Business

5G may bring $300 billion to Latin America by 2023

According to the document, the region stands out with growth of 14% per year in the sector

5G may bring $ 300 billion to Latin America by 2023
5G may bring $ 300 billion to Latin America by 2023. Photo: Shutterstock
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  • 5G technology may bring $ 1.1 trillion in global investments until 2025, says GSMA report;
  • Investments in Latin American mobile industry grew 14% last year.

GSMA, a telecom trade body, published its latest report on the mobile economy in 2019. According to the study, Latin America stands out as it registered growth of 14% in the sector during last year. The projection is that 5G may result in investments of $300 billion to Latin America by 2023.

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The survey also points out that 5G will bring more than $1.1 trillion in global investments until 2025. The report predicts that the sector with most gains to be made from the new technology will be the industrial. The new trend in mobile connectivity, 5G is already operating in 24 markets. This new kind of network technology allows a connection speed 100x faster than 4G’s.

The expectation is that Latin America will continue its transition from a connected to a digital society. According to the report, in 2018 mobile technologies and services generated 5% of GDP in Latin America, close to $260 billion in value added to the region’s economy.

According to the report, enterprises in Latin America are betting that IoT deployments have a strong impact on productivity. Revenue protection and security are also listed among the main operational benefits, and startup investments are helping to advance the digital era.

GSMA says that there have been many 5G initiatives among startups, telecom operators, ecosystem players and venture-capital firms to advance the development of emerging technologies such as AI. Three Latin American markets exemplify this: Mexico has set out a national strategy for supporting digital transformation and AI, while Uruguay and Colombia have begun to formulate similar frameworks, according to the document.

The full report is available here.