How 5G can improve your bottom line

2020 was a pivotal year for industries large and small. Companies navigated the shock of a pandemic, turning to digital solutions to effectively communicate and manage disruption. The demand for connectivity reached new highs, and the global wireless industry responded with the rollouts of next-generation Wi-Fi 6 networks.

Now, in 2021, 5G technologies are scaling further for businesses and their bottom line, creating new standards for security, operational efficiencies and data insights. The impact will be vast.

According to GSMA Intelligence’s Mobile Economy 2020 report, 5G is expected to contribute trillions to the global economy in the years ahead. It’s ushering in the Fourth Industrial Revolution, where transformative technologies will be directly linked to a company’s success.

CAPITALIZE ON THE FOURTH INDUSTRIAL REVOLUTION

The Fourth Industrial Revolution refers to the merging of physical assets and advanced digital technologies, such as the Internet of Things (IoT), artificial intelligence (AI), robots, drones, autonomous vehicles, 3D printing and cloud computing. It represents a big opportunity for business, as these technologies aim to digitally enhance the enterprise and automate intelligent, data-driven decisions.

5G is an enabler of this digital transformation, serving as the connectivity backbone for new products and services that drive new sources of revenue. Here are a few examples:

Using artificial intelligence, video analytics can turn high-definition camera streams into information that enterprises can act upon quickly. On the manufacturing front, factories can use video surveillance to enhance quality control or detect product defects.

In retail, the Covid-19 pandemic has placed more attention on the value of augmented reality and virtual reality (AR/VR). The immersive solutions help consumers visualize their purchases without requiring them to go to the store. Likewise, AR/VR could also be used to help students learn more effectively in a remote environment.

During a sporting event, 5G can make it possible for every seat in a stadium to get a great field view of the action by transmitting high-definition video from multiple camera angles in real time. This same IoT technology can also be used to make the venue more secure by making it easier for security officials to collect and process feeds from cameras positioned in and around the venue. These digital-first experiences lead to new revenue streams and more fans in seats.

No matter the industry, capitalizing on the digital economy is table stakes for business. And 5G enables the solutions that matter to the bottom line.

PROFIT THROUGH SMART PLANNING

Forward-looking executives are always thinking about what’s next and ways to increase revenue. Make 5G part of this vision. While 5G can require an investment early on, it’s expected to pay dividends in the future.

According to Accenture, combining emerging, connected and smart technologies can save companies up to $16 billion. Yet, only 13% of businesses have realized the full impact of digital investments to create growth, opening the door for significant progress around the 5G opportunity.

To increase profitability, focus on increasing productivity through improved collaboration, automated business functions and a better supply chain. This approach has been a game-changer for companies like BMW.

BMW Group in Germany manufactures approximately 320,000 vehicles every year. By developing a customized BMW IoT platform, the company has been able to reduce the time to deploy all new applications by 80%, leading to, among other things, a significant reduction in logistics costs and a 5% reduction in quality issues. 5G can further enhance these processes as the next-generation network is engineered to handle extra bandwidth demands, faster speeds and lower latency for IoT use cases and applications like plant automation and robotics.

In the transportation industry, major U.S. airports are leveraging 5G technologies like Citizens Broadband Radio Service (CBRS) spectrum to streamline the passenger experience with biometric devices and real-time situational data analysis. This processes travelers more safely and efficiently while creating a more touchless airport journey amid Covid-19. Passenger flow predictions, runway monitoring, smart metering and baggage tracking are other 5G-powered solutions leading to improved airport business operations.

These use cases are just the beginning, and additional opportunities will emerge as 5G becomes more prevalent.

GET A HEAD START

Although we’re in the early innings of 5G, its capabilities are already loading the bases for companies. Business leaders who understand the true value of 5G — its financial potential — will ready their teams for the Fourth Industrial Revolution and a new generational leap in wireless connectivity.

This article by Boingo CEO Mike Finley originally appeared on Forbes.com.