5G Technology in 2019 - Business Applications and Industry Transformation

Fifth-generation wireless technology (5G) represents a quantum leap beyond 4G capabilities, promising to transform how businesses operate and how consumers experience connectivity. As 5G networks begin commercial deployment in 2019, organizations across industries are exploring how this revolutionary technology will enable new business models, enhance operational efficiency, and create unprecedented customer experiences. This comprehensive guide explores the current state of 5G technology, its transformative business applications, and how organizations can prepare for the 5G future.

The Current State of 5G

Where the technology stands today:

• Early Commercial Deployments: Initial 5G networks launching in major cities
• Evolving Standards: Ongoing development of 5G specifications and capabilities
• Device Ecosystem Growth: First wave of 5G-compatible smartphones and equipment
• Infrastructure Investment: Significant carrier spending on network upgrades
• Spectrum Allocation: Governments assigning frequency bands for 5G services

These developments are laying the foundation for 5G's transformative impact across industries and applications.

5G Technology Fundamentals

Key capabilities and characteristics:

1. Enhanced Mobile Broadband (eMBB)

Dramatically faster connectivity:

• Peak Data Rates: Up to 20 Gbps, 10-100x faster than 4G
• User Experienced Data Rates: 100+ Mbps in typical conditions
• Traffic Capacity: 1,000x more data volume per area than 4G
• High-Definition Streaming: 4K/8K video without buffering
• Immersive Experiences: AR/VR applications without latency constraints

Business Impact: Organizations can deliver rich media experiences, enable remote work with high-bandwidth applications, and create immersive customer interactions previously impossible on mobile networks.

2. Ultra-Reliable Low-Latency Communications (URLLC)

Near-instantaneous response times:

• Air Interface Latency: As low as 1 millisecond
• Reliability: 99.999% availability for critical applications
• Deterministic Networking: Guaranteed performance levels
• Time-Sensitive Applications: Supporting real-time control systems
• Mission-Critical Services: Enabling applications requiring absolute reliability

Business Impact: Enables remote control of critical infrastructure, real-time automation, autonomous vehicles, and applications where milliseconds matter for safety or performance.

3. Massive Machine-Type Communications (mMTC)

Connecting billions of devices:

• Connection Density: Up to 1 million devices per square kilometer
• Energy Efficiency: 10+ years battery life for IoT devices
• Cost Optimization: Affordable connectivity for massive sensor deployments
• Coverage Enhancement: Improved signal penetration for challenging environments
• Diverse Service Support: Optimized for varying device requirements

Business Impact: Organizations can deploy comprehensive IoT strategies with dense sensor networks, smart infrastructure, and connected assets at unprecedented scale.

4. Network Slicing

Customized virtual networks:

• Dedicated Resources: Guaranteed performance for specific applications
• Service Differentiation: Tailored network characteristics for use cases
• Dynamic Allocation: Adjusting resources based on changing needs
• Multi-Tenant Support: Serving diverse requirements on shared infrastructure
• End-to-End Management: Comprehensive control of network parameters

Business Impact: Enables businesses to obtain carrier-grade private networks with specific characteristics optimized for their unique applications, all delivered over shared public infrastructure.

Transformative Business Applications

How 5G will enable new capabilities:

1. Industrial Automation and Industry 4.0

Revolutionizing manufacturing:

Key Applications

• Wireless Factory Automation: Replacing wired connections with ultra-reliable wireless
• Augmented Worker Solutions: Real-time information overlay for maintenance and operations
• Massive Sensor Deployments: Comprehensive monitoring of equipment and processes
• Autonomous Mobile Robots: Coordinated movement of factory vehicles and robots
• Digital Twins: Real-time virtual replicas of physical assets and processes

Implementation Example: Bosch is implementing 5G in its manufacturing facilities to enable flexible production lines with mobile robots, augmented reality maintenance, and comprehensive real-time monitoring, increasing productivity by 25% while reducing downtime.

