TECH SUPPLIER Jul 2022 - Market Perspective - Doc # AP48910622

Understanding the Role of 5G Spectrum in the Future of Internet of Things

By:

Bill Rojas
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,
Swathi Arunaa
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,
Hugh Ujhazy
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Abstract

This IDC Market Perspective investigates the future evolution of 4G Internet of Things (IoT) into 5G IoT and the role of spectrum and new specifications in driving 5G IoT adoption. In 2021, cellular IoT connections in Asia/Pacific (excluding Japan) reached 1.46 billion, of which 8% were 2G/3G, 6% were narrowband (NB)-IoT, and the remainder, LTE. Although there is a considerable opportunity for NB-IoT, IDC believes that a much larger opportunity for 5G IoT will be in devices for high-end use cases, such as vision sensors and IP cameras, and for extending NB-IoT to non-terrestrial networks (NTN) (satellite). 5G IoT reduced capability (RedCaP) and terrestrial and NTN will accelerate IP camera use cases for monitoring and detecting objects in industries, such as construction, resources (agriculture and mining), transportation, utilities, and Smart City. At the same time, 5G IoT with NTN, including satellite connectivity, will add a new dimension to 5G IoT beyond the current 4G capabilities. 5G IoT will also enable the application of artificial intelligence and machine learning to the IoT process in real time or near real time for specific applications. "The period from 2023 to 2026 and beyond will start to see the robust adoption of RedCap 5G enhanced machine-type communications (eMTC) and NB-IoT as well as 5G eMTC/NB-IoT NTN (satellite)," says Bill Rojas, adjunct research director, IDC's Asia/Pacific Communications Group.


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