China Won the United States in the race to build a wireless network faster nationwide use technology fifth-generation networks 5G, which has been described as the future of the mobile phone industry, and what the United States did not move more quickly, they will be in a very difficult situation when it comes to the establishment of companies New dominant in emerging space, a conclusion reached by consulting firm Deloitte.
In its report on the newly launched fifth generation network , the company cited what it called “the impact of the data network”, which translates early leadership into new markets into more users generating more data that will help improve services and attract more users.
“Countries with early adoption of fifth generation networks are expected to experience disproportionate gains in macroeconomic impact compared to those lagging behind,” the authors of the report said. “The United States is a leader in the development of the Internet and 4G 4G networks, It also has competitors.
US companies quickly sounded the alarm about the race with China over fifth-generation networks, as companies tried to address concerns by urging the federal government to speed things up by limiting domestic and government regulatory hurdles to get approval for the deployment of hundreds of thousands of new, For 5G Generation Networks .
The CTIA estimates that the number of cell sites needed should double from about 325,000 to 800,000. T-Mobile and Sprint have also indicated the need to accelerate the deployment of fifth generation networks as a key justification for their merger, How important such networks are for companies.
Companies fear that the race to fifth-generation networks could lead to more government interference. US National Security Administration officials proposed in February the idea of nationalizing wireless networks and building a federal system for fifth generation networks that could be leased by mobile operators, This is a major proposition, as major companies are moving to launch their pilot programs for the fifth generation networks, with the preparation of smart phones supporting these networks to market as soon as next year.
The consultancy supported its results on China’s superiority by talking about increasing infrastructure spending. China has overtaken the United States in terms of spending on its fifth-generation network infrastructure by $ 24 billion by 2015, leading to more cell locations, Deloitte said China has about three times the number of sites per person and 13 times the coverage of sites per square mile.
China has 10 times the number of sites to support 5G network connections compared to the United States. China’s telecommunications companies added only three more sites in 2017 than the US in the three years And built 350,000 new cover towers, while the United States built less than 30,000.
“The race for 5G networks needs to be carefully evaluated and rapid action is needed to keep the United States competitive,” said Dan Littmann, a director at Deloitte. “The United States is still able to catch up by adjusting its policy to reduce Time to deploy equipment for 5G networks, encourage mobile operators to collaborate, and establish a “national communications infrastructure” database to help exchange data between different parties.
The report went on to talk about the history of 4G LTE, which was commercially launched in the United States in 2010, although it was widely used, but it was not a big profit center for mobile service companies as expected, and it did not have Plays a significant role in promoting smart cities, retailing, manufacturing, healthcare and many other industries as many have assumed.
Strong competition has led to lower prices. The Deloitte report pointed to a decline in the average revenue of telecommunications companies from each user by about 15 percent over the past four years. 4G networks still help telecom companies financially. 4G networks significantly reduced data transmission costs Through increased capacity, allowing those companies to lower prices while maintaining profit margins, and the same could happen with fifth generation networks.