Aussies still eager to transition to 5G amidst inflation

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Amidst skyrocketing prices, there is still a strong desire for 5G technology upgrades worldwide, with 23 per cent of Australian smartphone users planning to make the purchase in the coming year.

According to Ericsson’s ConsumerLab report, 79 per cent of current 5G users would not consider going back to 4G.

The paper also emphasizes that Australia has progressed past early adopters in its adoption of the technology.

A new generation of users has developed with higher expectations because 58 per cent of all smartphone users worldwide are currently using 5G today.

According to Ericsson, these users are “less forgiving, value conscious, and expect significant improvements in 5G performance.”

Mainstream adopters now feel that coverage and speed are the most essential motives for upgrading, as opposed to 22 per cent of previous prospective customers who desire new applications and services.

Consumer involvement with immersive digital services is increasing as 5G penetration reaches mainstream tech consumers; in 2022, 70 per cent of smartphone users utilize more than three services, up from 59 per cent in 2020.

In addition to streaming videos in higher definition, Australian 5G users are 2.2 times more likely than 4G users to use AR and VR on a weekly basis.

In Australia, 43 per cent believe that 5G is necessary for metaverse applications like augmented and virtual reality technology.

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Ericsson ConsumerLab has identified the following important consequences for mobile service providers with the introduction of new 5G users based on these insights:

“1. Increasing 5G availability and educating consumers on real-world availability and performance
2. Improving network coverage both indoors and outdoors at important use places
3. Ensuring increased uplink throughput to meet the increased usage of AR and VR
4. Adapting service offerings to reflect shifting consumer demands
5. Exploring other aspects of the metaverse ecosystem that providers can participate in”

Related: ACCC accepts Telstra’s undertaking to address 5G competition concerns (commsroom.co)

Ericsson Australia and New Zealand head Emilio Romeo said, “This report provides invaluable insights into the evolution of 5G users and how service providers can adapt to new user demands. It’s exciting to see the new wave of users emerging and exploring the potential for 5G for themselves.

“As part of the study, we know that ensuring satisfaction and driving further adoption among new users is not just about improving performance, but also communicating what they can expect in the real world.”

The survey, according to Ericsson, examines consumer perception and mood in 37 markets, including Australia, the United States, China and South Korea.

1,200 Australian residents were interviewed for the research, and over 49,000 interviews were done worldwide, representing 11,000 current 5G users.

This article was initially published in the paid newsletter CommsWire.

 

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Jaw de Guzman
Jaw de Guzman
Jaw de Guzman is the content producer for Comms Room, a knowledge platform and website aimed at assisting the communications industry and its professionals.