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REQUIREMENTS5G

1 ms LATENCY

1,000X MORE CAPACITY

10-100X CONNECTED

DEVICES PERCEPTION

OF 99.999%

AVAILABILITY

PERCEPTION OF 100%

COVERAGE

1G 2G

2G

3G

DATA ORIENTED 3G

4G 5G

90%

REDUCTION IN ENERGY USE

10 YEAR BATTERY FOR

SENSORS 10-100X

DATA RATES

Introducing the 5G Era

30

FIGURE 1.2.3

4G AND 5G ARE BASED ON THE SAME TECHNOLOGY PHILOSOPHY

BOUNDLESS CONNECTIVITY FOR ALL

NETWORK ECONOMICS

& INNOVATION

ENHANCED BROADBAND MASSIVE IOT & CRITICAL

COMMUNICATIONS VERTICAL / INDUSTRIAL

TRANSFORMATION

VOICE ORIENTED

5G ERA GOALS

5G REQUIREMENTS

1 ms LATENCY

1,000X MORE CAPACITY

10-100X CONNECTED

DEVICES PERCEPTION

OF 99.999%

AVAILABILITY PERCEPTION

OF 100%

COVERAGE

1G 2G

2G

3G

DATA ORIENTED 3G

4G 5G

90%

REDUCTION IN ENERGY USE

10 YEAR BATTERY FOR

SENSORS 10-100X

DATA RATES

1.2.3 Coexistence with 4G

5G and 4G networks will coexist well into the 2030s

While 5G offers superior performance over 4G, both will coexist comfortably into the 2030s as the bedrock of next generation mobile networks. There are three perspectives that help to underline this point.

Firstly, unlike voice-oriented 2G and 3G (which were primarily circuit-switched networks with varying attempts to accommodate packet-switching principles), 4G is a fully packet-switched network optimised for data services. 5G builds on this packet- switching capability as is shown in Figure 1.2.3.

Therefore, 4G and 5G networks can coexist for a long while because the transition from 4G to 5G does not imply or require a paradigm shift in the philosophy of the underlying technology.

Secondly, as the parallels with fibre rollout for fixed broadband show, Fibre-To-The-Home/Premises (FTTH/P) coexists with variations of copper-based

Digital Subscriber Lines (DSL) and customer migration to the superior FTTH system is a long term, multi- decade project. In many markets, 5G coverage will be less than complete for at least a decade until the late 2020s and users will continue to rely on the 4G network for 5G non-spots (see Section 1.4.5 for forecasts).

Thirdly, given the absence of a philosophical paradigm shift, it was always envisioned that 4G is a futuristic project; hence the acronym LTE (Long Term Evolution), a registered trademark of the European Telecommunications Standards Institute (ETSI). As the first fully packet-based mobile network technology, LTE laid the foundation for future iterations of packet-based mobile networks.

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31

1.2.4 5G latency & speed

Faster speed and lower latency will define the 5G era customer experience

5G will provide much higher data throughput, enabling a significantly better customer experience. Most of the headlines, marketing pitches and even official targets, will be based on the faster speeds delivered by 5G networks.

Faster speeds, however, are not the only determinant of overall customer experience3. In particular, the reduction in latency (delay) for data’s transit across the 5G networks and to end users will play a major role in unlocking new use cases in the 5G era. The Tactile Internet and Immersive Communications services are

examples of use cases that will benefit from 5G’s lower latency capabilities, as outlined in Figure 1.2.4.

While the headline speed and latency will be

regularly promoted, what will matter most for 5G era services is the consistency in achieving the claimed service performance. For example, suppose tactile internet can work with 10ms latency, this can be achieved in modern 4G networks, however only on a few occasions and in ideal scenarios. In contrast, 5G networks should be able to meet the same performance levels most of the times.

<1Mbps –

+ +

1Mbps 10Mbps 100Mbps

1000ms 100ms 10ms 1ms

>1GB

Bandwidth Throughput

Services deliverable by 4G and evolved 4G Services requiring 5G capabilities Person to person Person to machine Machine to machine Delay

