Mexico. The advent of the pandemic took us very badly as a country, for the adoption of 5G. It is great news that the two largest infrastructure operators to provide mobile telecommunications in Mexico have announced the switching on of their 5G networks in our country, first AT&T and more recently Telcel, which begins to glimpse a scenario of progress in the use of the capabilities of this new technological generation of services.
Let's remember that 5G goes beyond enabling greater speed, lower latency and reliability in the transfer of mobile data, but will also lead to energy savings, a reduction in costs, the support of a massive connectivity of devices and, in general, a smarter and better connected world.
However, for this evolution to be effectively taken advantage of by all economic agents: individuals, households, companies and governments, optimal conditions are required in different areas.
These range from the availability of infrastructure and radio spectrum, to the possession of devices and the promotion of public policies that promote the development and appropriation of technological innovations.
Infrastructure and Radio Spectrum. For 5G to be an affordable reality for all Mexicans, telecom operators are required to extend their coverage beyond large cities, to regions that have been left underserved as rural, remote or low-income communities.
Although the adoption of 5G will be gradual and, as usual, will start at the top of the social pyramid, it must reach full national coverage regardless of profitability and margins, throughout the national geography.
Another necessary aspect is the availability of optimal spectrum frequencies for the development of 5G. To date, the tender of the bands for this purpose is planned until next year, a calendar that has been postponed by the pandemic crisis, which delays the deployment of networks.
Possession of Devices Suitable for 5G. From the demand or user side, one of the barriers to overcome is the availability and acquisition of equipment with the capacity to connect to 5G networks.
Currently most of those devices are high-end and premium whose prices exceed $ 10,000 pesos.
According to The Competitive Intelligence Unit, as of Q3-2021 only 10.0% (12.1 million) of the 120.6 million smartphones in the country correspond to these ranges and capabilities capable of connecting to 5G services.
Promotion of a Hyperconnected Ecosystem. From a government perspective, the implementation of stimulus and protections for research and development (R&D) will accelerate 5G use cases in multiple industries such as manufacturing, healthcare, motor transportation, and utility provision.
Collaboration between public and private entities is required for the use for productive purposes of this new technological generation, which has the potential to transform business models, production chains and labor schemes, of the economic apparatus in a transversal way.
Hence the need to promote the development and full adoption of 5G in our country that, although it does not boast as one of the first countries in the region to deploy these networks, already places us on track so that its services and capabilities are taken advantage of by all in the medium term.
For this, it is crucial to ensure compliance with the roadmap with the aforementioned conditions and even more.
Text written by Ernesto Piedras of The Competitive Intelligence Unit, CIU.
Leave your comment