5G will drive new revenues in Media and Entertainment by 2028
According to a report called “5G Economics of Entertainment Report” commissioned by Intel and conducted by Ovum. It is predicted that over the next decade the media and entertainment companies will be battling to win a share of a near $3 trillion cumulative wireless revenue opportunity. Experiences enabled by 5G networks will account for nearly half of this revenue opportunity (close to $1.3 trillion).
Why 2025 is the 5G Tipping Point?
According to the report, from as early as 2025, 57 percent of global wireless media revenues will be generated by using the high-speed 5G networks and the devices that run on 5G. The low latency of these networks means that no video will lag or stop – live streaming and large downloads will happen almost instantaneously.
How Media Demand Drives Network Evolution?
It is forecast that 5G will drive content consumption, including mobile media, mobile advertising, home broadband and TV, and improve experiences across a broad range of new immersive and interactive technologies – unleashing the full potential of augmented reality (AR), virtual reality (VR) and new media.
The average monthly traffic per 5G subscriber will grow from 11.7GB in 2019 to a staggering 84.4GB per month in 2028, at which point video will account for 90 percent of all 5G traffic.
Forecast to provide $140 billion in cumulative revenues (2021-2028), expanded AR and VR experiences may also enable a whole new channel for content producers to reach consumers.
Immersive and new media applications – applications and capabilities that are currently non-existent will reach an unprecedented scale by 2028, forecast to generate more than $67 billion annually or the value of the entire current global mobile media market – video, music and games in 2017.
How Are Businesses Tuning in to 5G?
All industries, not just media and entertainment, are having to adapt to the changes within the business environment, consumers’ habits and public expectations. Businesses are trying to predict how 5G will transform and change their industry, society and global competitiveness, as well as starting to formulate a strategy to embrace the capabilities of 5G. Although without the promise of what 5G can provide, growth in many industries may remain stagnant or even decline.
“The big question is: What will not be impacted or disrupted by 5G? The next generation wireless network will power diverse digital innovation – everything from the computerisation of physical objects to artificial intelligence, ushering in an exciting new world that business leaders and indeed nations need to prepare for,” said Ed Barton, chief analyst of the Entertainment Practice, Ovum.
Source: Digital TV News