In 2020-25, mobile operators in Asia Pacific will invest more than US$330 billion in 5G

The GSMA said in a new report that Asia-Pacific mobile operators will invest more than $400 billion in their networks between 2020 and 2025, of which $331 billion will be spent on 5G deployments
.

The latest Asia-Pacific edition of the GSMA Mobile Economy Series shows that the region is one of the fastest growing regions in the world, with more than
half of the world's total subscribers.

In addition, mobile technologies and services in Asia Pacific generated $1.
6 trillion in economic value (5.
3% of GDP) in 2019, and countries are increasingly benefiting from productivity and efficiency gains
brought about by the increased use of mobile services.

The mobile ecosystem also directly or indirectly supports 18 million jobs and contributes significantly to public sector financing, raising $180 billion
through general taxation.

"Operators in the region are investing hundreds of billions of dollars to continue deploying 5G networks to deliver an exciting variety of new services
to consumers.
" Julian Gorman, head of the GSMA's Asia Pacific region, said: "This is also helping to transform industry and manufacturing and drive economic growth
.

5G investment

Between 2020 and 2025, mobile operators in Asia Pacific will invest about US$331 billion in 5G deployments
.
Asia Pacific is currently home to some of the world's most advanced 5G markets, with nine markets having launched commercial mobile 5G services (including Japan at the end of March) and 12 markets officially announcing development plans
.

In addition, 4G remains a major technology in countries such as Bangladesh, India, Indonesia, and Pakistan, which will still focus on areas such as digital commerce and payments and cross-ecosystem collaboration to help create the digital society
of the future.

Regional growth:

By the end of 2019, 2.
8 billion people in Asia Pacific had subscribed to mobile services, accounting for 66% of
the total population.
Since 2014, the region has added nearly 500 million new users, making it one of the fastest growing regions in the world, accounting for more than
half of the world's total users.

Asia Pacific is expected to account for about half of the world's new subscribers by 2025, when 266 million new subscribers across the region are forecasted, bringing the number of subscribers to more than 3 billion (70% of the population).

socioeconomic development

Over the next six years, 663 million people in Asia Pacific will start using mobile internet for the first time, and by 2025, the total number of mobile internet users in the region will reach around 2.
7 billion (61% of the population).

Sustained growth is helping the mobile industry increase its presence in all of the UN Sustainable Development Goals and promote the adoption of mobile-based tools and solutions (e.
g.
in agriculture, education and healthcare) to improve livelihoods in low- and middle-income countries and close the gender gap
.

Covid-19 challenges

The impact of Covid-19 on 5G growth in Asia Pacific will be greater than in other regions where many markets have yet to roll out 5G, as the region has some of the first 5G networks
.
As a result, forecasts show that the total number of 5G connections in Asia Pacific in 2020 will be nearly 20%
lower than previously expected.

The Covid-19 pandemic has highlighted the importance of
a strong digital economy to mitigate economic and industrial shocks from control measures.
Emerging economies need to do more to stimulate and develop the digital ecosystem, including accelerating the adoption of smartphones and mobile broadband, to lay the foundation
for an inclusive 5G future.