Enhanced 5G key to low-altitude economy

The commercial use of 5G-A(5G-Advanced) technology will boost industries and change the way people interact with each other, a senior executive of Chinese telecom equipment maker ZTE Corp said.

"This year marks the starting year for the commercial use of 5G-A technology," said Tang Xue, vice-president of the Shenzhen, Guangdong province-based company, on Monday.

"The commercialization of the technology will bring benefits not only to businesses, but also to ordinary people in their daily lives."

5G-A technology is an enhancement to 5G and a connection to 6G. Compared with 5G, 5G-A technology features 10 times enhancement in speed, latency and connection scale.

One of the industries that will benefit greatly from 5G-A technology is the low-altitude economy, Tang said.

Low-altitude economy, which covers express logistics, emergency rescue, agriculture, consumer entertainment and other fields, is an industry that China is attaching great importance to.

The 2024 Government Work Report delivered by Premier Li Qiang in March stated that the country will actively foster emerging and future-oriented industries, and create new growth engines in fields such as the low-altitude economy.

Certain conditions need to be met to develop the low-altitude economy. For example, two-way low-latency communication is required to manage unmanned aerial vehicles effectively and ensure their safety, Tang said.

"To achieve that, fundamental support is crucial and 5G-A provides such a support," she said.

While the altitude of low-altitude airspace could reach 1,000 meters or higher, the current wireless communication network can only cover an altitude of around 150 meters. Therefore, telecom infrastructure needs to be improved to enable the development of the sector.

Tang said the advent of 5G-A technology will also reshape how people communicate.

"At present, video conferencing remains a two-dimensional scenario. With the help of 5G-A technology, we can expect a three-dimensional video frame where you feel as if you are in the same space as your counterparts," she said.

From a global perspective, the Middle East is accelerating the deployment of 5G-A technology, while Europe is also actively moving in this direction, Tang added.

According to a report by market research firm Custom Market Insights, the value of the global 5G services market stood at $28.9 billion last year and is expected to hit $250.2 billion by 2032, representing a 26.5 percent compound annual growth.

Information technology and the telecom segment dominated the market with a 35 percent share in 2022, followed by banking and healthcare. IT and telecom segment is projected to continue to take the lead over the period through 2032, the report said.

Autonomous driving, augmented reality and virtual reality are among new services that are made possible by technological innovations, which boost network efficiency and amplify the need for 5G infrastructure, according to the report.