The operators' revenue generated from 5G FWA (fixed wireless access) services is likely to increase from $515 million in 2022 to a whopping $2.5 billion next year, a new report showed on Tuesday.
The staggering growth will be driven by 5G's advanced network capabilities, such as ultra-low delay and increased data processing to provide connectivity services that were previously unachievable with 4G technology, according to Juniper Research.
FWA includes services that provide high-speed Internet connectivity through cellular-enabled CPE (customer premises equipment) for uses including broadband and IoT networks.
"The benefits of FWA are now comparable with services using fibre-based networks. Operators have an immediate opportunity to generate revenue from broadband subscriptions directly to end users by providing last-mile solutions underpinned by their existing 5G infrastructure," said Research author Elisha Sudlow-Poole.
The operators' 5G FWA revenue will reach $24 billion globally by 2027.
The report identified the consumer market as the sector generating the highest revenue for operators; representing 96 per cent of global 5G FWA revenue.
However, the report warned that operators must provide a compelling user proposition for FWA solutions through the bundling of services such as video streaming, gaming and smart home security to enrich user experience and gain competitive advantage against incumbent high speed connectivity technologies, such as FTTP (Fibre to the Property).
The report also identified private networks as a key monetisation opportunity; offering superior network capabilities over 4G.
It recommended that operators use 5G FWA to facilitate the last mile-solution by treating the relationship between FWA and fibre networks as wholly collaborative to maximise network performance and return on investment.