Ericsson ConsumerLab Research Shows Gen AI Boosts 5G Demand in India: Details
A recent study conducted by Ericsson ConsumerLab reveals that the emergence of Generative AI is significantly driving demand for 5G connectivity in India. The study highlights the growing interest in AI-powered applications and services among Indian consumers. It also showcased some interesting trends on the expansion of the 5G network, shifting consumer behaviour. Check out all details here.
Umang Jindal, head of network solutions, software and performance, southeast Asia, Oceania and India, Ericsson has showcased the phenomenal global growth in mobile subscriptions while introducing the Mobility report. He stated that by 2030, there will be 9.5 billion mobile subscriptions, up from the current 8.7 billion. "Of these, 3.6 billion will be on standalone (SA) networks, and 6.3 billion will be on 5G networks." Such significant expenditures in 5G SA networks, according to Jindal, portend a time of improved connectivity and new services.
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He also said that the India set a global record when it launched 5G with a record 95% coverage. We anticipate 270 million 5G subscriptions in India by the end of 2024, with that number expected to rise to 970 million by 2030.
Interestingly, as 5G becomes more widely used, data consumption levels also rise. As per the report, India has the highest average monthly usage of 32 GB per smartphone, which is projected to increase to 66 GB by 2039 at a compound annual growth rate (CAGR) of 13%.
Gen AI major reason to drive 5G demand in India
The report claims that genAI applications are becoming a major factor in the expansion of 5G. It is anticipated that there will be approximately 2.3 billion 5G subscriptions worldwide by the end of 2024, making up 25% of all mobile subscriptions, and 6.3 billion by 2030. By 2027, it is anticipated that the number of 5G subscriptions will surpass that of 4G subscriptions. It also stated that within the next five years, "roughly 67% of 5G smartphone users in India are expected to use genAI apps weekly."
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According to the report, uplink and downlink network traffic may be impacted by AI, including genAI applications, which are already integrated into watches, laptops, smartphones, and FWA products. This could lead to a rise in mobile traffic that exceeds current baseline projections.