Disaster alert

Automotive ecall

Real time gaming

Multi-person video call

Tactile internet Virtual reality Autonomous driving

Augmented reality

First responder connectivity Video streaming

Personal cloud Wireless cloud

Bi-directional remote controlling Device

remote controlling

Monitoring sensor networks

ARTIFICIAL INTELLIGENCE

5G+

Personal assistants

Robotics Machine

learning

Speech, image

& video recognition

Logistics Contextual and

recommendations Surgery

& healthcare Gaming

Virtual, augmented reality,

computer vision FIGURE 1.2.4

5G WILL SUPPORT LOW LATENCY AND HIGH THROUGHPUT SERVICES

3. https://www.econstor.eu/bitstream/10419/148707/1/Stocker-Whalley.pdf

Introducing the 5G Era

32

FIGURE 1.2.5

5G IS AT THE CENTRE OF THE HETEROGENEOUS NETWORK OF THE FUTURE

0.98 1.00 1.02 1.04 1.06 1.08 1.10 1.12 1.14 1.16

Mobile revenues (USD, trillions)

2018 2019 2020 2021 2022 2023 2024 2025

Premises City Motorway Rural

Wi-Fi zone

5G

Fibre LPWA LPWA

Small cell

Aerial networks

5G + 4G

1.2.5 5G and heterogeneous networks

A flexible framework, and modularised design puts 5G at the centre of the heterogeneous network

5G networks will utilise and integrate a mixture of spectrum and access networks to meet customers’

capacity and coverage needs. This possibility puts 5G at the centre of the heterogeneous network (HetNet) in a way that has not been feasible with previous generations.

This new role at the centre of the HetNet is because, unlike previous generations, 5G networks have been designed from inception to be multi-access. For example, the 5G core network can be accessed by the 5G New Radio, 4G, Wi-Fi or the fixed broadband network. At the radio level, several 5G deployment options envisage that 5G will work with 4G.

It also follows that, by design, 5G networks will be flexible and modular, with technologies such as Network Slicing; Software Defined Networks

(SDN); Network Function Virtualisation (NFV);

and Cloud Radio Access Network (Cloud RAN). A flexible architecture makes it feasible to increase overall network capacity by adding small cells to complement macro networks. In addition, completing the standardisation of APIs towards underlying

infrastructure will be key for automated connectivity to hetnets. These are discussed in detail in Section 4.4 on Network Flexibility.

A 5G HetNet provides several benefits. First, it makes it possible to add 5G hotspots or small cells to an existing 4G network to increase capacity. This is likely to be the early deployment scenario for 5G and is explored in detail in Chapter 5. Second, a 5G HetNet can synergistically incorporate Wi-Fi offload and Fixed Mobile Convergence, bringing these into play as network operations and management options.

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1.2.6 5G and Intelligent Connectivity

The combination of 5G, AI and IoT will usher in a new age of Intelligent Connectivity

5G is developing in parallel with rapid advancements in AI and IoT. The combination of flexible, high-speed 5G networks with AI and IoT will underpin the new age of Intelligent Connectivity.4

Figure 1.2.6 illustrates the central role that 5G and AI will play in powering the intelligent connectivity era.

This era will be defined by highly contextualised and

personalised experiences, delivered on demand. It will have a significant and positive impact on individuals, industries, society and the economy, transforming the way people live and work.

<1Mbps

– +

+

1Mbps 10Mbps 100Mbps

1000ms 100ms 10ms

>1GB

Bandwidth Throughput

Person to person Person to machine Machine to machine Disaster alert

Automotive ecall

Real time gaming

Multi-person video call

First responder connectivity Video streaming

Personal cloud Wireless cloud

Bi-directional remote controlling Device

remote controlling

Monitoring sensor networks

ARTIFICIAL INTELLIGENCE

5G+

Personal assistants

Robotics Machine

learning

Speech, image

& video recognition

Logistics Contextual and

recommendations Surgery

& healthcare Gaming

Virtual, augmented reality,

computer vision FIGURE 1.2.6

5G AND INTELLIGENT CONNECTIVITY

4. https://www.gsma.com/IC/wp-content/uploads/2018/09/21494-MWC-Americas-report.pdf

Introducing the 5G Era

34

FIGURE 1.2.7

5G WILL SUPPORT EXISTING AND NEW PRODUCTS AND MARKETS (NOT EXHAUSTIVE)

Mass Market

EvolutionNew Opportunity

Verticals New Horizons

Extended Opportunities

Core Business

Sensors networks UHD content

delivery Private networks First responder

connectivity Virtual presence Immersive video

communications

Mobile hot spots

Low cost mobile broadband IMS-based

services Mobile broadband

Connectivity

Cloud services Thin clients

Augmented reality

Wearables

Smart metering Remote control Real-time video uplink Real-time telematics Automated

controls

eHealth

Person to person Person to machine Machine to machine

MANUFACTURING &

UTILITIES 34%

PROFESSIONAL &

FINANCIAL SERVICES 28%

PUBLIC SERVICES 16%

ICT & TRADE 15%

AGRICULTURE

& MINING 7%

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