popularity of smartphones was giving rise to a number of new social impacts, such as an increase in people bumping into each other on the street because they were absorbed in their phone, and 40% of respondents said they had been “smart-snubbed” by a friend or relative.

The report also revealed a surge in the use of instant messaging, with the proportion of adults using over-the-top services such as WhatsApp at least once a week rising from 28% in 2014 to 43% in 2016, higher among the so-called millennial age group. Photo messaging services such as Snapchat are now used by 21% of adults weekly, up from 14% in 2014.

This growth came largely at the expense of email and, notably, text messaging, which presents a revenue stream problem for mobile operators.

Rumble acknowledged this trend and said Ofcom had seen mobile revenues remain flat over the past year, which suggested operators were responding to this to some degree.

“I think with any business, as behaviors change and shift, we would expect to see different businesses adapt to those shifts in behavior,” she said.

– Alex Scroxton

BT & EE Collaborate on New Sports App

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BT and EE join forces for first time as they look to promote ‘innovation and customer experience’

Following BT’s acquisition of EE earlier this year, the two firms are to work together for the first time to launch a sports app offer that will only be available to EE mobile customers.

The app offer is aimed at new and existing EE customers and will provide them with access to sports updates and BT Sport content. BT Sport has rights to show Premier League football, the FA Cup, Champions League, Moto GP, Aviva Premiership rugby and sailing competition The America’s Cup. It will also provide customers with access to the full line-up of BT Sport channels.

To promote the partnership the app will be pushed out in-store, the first time a BT service will be sold by EE staff, and with a multi-million pound TV ad campaign at the end of the month starring Kevin Bacon alongside footballers Harry Redknapp and Rio Ferdinand. EE will also make use of video MMS for the first time as part of a direct marketing campaign that will send customers personal direct messages including video.

Max Taylor, EE’s managing director for digital, communications and innovation, believes the launch will offer a real benefit to customers. “It’s the first customer benefit as a result of the acquisition of EE by BT and offers a great customer experience.”

Although BT and EE are collaborating on the sports app, EE is still responsible for its own brand and that the two companies remain quite separate, although they are finding ways to work together.

“We have regular meetings, we are working together with the group brand and marketing roles and continue to share resources. However, we bring things to market slightly differently and to slightly different audiences,” Taylor said.

“EE’s target audience is ‘metro-techno’, which is typically late 20’s and a single user, whereas BT is slightly more focused around families and household, with a slightly older demographic.”

Yet in spite of those differences, Taylor believes EE and BT have a lot in common. “We both come from very innovative backgrounds and both have a deep passion for the customer. There is one thing that we want to focus on even more and that is to deliver and make dramatic improvement to the customer experience.”

The takeover has already led to changes in the EE marketing department. Its former CMO Pippa Dunn and brand director Spencer McHugh have both left, while former marketer Marc Allera has taken over as CEO. Yet Taylor said while their departures were “unfortunate” there is still a “long list of experienced marketers” working at EE. That includes Taylor, who has been there for 15 years.

The main difference between pre-takeover and now is the focus on digital: “We are looking to dial up our digital communications and our focus on the customer, particularly our base communications – the opportunity to deliver service and the proposition messages to our customers.”

Going forward, priorities include investing in EE’s network, with the aim to increase EE 4G coverage geographically to 95% by 2020. The brand also sees video as the future and will programme its content services to deliver this.

“Our world class network is our bedrock, it is the number one thing our customers look for and is where we invest our money,” Taylor said. “We will be looking to bring content services to market that really exploit a great network and are built around video.”

The brand also aims to double ‘My EE’ users from five million customers to 10 million by the end of this financial year, allowing customers to view and “interrogate” their bills themselves. “More personalisation, optimisation, campaign integration and innovation will be at the heart of the brand moving forward,” Taylor added.

– Rachel Gee

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