Creating value from 5G: The challenge for mobile operators

Through its superior technical characteristics compared to previous generations of mobile technologies, 5G supports the development of innovative services and products across the whole economy. As a consequence, the potential impact of 5G is frequently described as being significant, with estimates of $1 trillion or more being added to global GDP by the end of the decade being common. For mobile operators, 5G provides an opportunity to generate new sources of revenue. This would boost their revenues, and thus their market capitalisations which have fallen in recent years as value has migrated to other parts of the digital economy. In this paper we argue that mobile operators face a number of inter-woven challenges that will shape their ability to utilise 5G to generate new sources of revenues.