Faster data is driving telecoms

The Mobile World Congress again proves that faster data pushes the industry forward

The world’s largest gathering for the mobile industry is taking place in Barcelona this week. The Mobile World Congress is where the smartphone industry comes together to set the tone for the year ahead. It should be no surprise that faster wireless data connection is again the hottest topic of conversation. Alongside the latest flagship smartphones from the leading manufactures such as LG and Huawei, industry insiders will be discussing the prospect of 5G networks.

In simple terms, 5G networks are the fifth generation of cellular networking. Like 4G and LTE before it, 5G promises faster data transfer speeds and more reliable connectivity. While there is no official launch date for a 5G network anywhere in the world, the need for speed is clearly the engine driving the industry forward. Leaping into the next generation of network connectivity requires a handsome investment in physical infrastructure and new hardware capable of handling the new frequencies. This investment, however, is rewarded with the higher premiums customers are willing to pay for 5G data on their smartphones.

What does this mean for telecommunications closer to home? As this paper has argued in the past, data is the dominant force in the telecommunications industry and therefore cellular providers such as Etisalat and du should abandon outdated voice-centric consumer packages to focus on data. Not only can the UAE lead the industry in creating 5G infrastructure but cities such as Abu Dhabi and Dubai are able to push forward with public Wi-Fi projects for urban areas.

As in other cities with public Wi-Fi, data speed is revenue for operators. While users can enjoy free Wi-Fi at a throttled speed, faster connections are offered to those willing to pay for them. Emirates has adopted a similar scheme for its popular in-flight Wi-Fi service. This year’s Mobile World Congress is yet another indication that data is the engine that keeps the smartphone industry alive. Our telecommunications industry can no longer afford to ignore the writing on the wall.