THE PHILIPPINES is lagging its regional counterparts in adopting 5G technology despite increased coverage, according to networking and telecommunications company Ericsson.
“In the Philippines, although 5G coverage has expanded, adoption remains slow due to limited data consumption and penetration,” the November 2024 Ericsson Mobility Report said.
Ericsson said 5G adoption in the Southeast Asia and Oceania region has been growing, with subscriptions expected to reach 680 million by 2030.
“In Australia, Malaysia, Singapore and Thailand, growth in the 5G subscriber base is driven by increased network coverage, greater awareness of 5G, the growing affordability of 5G devices and the continued focus by service providers on promotional plans,” it said.
It noted that “mature” 5G markets like Australia and Singapore are using advanced 5G capabilities to offer new services and use cases, including customized 5G connectivity services for businesses.
“Spectrum re-farming remains a challenge across Southeast Asia and Oceania, particularly with reliance on 2G and 3G networks for voice services. Service providers are facing the issue of subscriber fallback from 5G to 4G, reducing data usage and delaying spectrum optimization. These challenges are shaping 5G deployment strategies in the region,” Ericsson said.
5G adoption in the Philippines is hampered by high prices of compatible devices, inadequate infrastructure, and lack of digital literacy, according to Ronald Gustilo, national campaigner at Digital Pinoys.
“Achieving parity with other countries in 5G adoption depends on the alignment of infrastructure development, consumer adoption, and regulatory policies,” Mr. Gustilo said in a Viber message.
“If stakeholders prioritize building the necessary infrastructure, making 5G devices more affordable, and improving digital literacy, the Philippines could catch up with its regional counterparts within a few years.”
Mr. Gustilo said faster rollout of the National Fiber Backbone Project, which is expected to provide faster and more reliable internet connection nationwide, will help improve 5G adoption.
Telecommunications companies also must work with manufacturers to offer more affordable 5G devices through flexible financing programs, he added.
“Adopting 5G technology presents numerous benefits. It enables faster internet speeds, which can boost productivity, improve access to online education, and accelerate the growth of e-commerce. Additionally, 5G drives innovation in the digital economy, fostering advancements in areas such as telemedicine, smart cities, and the Internet of Things. It also enhances the user experience for both businesses and consumers, opening the door to more robust digital services and applications,” Mr. Gustilo said.
“By addressing these challenges and fostering collaboration among stakeholders, the Philippines can unlock the full potential of 5G technology and accelerate its digital transformation.”
Ericsson said 5G is expected to carry 80% of global mobile data traffic by 2030 from the 34% share expected at end-2024, but this could be affected by the pace of adoption among regions.
“As seen in the last couple of years, the macroeconomic situation can change significantly with global inflation, interest rates and other factors. This can have a big impact on consumer willingness to pay for mobile services, thereby affecting mobile data usage,” it said.
“Several large regions such as India, Latin America, Southeast Asia and Africa are expected to significantly migrate their subscriber base to later generations of mobile technologies in the coming years.”
Countries outside mainland China are projected to increase their 5G coverage from 45% in 2024 to about 85% by 2030, it added. — Beatriz Marie D. Cruz
