Business and 5G: Why Advanced Connectivity is Essential for Technological Innovation

February 4, 2025
Investment in digital infrastructure across Europe amounts to less than half of what the U.S. allocates. This significantly hampers the development of smart technologies that require high-speed 5G connectivity. Dr. Evaldas Stankevičius, Head of Network Planning and Strategy at "Tele2," and Dr. Artūras Medeišis, Dean of the Faculty of Electronics at Vilnius Gediminas Technical University (VILNIUS TECH), explain why 5G is crucial for business growth and industrial expansion.

 

Europe is Falling Behind on a Global Scale

By the end of 2024, "standalone" 5G coverage—used primarily for industrial applications—had reached only 40% in Europe, compared to a staggering 91% in North America. In the Asia-Pacific region, 5G coverage also surpasses that of Europe, standing at 45%, according to a study by consulting firm "Analysys Mason."

5G is particularly valuable for developing autonomous transportation and other remotely controlled industrial systems. However, achieving the full potential of this technology requires substantial investment in real "standalone" 5G networks. Currently, much of what is labeled as 5G in Europe is actually "non-standalone" 5G, which still relies on older 4G infrastructure and lower frequency bands—limiting the capabilities and benefits of true 5G connectivity.

"In simple terms, many European smartphone users see a 5G symbol on their devices, but their actual data speeds and user experience often remain at 4G levels. This is especially evident for businesses relying on next-generation connectivity. That’s why our team is heavily investing in the development of a fast, fully-fledged 5G infrastructure," says Dr. Evaldas Stankevičius, Head of Network Planning and Strategy at "Tele2."

A New and Sustainable Driving Force for Business

Experts emphasize that modern digital communication technologies, such as 5G and the Internet of Things (IoT), can serve as powerful catalysts for business growth. According to the Dean of VILNIUS TECH's Faculty of Electronics, true 5G will be particularly beneficial for large industrial enterprises that require ultra-fast, highly reliable, and low-latency connectivity.

"5G offers businesses a range of advantages, including exceptionally fast and reliable connectivity, high bandwidth to support a dense network of connected devices, and real-time data processing capabilities. These features are critical for implementing IoT solutions that demand high-speed performance and guaranteed reliability (also known as Quality of Service)," explains Dr. A. Medeišis.

Latency, often referred to as "lag," is the time delay between sending a signal or command and receiving a response. While 4G networks typically experience latencies of 20–50 milliseconds (ms), fifth-generation networks can reduce this delay to just a few milliseconds.

Low latency is particularly crucial for autonomous vehicles, which must react instantly to changes in their environment and communicate seamlessly with navigation systems and surrounding vehicles. Even a minor delay can be dangerous, as slow response times to sudden events could lead to accidents.

Among the innovations dependent on advanced connectivity are self-driving taxis already operating in the U.S., fully automated mining sites, wireless production lines, and remotely controlled agricultural machinery. Many other cutting-edge industrial and business solutions also rely on smart device integration via modern 4G/5G networks.

Source: BNS spaudos centras

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