Nokia studies outline busine return-on-investment from 5G services
18/04/2017
Nokia studies remove guesswork from operator and enterprise 5G business planning
Findings show solid business case including payback periods for new, high-value services services supported by 5G, their business models and network impact
Data shows only 5G can provide performance required for services including industrial applications and immersive virtual reality video to huge audiences
18 April, 2017
Brooklyn, New York - Nokia is leveraging its business modeling and 5G Acceleration Services capabilities to remove the guesswork from operators 5G network evolution plans. New Nokia studies have revealed the benefits of deploying 5G and identify those services with the potential to offer the greatest return on investment.
5G promises to change many aspects of the way people live and work, and service providers and enterprises want to understand how it will meet their specific business needs. Using tailored modelling that reflects customer-specific needs, Nokias 5G Acceleration Services can help operators and enterprises identify how the move to 5G will enable them to deliver new services that transform the customer experience and create new revenue streams.
In-depth Nokia analysis of how 5G will perform in real networks has found that it can:
increase capacity by 40 times compared to 4G, making it the only commercially viable technology for the delivery of a true immersive VR video experience to massive numbers of subscribers in high-attendance venues
substantially reduce the cost-per-device in a smart city deployment handling millions of connected devices, including IoT sensors
deliver the 99.999 percent reliability and low-latency at-scale required in an Industry 4.0 environment
Nokias research and analysis also shows how operators and enterprises can capitalize on early 5G deployments to drive the best return on investment (ROI). Business cases include:
5G to the Home will break even after four years if the monthly average revenue per user remains above EUR 40
5G events and hotspots, in locations such as stadiums, have a one-year payback period depending on the number of events held at the location, with at least five events per month required to ensure a profitable business case
operators can achieve tangible early mover advantages in terms of revenue and market share for services such as in-vehicle infotainment
Joe Madden, Principal Analyst at Mobile Experts said: While market news has recently focused on the announcement of 5G technologies that drive increased network performance, its important to discuss how these low latency broadband connections will translate into customer value. With the publication of the two new studies and its 5G Acceleration Services, Nokia is showing operators and enterprises how they will be able to benefit from early 5G deployment.
Harold Graham, head of the 5G Business Line at Nokia said: In these studies we have delivered key new insight into the benefits and business opportunities enabled by 5G. With our 5G FIRST end-to-end technology platform and 5G Acceleration Services, we have a comprehensive offer that we can leverage to help operators and enterprises understand the real value of 5G in relation to their particular business needs. Working closely with our customers we can help them evolve their business cases and provide clear recommendations for investments on their path to 5G.
Nokia will highlight its 5G Acceleration Services capabilities and discuss in more detail the findings from its studies at the Brooklyn 5G Summit from 19 to 21 April. Find out more and register to receive live streaming video from the event.
Did you know
In February, Nokia announced its commercial 5G FIRST system based on early specifications. 5G FIRST leverages the breadth of Nokias network capabilities and will provide operators with a first-to-market advantage with the delivery of ultra-low latency and ultra-high throughput to meet the growing demands of people and connected things.
Resources
White Paper: The 5G advantage in real network scenarios
White Paper: Translating 5G use cases into viable business cases
Web Page: 5G use cases
Web Page: 5G - Creating a new era of communication
Web Page: Services for 5G - Turning 5G Visions into real business
Web page: 5G Acceleration Services - for planning your 5G journey
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Nokia is a global leader innovating the technologies at the heart of our connected world. Powered by the research and innovation of Nokia Bell Labs, we serve communications service providers, governments, large enterprises and consumers, with the industrys most complete, end-to-end portfolio of products, services and licensing.
From the enabling infrastructure for 5G and the Internet of Things, to emerging applications in virtual reality and digital health, we are shaping the future of technology to transform the human experience. www.nokia.com
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