Technologies
Services
Business
Devices
With 5G networks now well established, how can telcos truly leverage IoT for enterprises and monetize their investments?
Since the days of 2G, cellular networks have consistently improved data connectivity speeds, giving rise to a plethora of IoT use cases across industries. 5G is no exception – not only is it fast, but it also enables autonomous operations with ultra-high reliability and low latency.
For telcos’ enterprise customers, this combination of features is capable of unlocking the hidden potential of IoT. Insurance companies (for buildings or automotive), banks (for POS, ATMs), and utilities (for every pole/RTU/transformer in the country) are just a few examples of industries that can benefit.
Adoption, however, has been sluggish up to now because existing networks are constrained by concurrent device connectivity and reliability issues. But with 5G, we can see a new wave of use cases and applications that will have a long-term impact, such as improved insurance premiums, safer homes and buildings, better control of recalls, higher levels of safety for refrigerated food, vaccines always available on time without any product integrity issues, dairy products transported at the right temperatures, and so on.
Ericsson has estimated at least $300 billion in revenue for 5G monetization in North America alone by 2026. This figure may be higher depending on the total downstream value generated from a full-scale implementation of IoT systems.
To capture these opportunities, telcos need to restructure their thinking in terms of processes, platforms and products (offers). They must avoid commoditization of technology by continuously innovating.
Telcos should adopt these four pillars as a framework for critically examining their existing businesses:
We have gone beyond the stage of proving the need for IoT or looking at ways to apply IoT use cases in a 5G network. We are now at an inflection point where the CapEx spend of telcos over the years needs to be monetized. Enterprises need these services from a trusted partner who can serve them as a one-stop-shop.
As-a-service models, GenAI, security, compliance and regulations will continue to play a pivotal role. It is imperative for telcos to view the IoT & 5G convergence as a system-of-systems play, wherein the value creation will be across the ecosystem.
References
[1] www.marketresearchfuture.com/reports/telecom-api-market-2349
The views expressed in this article belong solely to the author and do not represent The Fast Mode. While information provided in this post is obtained from sources believed by The Fast Mode to be reliable, The Fast Mode is not liable for any losses or damages arising from any information limitations, changes, inaccuracies, misrepresentations, omissions or errors contained therein. The heading is for ease of reference and shall not be deemed to influence the information presented.
Prashanth Bhushan is a Asst Vice President in Cognizant’s Engineering & IoT practice. With more than 25 years’ experience in business and technology integration, he has a deep understanding of the digital solutions driving convergence in the sector, covering devices, telemetry, gateways, cloud and analytics. He has consulted with some of the leading Technology, Utilities, Telecom, Energy and CPG firms in areas such as IOT for Supply Chain and Logistics, Asset Management, 5G, Geospatial and other areas. He is a speaker at industry forums and a recognized thought leader in IoT.
PREVIOUS POST
NEWSLETTER
Get updates and alerts
delivered to your inbox
NEWSLETTER
Get updates and alerts
delivered to your inbox
COPYRIGHT © 2013 – 2025 THE FAST MODE
About The Author
More Stories
Local Infrastructure, Lower Costs: How Peering Is Moving the Needle on Internet Affordability
On Global Accessibility Awareness Day, An Internet for Everyone Must Include Everyone
An Open Fiber Data Standard to Make the Internet for Everyone