Companies today are underestimating the potential of 5G technology that will result from increased network speeds and capacity, according to a global study from Accenture. They surveyed more than 1,800 executives ranging from midsize to large businesses across industries in 10 countries. Accenture found that over half of them, 53 percent, believe there are “very few” things that 5G will offer that 4G doesn’t already. Less than two in five executives expect 5G to bring about a “revolutionary” shift in speed and capacity, while more than two in five executives expect 5G to have a “significant” impact on speed and capacity.
Concurrently, executives do see that integrating competitive technology has important benefits. Sixty percent of the surveyed individuals believe that 5G will cover nearly the entire population by 2022, while 70 percent believe that 5G applications will offer a competitive edge with customers.
“The reality is that 5G will bring a major wave of connectivity that opens new dimensions for innovation and commercial and economic development,” said George Nazi, Accenture’s Network practice global lead. “Breakthroughs in three-dimensional video, immersive television, autonomous cars and smart-city infrastructure will unleash opportunities that are difficult to imagine today but will soon be transformative. Telecommunications companies will play a pivotal role in bringing these prospects to light.”
Accenture’s 2019 findings on the disruptive prospects of 5G technology (Graphic: Business Wire)
Telecommunications Providers Play a Role
Seventy-two percent of executives said they needed assistance when envisioning the future possibilities and use cases of 5G. This is where telecommunications companies come in. They are one of the leading service providers that executives plan to partner with on this 5G venture, according to 40 percent of respondents. On the contrary, 60 percent of the respondents said there is a knowledge barrier among communications services providers about the challenges in their industries, such as how diverse industries can someday apply 5G technology to promote innovation.
The respondents also mentioned a number of potential barriers to 5G adoption, like the upfront investment (36 percent), security (32 percent), and employee buy-in (29 percent). Although more than three-quarters of executives believe that incorporating 5G into their companies will make their business more secure, one-third have security concerns pertaining to 5G.
Anders Lindblad, Accenture’s Communications & Media industry lead for Europe, said, “Despite the knowledge gap, there is excitement among business leaders about the value that 5G can bring to enterprises. This value is currently trapped within the perceived risks and uncertainty around 5G, which can be unlocked by organizations that understand customer needs, can overcome barriers to adoption and can drive collaboration among service providers.”
Other key findings from the study included that the perceptions of 5G vary across industries. Fifty-three percent of executives in the energy sector see 5G having a revolutionary impact and reaching places that are remote or inhospitable. Additionally, the government and public sector have an acute awareness of 5G, with 59 percent believing it will be 10 times faster than 4G, compared to 67 percent of all respondents. Lastly, 66 percent of government executives, compared to 78 percent overall, believe that using 5G in terms of connectivity will make their company more secure.