2. Enhanced Customer Experiences

Transforming consumer interactions:

Key Applications

• Immersive Retail: AR/VR shopping experiences in-store and remotely
• Volumetric Video: Holographic communications and content
• Location-Based Services: Hyper-local, contextual customer engagement
• Interactive Live Events: Multi-angle, personalized viewing experiences
• Cloud Gaming: Console-quality gaming without specialized hardware

Implementation Example: Verizon and NFL have partnered to create 5G-powered stadium experiences that allow fans to view real-time stats, multiple camera angles, and AR overlays during live games, significantly enhancing the in-stadium experience.

3. Smart Cities and Infrastructure

Enabling intelligent urban environments:

Key Applications

• Intelligent Traffic Systems: Real-time traffic management and optimization
• Public Safety Networks: Mission-critical communications for first responders
• Environmental Monitoring: Comprehensive urban sensing networks
• Smart Grid Integration: Advanced energy management and distribution
• Connected Public Spaces: Enhanced services in parks, venues, and transit

Implementation Example: Barcelona is deploying 5G-connected sensors throughout the city to monitor air quality, traffic patterns, waste management, and energy usage, enabling real-time adjustments that have reduced traffic congestion by 21% and energy consumption by 15%.

4. Healthcare Transformation

Revolutionizing medical services:

Key Applications

• Remote Surgery: Real-time control of surgical robots across distances
• Ambulance Telemedicine: Advanced diagnostics and treatment during transport
• Continuous Patient Monitoring: Real-time tracking of vital signs and conditions
• AR-Assisted Procedures: Guided medical interventions with virtual overlays
• Massive Medical IoT: Comprehensive connected healthcare environments

Implementation Example: The University of California San Francisco is using 5G to enable remote patient monitoring systems that continuously track vital signs and alert medical staff to potential issues before they become critical, reducing hospital readmissions by 30%.

Industry-Specific 5G Applications

How different sectors will leverage 5G:

1. Automotive and Transportation

Enabling connected and autonomous vehicles:

• Vehicle-to-Everything (V2X) Communication: Real-time interaction with infrastructure and other vehicles
• Autonomous Vehicle Coordination: Collective intelligence across vehicle fleets
• HD Mapping and Navigation: Centimeter-level positioning and routing
• Predictive Maintenance: Real-time vehicle diagnostics and service alerts
• In-Vehicle Experiences: Enhanced entertainment and productivity for passengers

Example: Audi is implementing 5G-connected vehicle technology that enables cars to communicate with traffic signals, other vehicles, and infrastructure, reducing travel time by 15% and fuel consumption by 12% in pilot deployments.

2. Media and Entertainment

Transforming content creation and consumption:

• Remote Production: Real-time video production from distributed locations
• Volumetric Capture: Creating 3D content for immersive experiences
• Cloud-Based Workflows: Collaborative content creation without physical media
• Personalized Experiences: Tailored content delivery based on location and context
• Interactive Advertising: Immersive, engaging promotional experiences

Example: Warner Bros. is using 5G to enable remote film production, allowing directors to view high-definition footage from multiple cameras in real-time regardless of location, reducing production costs by 30% while increasing creative flexibility.

3. Retail and Consumer Goods

Enhancing shopping experiences:

• Immersive Shopping: AR/VR product visualization and try-on
• Automated Checkout: Frictionless purchasing experiences
• Intelligent Inventory: Real-time tracking of products throughout supply chain
• Interactive Product Information: Detailed digital content about physical products
• Personalized In-Store Experiences: Customized shopping journeys

Example: Walmart is testing 5G-powered smart shelves and mirrors that display product information, suggest complementary items, and allow customers to virtually try products, increasing conversion rates by 35% for featured merchandise.

4. Energy and Utilities

Modernizing critical infrastructure:

• Smart Grid Management: Real-time monitoring and control of energy distribution
• Predictive Maintenance: Anticipating equipment failures before they occur
• Drone Inspection: Remote monitoring of pipelines, power lines, and facilities
• Worker Safety: Connected personnel with real-time hazard alerts
• Distributed Energy Integration: Managing complex renewable energy sources

Example: Duke Energy is implementing 5G-connected grid sensors and controls that enable real-time management of electricity distribution, reducing outages by 40% and improving integration of renewable energy sources.

