Telecoms operators are rubbing their hands at the predicted performance of the IoT, with revenue expected to skyrocket in the next five years.
New research from Juniper Research suggests operator-billed revenue from 5G IoT devices will hit $8 billion by 2025, up from $525 million expected this year - representing a 1,400 percent growth.
According to the report, 5G IoT connections need to be seen as new connections that won’t cannibalise current operator connectivity revenue from existing IoT tech. Telecoms service providers will need to build new value-adding services to enable IoT users to manage their 5G connections.
The report places significant emphasis on network slicing and multi-access edge computing solutions, describing them as “essential” for the attraction of IoT service users likely to spend the most money.
“Management tools for the newly-enabled services are key for users managing large scale deployments,” said Andrew Knighton, author of the report.
“We believe only five per cent of 5G connections will be attributable to the IoT, but as these are newly enabled connections, operators must view them as essential to securing a return on their 5G investment”.