Markets and Trends

Why Your Enterprise’s Board Will Ask About 5G Connectivity

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Organizations are already using 3rd Platform technologies, including mobile capabilities, to enhance how they operate and interact with stakeholders. Knowing how to elevate and accelerate current initiatives is critical to executing a successful, Digital-Transformation (DX) based strategy. One way to use these tools to accomplish a DX-driven goal is to combine these technologies to maximize value for their organization.

Digital mashups, which are combinations of at least two 3rd Platform and/or Innovation Accelerator technologies, aim to deliver new digital experiences and products to improve decision making and to deliver enhanced experiences – two foundational goals driving DX initiatives.

When it comes to mobility, there is one type of digital mashup that both exists as an example of this type of coupling and also enables other mashups to exist, as well. 5G is an enabler of digital mashups in that 5G is increasingly becoming the connectivity platform for next-gen innovations such as AR/VR, robotics, wearables, mobile devices, and IoT.

While the mobile industry has deployed a new “G” every 10 years or so, 5G represents a unique case. 3G represented a radical departure from 2G, which was primarily focused on voice communications, by incorporating data. 4G shifted the emphasis from voice to data and provided a near-desktop experience from a mobile device. The leap from 4G to 5G is a little different as it does not create a new paradigm of use cases (yet), but rather extends the speed, latency, and densification of existing networks.

5G is the next generation of cellular technology that will create the foundation for person-to-person (mobility) and machine-to-machine (IoT) communications across the wireless wide area network.  As the technology becomes a reality over the next 2-3 years, in developed markets, it will impact not only consumers, but how businesses use the connectivity to transform their businesses. In fact, IDC forecasts that 50% of the Global 2000 will consider 5G connectivity a board-level agenda item in 2017.

2018 is an important transitional period for 5G technology – the hype and potential of 5G will be on full display from showcase events to network operators launching commercial 5G service.

Upon its realization, 5G will be the true “Mobile Internet” – for both people and connected “things.” 5G will be an enabler of the 3rd Platform and the emerging Innovation Accelerators. It will drive changes in behaviors in consumers – in how they interact, consume content and experience the world around them. It will help organizations drive towards Digital Transformation using the technologies like AR/VR, machine learning/artificial intelligence and robotics, to name a few, that are just beginning to gain momentum in the new Digital Transformation economy.

Interested in learning more about 5G’s potential as a major contributor to organizational DX? Download IDC’s eBook, “The Future is 5G”, and explore the advantages this digital mashup offers.

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,200 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC's analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives.