5G in El Salvador is still in an early stage

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By LatAm Reports Staff Writers

An analysis by JSC Ingenium explains what factors are needed for better use of the 5G network in the country.

How does 5G transform the life of an average citizen? An analysis by J SC Ingenium, a European company specializing in network infrastructure technologies and business systems -BSS – for virtual mobile operators (MVNO), mobile network operators (MNO), mobile network operators, details.

For JSC Ingenium, while 3G promoted mass data consumption and 4G boosted the rise of smartphones and social networks, it is not easy to identify how 5G transforms the life of the average citizen.

As 4G technology explains, they still have growth room, and applications that really require 5G features (low latency and high download speed) are not yet relevant enough so their monetization in a challenge for operators.

4G technology is still enough for demanding tasks such as remote work, group video calls and online games, explains a GSMA study; while augmented reality, the immersive internet or autonomous vehicles, have not yet come to mass use, so the need for 5G is not present.

In El Salvador, as in many other countries, one of the main challenges for operators is to justify the additional cost of 5G to a market where 4G is still suitable for most needs. In addition, operators must manage the coexistence of 4G/5G infrastructures with legacy networks (2G/3G), which increases costs and hinders operational efficiency, he explains and adds that, although in the country it is still in early stages it has the potential to improve competitiveness in the digital environment, facilitating the adoption of technologies such as the Internet of Things (IoT) and the analysis of large volumes of data.

Despite the benefits, the challenge lies in finding the balance between the investments needed for the deployment of 5G and demand in a market where the value of this technology is not yet entirely evident to consumers, details JSC Ingenium.


This article has been translated after first appearing in La Prensa Grafica