Alterations in the labor structure
The arrival of the global pandemic in the wake of COVID-19 opened our eyes to the change that mobile communications can drive in different sectors, from retail to health and education. In addition, people realized that they can accomplish their jobs by working remotely, simply by having reliable broadband available.
Before the pandemic, the form and organization of work was geared toward the Gig Economy, a free-market method in which companies and freelancers enter into a short-term work arrangement. For example, Uber drivers, Airbnb hosts or ecommerce sellers. According to the World Economic Forum, by 2023 the Gig Economy is predicted to double in size to reach the sum of $455 billion.
According to the UN’s 2018 World Urbanization Prospects Review, approximately 68% of global population by 2050 will live in urban areas, this would add 2.5 billion people to cities when compared to today. 5G will bring interesting added value to the global economy and bring with it new jobs.
How to take advantage of 5G networks?
The main benefit of 5G compared to previous generations of mobile technology is the low latency, which allows a vast number of options for using sensors to feed back information in near real time, enabling rapid decision making.
In an industrial environment, real-time analytics facilitates predictive and preventive maintenance of machines, facilitating the usability of the process. Also, increased automation and robotics will increase the safety of employees.
5G sensors will enable all sectors of the economy in general to be much more sustainable, reduce emissions and optimize energy use. It also enables business meetings to be held anywhere, anytime, facilitating the reduction of the carbon footprint of travel. The same is true for health and education, as streaming online classes and medical appointments democratize access to which many developing countries are still unable to access.
Impact on Latin American organizations
An organization of the future has to have digital business processes and be cloud-based. The as-a-service business model will allow companies to scale according to demand, give flexibility and agility to adapt quickly to the market and its changes.
Speed will be paramount and 5G will provide the low latency needed for edge computing, where data can be processed and analyzed close to where it is produced in real time. The centralized information hub will be essential for success.
On the other hand, 5G networks are paving the way to establish the metaverse, the environment where humans interact virtually. This technology, together with virtual and augmented reality, can be used to provide immersive experiences for users, such as being able to try on clothes online before making a purchase.
We also find a rapid development thanks to 5G in the mining sector, where private networks are being used to connect IoT sensors to implement automation in order to manipulate machinery remotely and generally provide better safety for workers. In addition, there are great expectations for the retail and ecommerce sectors. 5G will transform the way we use the internet, revolutionize the way we shop and change the way we pay online.
Challenges to overcome
Ensuring the overall deployment of 5G networks will require the help of multiple stakeholders. The speed of 5G network deployment in Latin America will depend on how much governments are willing to invest, and how quickly they auction the spectrum needed.
The telecoms industry and mobile operators will need to look at business models to deliver to both business customers and average consumers. Simply offering faster speeds may not be enough to motivate enterprises to adopt 5G. You need to look at usage scenarios. But as the ecosystem grows, so will the number of applications that will make sense using 5G.
The first sector to adopt 5G technology will be the enterprise sector, primarily manufacturing, healthcare, financial services, energy, media, retail and entertainment. Certainly 5G will transform our society and the world’s economy. At Pulse, we are specialists in providing technology solutions for your business, if you are looking to expand your business and establish yourself firmly in the Latin American territory, we will provide you with the necessary tools to achieve it. Contact us and start your way to success.