How can 5G mobile networks unlock advanced digital transformation?

As businesses and the public sector embrace digital transformation, we are on the brink of a major change that highlights a simple fact: there can be no advanced digitalization without high-performance mobile connectivity.

In the next 5 to 10 years, three interdependent cross-industry trends, electrification, automation and digitalization, will accelerate. The potential to realize these trends depends on three connected technologies: mobility, cloud and artificial intelligence. Under the combined effect of these technologies, efficiency and productivity will be improved, while digital, user-friendly services will be realized, immersive experiences and more sustainable solutions will emerge.

Neither the cloud nor AI can truly scale without mobile technology. That’s why it’s so important to fully implement the next wave of advanced connectivity, especially the extraordinary capabilities of 5G. Similar to previous technological changes that digitized consumers and drove the rapid expansion of the app economy, the next wave of mobile technology will unleash innovation across industries, reshape businesses, and unlock new network value.

Making the next wave of mobility a reality

The way we build mobile networks has undergone a fundamental shift in recent years. Ericsson is building open, programmable networks that are resilient, energy efficient and ensure a superior user experience in terms of availability, reliability and speed.

At the same time, programmable networks can be managed through software, allowing for rapid changes and flexible control over how the network operates and what services can be launched. This enables faster, more secure and differentiated connectivity, essentially priority-based service levels, providing tailored solutions for each enterprise or government customer.

We are also changing the way innovators, entrepreneurs and businesses take advantage of unique network capabilities. While the mobile web is by far the largest platform in the world, it only operates in a single direction, from the network to the user. We want to enable bidirectional operation so that developers can interact with the network and innovate with unique network capabilities.

This fundamental shift is driven by network APIs. These standardized interfaces enable mobile networks and applications to communicate with each other and enable developers to call specific network resources such as quality of service, speed, latency and location with simple commands. Our goal is to see millions of developers experiment, innovate and build game-changing applications using 5G technology.

Last year, we announced new partnerships with some of the world’s largest telecom operators. They will open up their networks to easily access advanced network capabilities through a global platform that aggregates network APIs. This will enable new use cases in areas we can’t even imagine, such as banking, logistics, manufacturing, and more.

The real-life impact of advanced connectivity

Today, many industries use proprietary solutions and lack a single connectivity technology foundation. This limits economies of scale, such as slowing down efficiency gains and cost reductions. Some areas where our standardized network can transform the industry include private networks, networks for first responders, and connectivity to satellites (known as non-terrestrial networks).

Combined with network APIs and other innovations, these new networks will enable manufacturers to redesign production processes, retailers to use cellular as the primary access technology in all locations, and emergency and information services to be available in every corner of the world. We have seen these productivity gains firsthand in our 5G-connected factories in Texas, where the application of new technologies such as digital twins has doubled labor productivity.

Here are three use cases for mobile network innovation:

• Mission-critical broadband enables seamless collaboration between emergency agencies. Medical systems can report real-time patient data, supplemented by video for more insights. On-site medical staff can receive timely instructions from doctors and leverage new applications such as AI-based voice analysis to monitor callers’ conditions for accurate pre-diagnosis of heart disease, etc.
• Ports are fundamental to the global economy, carrying 90% of the world’s cargo. Most ports are looking to improve operational efficiency and decarbonize. In Singapore, we are working with Singtel to deploy 5G advanced connectivity at Tuas Port to connect 5G-enabled automated guided vehicles. This will improve real-time cargo tracking and further optimize crane operations, allowing for smooth cargo movement between terminals and ships, and between ships and terminals.
• Web APIs will enhance online fraud protection. Amazon Web Services is working with Vonage and Ericsson to use APIs to enhance mobile security through features such as SIM swap detection and secure authentication, all powered by generative AI.

The companies, countries and regions that lead the way in 5G today will be the economic and political powerhouses of the future, as they will reap the lion’s share of the fruits of innovation. Just as railroads catalyzed industrialization, next-generation mobile networks will reshape the economic and political landscape and drive sustainable growth.

China and the United States thrived in the consumer platform economy because they were the first countries to build nationwide 4G networks. India, the United States, China, and parts of the Middle East are already well ahead in the 5G era. For example, China has deployed more than 10,000 private networks to digitize enterprises and achieve significant productivity gains. India is also doubling down on 5G construction, deploying more than one million 5G base stations in a year.

On the other hand, Europe has fallen behind and now faces a far-reaching choice - either continue on the path of leading the world in regulation or start competing on innovation and technology such as 5G.

I believe digitalization will accelerate, and the telecom industry has a once-in-a-generation opportunity to transform society on a global scale. Countries face a big choice. Do they commit to technological leadership, or do they sit on the sidelines?

Whether in business, government or telecommunications, collectively moving away from the old ways of working can be challenging. But as my father always said, "When was the best time to plant a tree? 40 years ago. When was the second best time? Today. Start now."