Ericsson estimates the number of 5G mobile subscribers will exceed 580 million by the end of 2021, driven by about 1 million new 5G mobile subscribers every day. The 20th edition of the Ericsson Mobility Report also predicts that 5G will be the fastest-adopted mobile generation. By the end of 2026, the number of 5G subscribers is expected to reach around 3.5 billion and the 5G population coverage will reach 60%.
“The pandemic has caused a surge in demand for faster connections. Currently, high-quality fixed and mobile broadband are important national infrastructures. To cope with the fast data growth and reduce the cost per GB, we need better technology and the transition to 5G technology is easy and smooth,” said Jerry Soper, Country Head, Ericsson Indonesia.
Today, mobile connectivity has become very important in maintaining business continuity while working or studying remotely. According to Ericsson ConsumerLab, The Future Urban Reality , Indonesian consumers are online on average 3 hours longer per day, about 8 hours 45 minutes per day. In addition, more than half of the time spent online occurs on smartphones .
ConsumerLab’s report Five Ways to a Better 5G also discusses consumer interest in switching to 5G amid the COVID-19 pandemic as well as new user behavior brought about by 5G. Prospective early adopters of 5G in Indonesia are basically looking for three things, namely higher speed, a trusted network, and innovation.
At the same time, consumers are willing to pay 50% more for 5G plans, which are bundled with digital services . For example, 70% think that the 5G in-venue sports and concert experiences are worth their money. In other words, the biggest revenue increase for communication service providers will still come from combining digital services with 5G tariffs to convince consumers of the value of 5G network platforms .
It can be said that Indonesia already has a strong foundation for the implementation of 5G. Around 19% of smartphone users in urban areas own a smartphone that supports 5G. Five million users will switch to 5G in the first two years after 5G networks become commercially available.
Currently, 5G- ready device users are spending 3 hours more on AR applications per week and 1.5 hours more on enhanced media per week than 4G users. By 2025, consumers in Indonesia are expected to spend 7.5 to 8 hours a week on cloud gaming and AR or VR applications.
“In line with the government’s program to accelerate digital transformation in Indonesia, we, Ericsson, are committed to continuing to support the government in expanding the reach and capacity of a strong network while ensuring Indonesia remains at the forefront of 5G development,” said Soper.