5G Implementation Considerations

Key factors for successful adoption:

1. Infrastructure Requirements

Physical and technical needs:

Implementation Elements

• Small Cell Deployment: Dense networks of compact base stations
• Fiber Backhaul: High-capacity connections to small cells
• Spectrum Considerations: Different frequency bands for various applications
• Edge Computing Infrastructure: Distributed processing capabilities
• Indoor Coverage Solutions: Ensuring connectivity inside buildings

Best Practice: Develop a phased implementation plan that prioritizes high-value locations and use cases, recognizing that 5G coverage will expand gradually rather than appearing ubiquitously.

2. Security and Privacy

Protecting 5G-enabled systems:

Security Considerations

• Network Slicing Security: Isolation between virtual network segments
• IoT Device Protection: Securing massive numbers of connected endpoints
• Distributed Security Architecture: Protection across edge computing nodes
• Privacy Controls: Managing sensitive data across complex networks
• Supply Chain Security: Ensuring trusted equipment and software

Best Practice: Implement security by design principles, incorporating protection mechanisms from the planning stages rather than adding them after deployment.

3. Integration with Edge Computing

Combining 5G with distributed processing:

Integration Approaches

• Multi-access Edge Computing (MEC): Processing data close to its source
• Workload Distribution: Determining optimal processing locations
• Application Redesign: Restructuring software for edge-cloud environments
• Data Management: Policies for local vs. cloud storage and processing
• Orchestration Systems: Coordinating distributed computing resources

Best Practice: Develop a comprehensive edge computing strategy alongside 5G implementation, identifying applications that benefit most from low-latency local processing.

4. Business Case Development

Justifying 5G investments:

Business Case Elements

• Use Case Prioritization: Identifying high-value applications
• ROI Calculation: Quantifying benefits against implementation costs
• Competitive Analysis: Assessing industry adoption and differentiation
• Implementation Phasing: Staging investments for optimal returns
• Partnership Strategies: Collaborating with carriers and technology providers

Best Practice: Create a portfolio of 5G use cases with varying implementation timelines, balancing quick wins with transformative long-term opportunities.

5G Ecosystem and Partnerships

Key players and collaboration models:

1. Network Operators

Carriers deploying 5G infrastructure:

Key Players

• Verizon: Leading US deployment focusing on millimeter wave
• T-Mobile: Broad coverage strategy using low and mid-band spectrum
• Vodafone: Extensive European deployments across multiple countries
• China Mobile: World's largest carrier with massive 5G rollout
• SK Telecom: Advanced South Korean network with innovative applications

Partnership Approach: Network operators are moving beyond connectivity to offer end-to-end solutions, including edge computing, security, and application platforms.

2. Equipment Providers

Hardware and infrastructure vendors:

Major Vendors

• Ericsson: End-to-end 5G infrastructure solutions
• Nokia: Comprehensive network equipment and services
• Huawei: Full-range 5G portfolio (with regional restrictions)
• Samsung: Growing presence in network equipment
• Cisco: Networking and edge computing infrastructure

Partnership Approach: Equipment providers are creating industry-specific solutions and reference architectures to accelerate 5G adoption in key verticals.

3. Cloud and Edge Providers

Computing infrastructure for 5G applications:

Key Players

• AWS Wavelength: Edge computing integrated with 5G networks
• Microsoft Azure Edge Zones: Distributed computing for low-latency applications
• Google Anthos for Telecom: Kubernetes-based platform for network edge
• IBM Edge Application Manager: Software for managing edge computing
• Dell Technologies: Infrastructure for telecom edge deployments

Partnership Approach: Cloud providers are collaborating with carriers to place computing resources within the 5G network, enabling ultra-low-latency applications.

