In Business Model, Internet Access, Mobile

Some observers seem to believe rapid 5G mobile adoption equates to broader economic activity related to 5G (applications, platforms, devices). So early 5G adoption provides an advantage, in such a view.  Some of us do not really agree with that assessment. As with some other measures of adoption, rapid 5G adoption might simply reflect other developments, rather than causing them. Do you really believe that deploying 5G early actually provides much of a boost to domestic application, platform or device industries? Put more simply, can a country create a new “Silicon Valley” capability because it makes 5G available? Or are many other preexisting conditions required?

The issue is that correlation is not causation. Some believe supplying high-speed internet access boosts economic growth. Others might argue that high economic growth drives higher incomes, which in turn leads to more availability and use of high-speed internet access. 

In other words, faster broadband tends to follow economic success, not cause it. If that is the case, then early 5G deployment simply is a reflection of economic growth drivers already in place. Also, the ingredients for economic success in applications, platforms and devices already was in place, prior to 5G network availability. 

source: Ericsson

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