The real cost of rolling out and implementing 5G telecoms technology across all sectors of the economy worldwide is expected to reach at least $2.7 trillion by the end of 2020, according to research by Greensill, a provider of working capital finance.
Greensill’s research reportedly shows that the implementation of 5G across the global economy will cost as much as $1.7 trillion more by the end of 2020 alone. This cost seems to come as companies rush to assimilate the new technology into everyday products, industrials processes and infrastructure within the Internet of Things (IoT).
“Spending on 5G roll out is just the thin end of the wedge. This project is actually about funding the growth of the Internet of Things and industrial connection to that,” said Tony Wonfor, managing director and telecoms finance specialist, Greensill. “In the automotive industry, for instance, 5G will be important for tracking components through the supply chain and in to the manufacturing process, then right through to an end product that has connectivity beyond anything we have seen so far.”
“Greensill counts many of the world's leading telecoms and industrial companies as clients primarily because of our success in innovating financial solutions across this space,” said Lex Greensill, founder and CEO, Greensill. “We see our products such as handset financing and other working capital solutions as crucial to the successful roll out of 5G globally.”