The latest research conducted by the European Telecommunications Network Operators Association (ETNO), a telecommunications lobby group, commissioned by the Boston Consulting Group shows that if the EU wants to deploy ultra-high-speed 5G networks in all 27 member states, by 2025, it needs to be in telecommunications infrastructure. Invest 300 billion euros (about 355 billion US dollars).

This research comes at a time when the European Union is pinning its hopes on 5G technology to help it out of the economic recession caused by the new crown pneumonia epidemic and take a leading position in the field of Internet-connected devices.

Due to the huge expenditures, EU telecom operators have always been reluctant to invest in 5G networks, although the technology can support the development of smart factories and autonomous vehicles. In addition, operators' plans to expand the scale through mergers to undertake these costly projects are also subject to strict EU antitrust rules.

The Boston Consulting Group stated in the report: "Europe will need 150 billion euros to achieve the full 5G scenario, and an additional 150 billion euros will be needed to complete the upgrade of fixed infrastructure to gigabit speeds."

As governments shift their focus to fighting the epidemic, the delay in 5G spectrum auctions has also disappointed the industry. The 5G spectrum is the radio waves necessary for operators to start providing commercial 5G.

The Boston Consulting Group's research puts forward several measures that the government and regulatory agencies can implement to promote the development of the telecommunications industry. These include new ownership models involving voluntary shared infrastructure, which can help 5G networks roll out faster, reduce overall environmental impact, and increase the transfer of patented technology between partners.

At the same time, relaxing the rules, allowing telecom service providers to cooperate and invest together, or separating infrastructure construction from telecom service businesses, may also help accelerate the deployment of 5G. The study also calls for allowing operators to monetize data traffic on their networks to help catch up with Google, Facebook, Microsoft and other technology giants. (Little)

Source: NetEase Technology Report, translated by Google Translate