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5G Will Fundamentally Modernize the Global Healthcare System

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News provided by

ABI Research

05 Aug, 2020, 08:30 GMT

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New forecasts show that by 2026, 5G will generate revenues of almost US$400 million from deployments in the healthcare sector 

LONDON, Aug. 5, 2020 /PRNewswire/ -- The global outbreak of the respiratory coronavirus disease COVID-19 has put healthcare systems across the globe under tremendous pressure and highlights the urgent need to advance toward smart healthcare systems. COVID-19 has also presented the perfect application scenario for the deployment of 5G networks in hospitals, doctors' practices, and social care environments. In line with this, global tech market advisory firm, ABI Research forecasts that by 2026, 5G will generate US$399.8 million in revenues in the healthcare domain with a total of 4.6 million 5G connections by 2026.

"These numbers underscore the huge momentum that we see for 5G adoption in the healthcare domain," says Leo Gergs, Research Analyst for 5G Markets at ABI Research. "By providing enhanced mobile broadband, ultra-reliable low latency, and massive machine type communication, 5G will be an important building block for smarter and more efficient healthcare systems."

Having realized the importance of modernizing healthcare infrastructure, the COVID-19 outbreak has accelerated 5G network deployment in hospitals especially in the hardest hit regions, such as China. By providing sufficient bandwidth through enhanced mobile broadband capabilities, the deployment of a 5G network allowed the introduction of remote diagnostic and consultation facilities within hospitals in China, to prevent patients potentially infected with COVID-19 from having to leave their house to get medical consultation and a preliminary diagnosis. "By enabling remote consultation, 5G significantly contributed to the reduction of COVID-19 infection rates and therefore prevented countless numbers of lives lost in China," Gergs explains.

In the longer term, 5G will transform the healthcare sector even more profoundly than remote diagnostics and consultations. By enabling powerful bandwidth combined with latencies of below 10 milliseconds, 5G will be the breeding ground for technologies like Augmented Reality (AR) and Virtual Reality (VR) in the healthcare environment. Furthermore, 5G will allow the widespread deployment of Artificial Intelligence (AI), which will transform current manual processes into smartly automated workflows.

"Despite the tremendous opportunities that 5G brings to the healthcare domain, particularly through the operation of private cellular networks, network operators and infrastructure vendors need to understand, that these deployment projects do not happen overnight," Gergs points out. "Rather, it needs the consolidated effort of network operators and infrastructure vendors to develop innovative business models based on managed services instead of just selling connectivity." ABI Research forecasts that by 2026, the majority of 5G revenues will be generated by a combination of managed services, while only 45% of revenues will come from monetizing connections. "In order to be successful in the healthcare domain, telco monetizing strategies need to reflect this change to preserve their spot in the 5G value chain," concludes Gergs.

These findings are from ABI Research's 5G in Healthcare application analysis report. This report is part of the company's 5G Markets research service, which includes research, data, and analyst insights. Based on extensive primary interviews, Application Analysis reports present in-depth analysis on key market trends and factors for a specific technology.

About ABI Research
ABI Research provides strategic guidance to visionaries, delivering actionable intelligence on the transformative technologies that are dramatically reshaping industries, economies, and workforces across the world. ABI Research's global team of analysts publish groundbreaking studies often years ahead of other technology advisory firms, empowering our clients to stay ahead of their markets and their competitors. 

ABI Research提供开创性的研究和战略指导,帮助客户了解日新月异的技术。 自1990年以来,我们已与全球数百个领先的技术品牌,尖端公司,具有远见的政府机构以及创新的贸易团体建立了合作关系。 我们帮助客户创造真实的业务成果。 

For more information about ABI Research's services, contact us at +1.516.624.2500 in the Americas, +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific or visit www.abiresearch.com.

Contact Info:   
Global 
Deborah Petrara 
Tel: +1.516.624.2558 
pr@abiresearch.com  

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