4. Industry Consortia

Collaborative development groups:

Notable Organizations

• 5G Automotive Association (5GAA): Advancing connected vehicle technology
• 5G Alliance for Connected Industries (5G-ACIA): Focusing on industrial applications
• Open Radio Access Network (O-RAN) Alliance: Developing open interfaces for 5G
• Global System for Mobile Communications Association (GSMA): Industry coordination
• Next Generation Mobile Networks Alliance (NGMN): Operator-led 5G requirements

Partnership Approach: Industry consortia are creating standards, reference architectures, and implementation guidelines to accelerate adoption in specific sectors.

Overcoming 5G Implementation Challenges

Addressing common obstacles:

1. Coverage and Deployment Limitations

Managing the realities of early 5G:

• Challenge: Inconsistent availability and performance of 5G networks
• Solutions:
  • Implement hybrid connectivity strategies using multiple technologies
  • Prioritize use cases that can function with intermittent 5G access
  • Consider private 5G networks for critical applications
  • Develop graceful degradation capabilities when moving between coverage areas
  • Partner with carriers on dedicated coverage for key locations

Example: Toyota is implementing a hybrid connectivity strategy in its manufacturing facilities, using private 5G for critical applications while leveraging public 5G and 4G LTE for less demanding functions, ensuring operational continuity regardless of public network availability.

2. Device and Equipment Readiness

Navigating the evolving hardware ecosystem:

• Challenge: Limited availability of 5G-capable devices for various use cases
• Solutions:
  • Develop modular approaches that can incorporate 5G as hardware matures
  • Implement future-proofing in current deployments to ease transitions
  • Explore enterprise-specific devices with longer lifecycle support
  • Consider retrofitting options for existing equipment
  • Participate in early vendor programs for specialized hardware

Example: John Deere is developing modular connectivity systems for agricultural equipment that can be upgraded from 4G to 5G without replacing the entire machine, protecting customer investments while enabling future capabilities.

3. Cost Considerations

Managing the economics of 5G adoption:

• Challenge: Higher initial costs for 5G implementation and devices
• Solutions:
  • Focus initial deployments on high-ROI use cases
  • Consider network slicing to reduce private network costs
  • Explore shared infrastructure models for specific locations
  • Leverage carrier incentives for early adopters
  • Develop phased implementation plans aligned with business priorities

Example: The Port of Hamburg implemented a phased 5G deployment focusing initially on traffic management and logistics coordination, generating immediate operational savings that funded subsequent expansion to additional use cases.

4. Technical Complexity

Managing sophisticated multi-element systems:

• Challenge: Integrating 5G with edge computing, IoT, and existing systems
• Solutions:
  • Develop cross-functional teams with diverse technical expertise
  • Leverage reference architectures from industry consortia
  • Partner with system integrators experienced in 5G deployments
  • Implement proof-of-concept projects to build internal capabilities
  • Create centers of excellence to share knowledge across the organization

Example: Siemens has established a 5G innovation center that brings together networking, IoT, edge computing, and industry-specific experts to develop integrated solutions for manufacturing environments, accelerating deployment while reducing integration challenges.

Measuring 5G Success

Approaches to evaluating effectiveness:

1. Technical Performance Metrics

Assessing network capabilities:

• Coverage and Availability: Network presence in required locations
• Throughput and Capacity: Data transfer rates and total bandwidth
• Latency and Reliability: Response times and connection stability
• Connection Density: Number of simultaneous devices supported
• Energy Efficiency: Power consumption for connected devices

Best Practice: Establish baseline measurements before implementation and track improvements over time, focusing on metrics most relevant to your specific use cases.

2. Operational Impact Metrics

Measuring business process improvements:

• Process Efficiency: Time and resource savings in operations
• Quality Improvements: Reduction in errors and defects
• Asset Utilization: Improved use of equipment and resources
• Workforce Productivity: Enhanced employee effectiveness
• Operational Flexibility: Ability to adapt to changing conditions

Best Practice: Identify specific operational KPIs that 5G should influence and measure both before and after implementation to quantify the direct business impact.

3. Customer Experience Metrics

Evaluating user benefits:

• Satisfaction Scores: Customer feedback on 5G-enabled experiences
• Engagement Metrics: Interaction with new capabilities and features
• Conversion Rates: Impact on purchase decisions and completions
• Retention Improvements: Reduced churn and increased loyalty
• New Service Adoption: Uptake of 5G-dependent offerings

Best Practice: Implement voice-of-customer programs specifically focused on 5G-enabled experiences to understand which capabilities deliver the most perceived value.

