A study by Ericsson ConsumerLab reveals that one in five 5G smartphone users want differentiated 5G experiences and are willing to pay extra for enhanced connectivity.
Titled “5G value: Turning performance into value,” the research finds that these users—particularly those who use demanding applications—would pay communications service providers (CSPs) up to 11 percent more for value-added connectivity and consistent performance.
Jasmeet Singh Sethi, Head of Ericsson ConsumerLab, said:
“About one in five 5G smartphone users expressed a clear preference for differentiated quality-of-service connectivity. Rather than accepting generic, best-effort 5G performance, these users are seeking elevated and consistent network performance tailored to demanding applications and specific key locations.”
The report highlights a growing opportunity for CSPs as more subscribers report higher satisfaction with 5G services. It emphasizes that user experiences at key locations such as stadiums, entertainment venues, and airports play a major role in shaping perceptions of service quality.
Sethi added that many consumers expect 5G to provide a clear value-add—for example, enhancing a night out at a major venue or improving connectivity while travelling through an airport. If their experience in these locations is poor, they are three times more likely to switch to a provider that can deliver an optimal 5G experience.
The study draws on feedback representing roughly 1.5 billion consumers worldwide, including about 650 million 5G customers, and points to a shift in what drives satisfaction. Where geographic coverage dominated early 5G concerns, users are increasingly focused on application-experience metrics such as video streaming quality, mobile gaming and video-calling performance, and consistency of 5G speeds.
Erik Ekudden, CTO of Ericsson, commented:
“In the era of 5G, network APIs are business interfaces for developers and application providers, giving them access to network capabilities through familiar, easy-to-use interfaces. As consumers show willingness to pay for new functionality and differentiated quality of service, these APIs become industry-changing. They enable developers to use 5G capabilities to create distinct premium experiences and allow communication service providers to unlock new revenue streams by revealing the inherent value of their networks.”
The report also points to the growing role of enhanced video formats and augmented reality (AR) in driving 5G engagement and data usage. On average, 5G users reported a 47 percent increase in time spent on enhanced video formats over the past two years, and the number of daily AR app users has doubled since late 2020.
Overall, Ericsson’s study shows a changing 5G landscape: users now demand more than broad coverage. They want enhanced connectivity, reliable performance in critical locations, and application-aware experiences—features some are prepared to pay a premium to receive.
(Photo by James Yarema on Unsplash)
See also: Yamina Kelm, Deutsche Telekom: Enabling innovation at the edge
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