LONDON—As 5G mobile services are preparing to launch over the next few years, the emerging technology is expected to find a solid foot hole in the Americas as part of a wider increase in mobile subscriptions.
Per a new report from data and analytics company GlobalData, 5G mobile subscriptions will reach about 204 million throughout the Americas by 2023. The U.S. is projected to lead the way for the 5G market, with 5G accounting for 26.8% share of total mobile subscription in the country by 2023.
The rise in 5G will be part of a more general growth of mobile subscriptions across the Americas, per GlobalData. As of 2018, there were 1.2 billion mobile subscriptions in the region, and by 2023 that is forecasted to hit 1.5 billion with a CAGR of 4.1% over that period.
“Mobile penetration will rise from 120.8% in 2018 to 141.1% by 2023, led by a significant rise in penetration levels, in the U.S. and Canada in North America, and Brazil and Mexico in LATAM with rising M2M/IoT subscriptions,” said Leandro Agion, a GlobalData technology analyst.
While there will be a surge in 5G subscriptions, 4G is expected to still lead mobile technology for the 2018-2023 period, with its share rising from 59.6% to 70.1% over the five years. This will be driven by 4G network expansions, particularly in LATAM. In North America, however, more room will be made for 4G/5G spectrum by shutting down 3G networks.