4. Financial Impact Metrics

Assessing business outcomes:

• Revenue Growth: Increased sales from new capabilities
• Cost Reduction: Operational savings from improved efficiency
• Capital Efficiency: Better utilization of assets and investments
• Time-to-Market Improvement: Faster deployment of new offerings
• Return on Investment: Overall financial benefits versus costs

Best Practice: Create a balanced scorecard that connects 5G investments to both immediate financial outcomes and longer-term strategic benefits.

The Future of 5G: 2019 and Beyond

Emerging trends and developments:

1. 5G Advanced and Beyond

Evolution of the technology:

• 3GPP Release 16 and Beyond: Enhanced capabilities in upcoming standards
• Integrated Sensing and Communication: Networks that can detect and locate objects
• Terahertz Spectrum Utilization: Exploring even higher frequency bands
• Advanced Antenna Systems: More sophisticated MIMO implementations
• AI-Native Networks: Self-optimizing infrastructure with embedded intelligence

Strategic Implication: Organizations should view 5G as an evolving platform rather than a fixed technology, with capabilities that will expand significantly over the next decade.

2. Convergence with Other Technologies

5G as part of a broader technology ecosystem:

• AI and Machine Learning Integration: Intelligent network optimization and applications
• Blockchain for 5G Security: Distributed trust for device authentication and data integrity
• Digital Twin Expansion: Comprehensive virtual replicas enabled by ubiquitous connectivity
• Extended Reality Mainstreaming: AR/VR/MR becoming everyday tools
• Autonomous Systems Proliferation: Self-governing machines and processes

Strategic Implication: The most powerful applications will come from combining 5G with other emerging technologies, creating capabilities greater than any single innovation.

3. Industry Transformation

Fundamental business model changes:

• Product-as-a-Service Evolution: Connected products enabling service-based business models
• Value Chain Reconfiguration: New roles and relationships in traditional industries
• Platform Business Models: Network effects enabled by comprehensive connectivity
• Ecosystem Competition: Success determined by partner networks rather than individual companies
• Industry Boundary Blurring: Traditional sector definitions becoming less relevant

Strategic Implication: Organizations should consider how 5G might enable entirely new business models rather than simply enhancing existing operations.

4. Regulatory and Policy Evolution

Changing governance frameworks:

• Spectrum Management Innovation: New approaches to allocating wireless resources
• Security and Privacy Regulations: Evolving requirements for connected systems
• Infrastructure Sharing Models: Policies encouraging efficient network deployment
• Digital Divide Initiatives: Ensuring equitable access to advanced connectivity
• International Standards Harmonization: Global alignment of 5G approaches

Strategic Implication: Organizations should actively engage with regulatory developments, as policy decisions will significantly impact 5G deployment and use cases.

Conclusion: Strategic Implications for Business Leaders

As we progress through 2019, 5G is transitioning from hype to reality, with early deployments demonstrating its transformative potential. While widespread coverage and mature applications will take time to develop, the technology's trajectory is clear. The most successful organizations will be those that:

1. Develop a clear 5G strategy aligned with broader digital transformation initiatives
2. Identify specific high-value use cases rather than pursuing 5G for its own sake
3. Build the necessary technical capabilities through hiring, training, and partnerships
4. Create cross-functional teams that bridge IT, operations, and business units
5. Implement phased approaches that deliver incremental value while building toward transformative applications

By approaching 5G as a strategic platform for innovation rather than merely a faster wireless technology, organizations can position themselves to capture significant competitive advantages as the technology matures.

Remember that 5G implementation is not a destination but a journey—one that will unfold over years as networks expand, capabilities evolve, and applications mature. The organizations that start building their 5G strategies today will be best positioned to lead their industries tomorrow.

This article was written by Nguyen Tuan Si, a technology strategy specialist with experience helping organizations develop and implement effective connectivity and digital transformation strategies across various industries.