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5G service revenues to reach $270bn by 2025

July 5, 2017

A report from Juniper Research has found that 5G operator-billed service revenues will reach $269 billion by 2025, rising from $851 million in 2019 – achieving 161 per cent CAGR (compound annual growth rate) over the first 7 years of 5G services.

Juniper’s research is based on the latest market data and takes into account the accelerated status of current operator and vendor developments, with network launches expected to occur during 2019, a year earlier than originally anticipated.

Juniper’s top 5 ranking of the ‘most promising’ 5G network operators:

  1. SK Telekom
  2. NTT DOCOMO
  3. KT Corp
  4. China Mobile
  5. AT&T Mobility

SK Telekom ranked No 1 for the extent of 5G trialling over the past 24 months in the fields of millimetre wave spectrum, MIMO (Massive Input, Massive Output) transmission and network splicing.

Juniper’s ranking process included analysis of time in development, breadth and value of partnerships and progression of 5G network testing.

Additionally, the research predicted that 66% of all 5G operator-billed revenues will come from North America and Far East & China by 2025.

A. The Top 5G Network Operators

The research predicted that 5G spectrum auctions and infrastructure build-out costs would necessitate a diverse range of strategies to maximise operator return on investment. This need, the research claimed, is compounded by the ongoing fall of average revenues per connection. As such, Juniper predicted adoption of software-based network solutions will lower investment costs, enabling operators to begin realising a return on investment as early as 2024.

Furthermore, the research emphasised the importance of these technological solutions in addressing varying 5G use cases: “Network virtualisation will become increasingly prominent as operators aim to lower expenditures” noted research author Sam Barker, “Adoption of the technology is critical to the wide-ranging demands of future 5G networks”.

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