The GSMA has outlined several reasons it expects the United States to lead global 5G adoption in the coming years.
In a recent report, the GSMA projects the U.S. will reach 100 million 5G connections by 2023 and grow to 190 million by 2025. Throughout this period, the organization expects the U.S. to maintain the highest proportion of 5G connections compared with other markets.
One major factor driving this leadership is market size combined with a large share of early adopters. The GSMA estimates that 58% of the U.S. population adopts new smartphone technologies early, compared with roughly 46% in Europe. The Middle East and North Africa follow as the third-largest region of early adopters at about 34%.
By contrast, fewer than 15% of consumers in Latin America, Sub-Saharan Africa, and South Asia are early adopters. That low rate suggests these regions will face greater challenges achieving rapid 5G penetration.
The GSMA’s findings incorporate input from the four major U.S. operators—AT&T, Sprint, T‑Mobile, and Verizon—giving the report a broad industry perspective.
The report identifies enhanced mobile broadband as the primary initial driver of 5G adoption. Over time, it expects growth to shift toward Internet of Things (IoT) applications and ultra-reliable, low-latency communications as these use cases scale.
According to the GSMA, targeted consumer propositions that deliver superior mobile and video experiences could accelerate consumer uptake. Examples include advanced video services, augmented and virtual reality applications for gaming and immersive TV, and multi-device subscription bundles that integrate IoT services such as connected cars.
As device manufacturers and content providers push higher-quality, bandwidth-intensive experiences—such as streaming 4K HDR video and, in the future, 8K—demand for reliable, high-throughput, low-latency connectivity will rise. These trends reinforce the economic case for widespread 5G deployment.
From a revenue perspective, the GSMA expects enterprise customers to generate the largest share of 5G-related profits. Consumer and public sector spending will contribute as well, but to a lesser degree.
The report also forecasts that 4G will remain the dominant technology until about 2025, when 5G overtakes it. Meanwhile, connections using older technologies—2G, 3G, and eventually 4G—are expected to decline starting next year as networks migrate toward newer standards.
The GSMA’s full report is available as a PDF from the organization’s research portal.
What are your thoughts on the GSMA’s conclusions? Share your perspective in the comments.
Interested in hearing industry leaders discuss topics like these and learn from real-world use cases? Consider attending co-located events such as IoT Tech Expo, Blockchain Expo, AI & Big Data Expo, and Cyber Security & Cloud Expo in locations including Silicon Valley, London, and Amsterdam to explore the future of enterprise technology.