More than 60 countries are already covered by the fifth generation mobile standard
As of January 2021, 61 countries have deployed 144 commercial 5G networks, according to the World Association of Mobile Service Providers. In its report, the association stated "stable growth" in the launch of the fifth generation commercial network in 2020. VIAVI's research shows that since early 2021, 5G coverage has expanded to four more countries and 301 cities. Thus, it currently covers 1,662 cities in 65 countries. The three countries with the largest number of cities with coverage look like this:
Countries vs. Huawei
Most countries cannot afford to miss out on the quantum leap in communications technology. However, there are concerns about the Chinese company Huawei Technologies, one of the world's largest suppliers of telecommunications, networking equipment and smartphones. Leaders in several countries are confident that the company's products may contain security holes that the Chinese government is likely to use for espionage. In addition, some countries claim that Huawei is stealing intellectual property from foreign technology companies.
Thus, several countries, regions, enterprises and organizations have severed or are considering the possibility of terminating their relationship with Huawei. For example, Australia has blocked Huawei as a supplier of equipment for its 5G network. The UK government has decided to ban Huawei until 2027 from participating in the rollout of the country's 5G network.
In the US, Huawei has been on the "black list" since 2019. Slovenia, Poland, Czech Republic, Romania, Estonia, Latvia, Slovakia and Bulgaria have signed MOUs with the previous Trump administration to remove Huawei from their 5G market. Sweden has banned Chinese suppliers from fully deploying 5G and has given telecom operators the ability to remove Chinese equipment from their infrastructure by 2025.
5G: what are the benefits
The popularity of fifth generation cellular technology is due to the advantages it offers over 4G.
5G benefits for the fintech industry
As of January 2021, 61 countries have deployed 144 commercial 5G networks, according to the World Association of Mobile Service Providers. In its report, the association stated "stable growth" in the launch of the fifth generation commercial network in 2020. VIAVI's research shows that since early 2021, 5G coverage has expanded to four more countries and 301 cities. Thus, it currently covers 1,662 cities in 65 countries. The three countries with the largest number of cities with coverage look like this:
- China - 376
- United States - 284
- Philippines - 95
Countries vs. Huawei
Most countries cannot afford to miss out on the quantum leap in communications technology. However, there are concerns about the Chinese company Huawei Technologies, one of the world's largest suppliers of telecommunications, networking equipment and smartphones. Leaders in several countries are confident that the company's products may contain security holes that the Chinese government is likely to use for espionage. In addition, some countries claim that Huawei is stealing intellectual property from foreign technology companies.
Thus, several countries, regions, enterprises and organizations have severed or are considering the possibility of terminating their relationship with Huawei. For example, Australia has blocked Huawei as a supplier of equipment for its 5G network. The UK government has decided to ban Huawei until 2027 from participating in the rollout of the country's 5G network.
In the US, Huawei has been on the "black list" since 2019. Slovenia, Poland, Czech Republic, Romania, Estonia, Latvia, Slovakia and Bulgaria have signed MOUs with the previous Trump administration to remove Huawei from their 5G market. Sweden has banned Chinese suppliers from fully deploying 5G and has given telecom operators the ability to remove Chinese equipment from their infrastructure by 2025.
5G: what are the benefits
The popularity of fifth generation cellular technology is due to the advantages it offers over 4G.
- 5G is 100 times faster and has 1,000 times more bandwidth than 4G networks. These characteristics will help revitalize the development of virtual reality (VR), artificial intelligence (AI) and the Internet of things (IoT).
- 5G uses high-frequency waves, which are used by relatively few programs today. Experts agree that the next-generation network will increase automation and transparency of operations, which will reboot business processes, increase efficiency and reduce costs.
5G benefits for the fintech industry
- According to the World Bank, about 1.7 billion people around the world still do not have a bank account. 5G and mobile phone access may soon solve this problem. The introduction of 5G will offer high-speed internet in rural areas, while expanding the target audience for financial companies.
- Fintech players will be able to leverage the speed and power of 5G to develop new lending products and improve the speed and accuracy of lending decisions.
- Fintech is likely to become more innovative with the introduction of 5G, as it can store significant amounts of data in the cloud and include augmented reality (AR).
- With the introduction of 5G, the concerns about the efficiency of payments made through wearable and IoT-connected devices will disappear, as 5G will allow more data to travel across networks in real time.
- 5G latency will be reduced to less than one millisecond, making digital banking more attractive to users.
- Banks are using next-generation communications to improve fraud prevention. Data processing, verification of the nature of transactions, confirmation of the amount and availability of funds, combined with customer geolocation and merchant ID are all areas that will be strengthened with 5G.
- 5G will allow fintech companies to update applications in real time without inconveniencing customers.
