Vodafone boss: Talking a big game won’t help Britain win the 5G race without action

By Ahmed Essam

The government has promised more 5G connectivity (Ming Yeung/Getty Images)

The next generation of mobile technology has the potential to drive a new digital industrial revolution in how our economy operates. Both parties have acknowledged the potential of 5G to shape our future, with Culture Secretary Michelle Donelan and Shadow Culture Secretary Lucy Powell both extolling the virtues of updating our networks.

Throughout the economy and our public services, it is full 5G that promises the greatest possibilities. We are already experimenting using 5G to enhance manufacturing processes, deliver remote assisted surgery and enable healthcare students to use immersive, real-time augmented and virtual reality technology to learn about the human anatomy. This is just the beginning and the opportunities are endless.

In 5G-connected hospitals of the future surgeons will be able to provide remote expert guidance on surgery through augmented reality without needing to be in the same operating theatre – or even the same country. In manufacturing, 5G can deliver “smart factories” with large quantities of data transferred from lots of Internet of Things-connected devices simultaneously and in real time. A full 5G network will also allow a smarter, more dynamic transport network and more efficient agriculture. Digital start-ups in every part of the country would be able to set up and scale up at pace. Research we commissioned suggests that 5G could add £150bn to the economy by 2030.

But we will need to be leading the way on 5G rather than playing catch-up as we did with our broadband infrastructure.

While the opportunity is clear, and our politicians are busy talking up the possibilities, the current numbers don’t add up.

A report by the Digital Connectivity Forum projects an investment shortfall of £25bn for full 5G between what the industry can afford and what is needed. Without this investment we risk the UK becoming a second-tier nation in the global digital economy. This missed opportunity would hit towns and smaller cities the hardest, which are already less likely to have adequate connection.

There is a real risk of the UK falling behind other economic powers like China. To minimise this, we need the government and Ofcom to help create the right conditions for investment in full 5G, just as they did for full fibre.

This requires a market structure and policy environment that encourages investment, including industry consolidation to provide the scale necessary to accelerate 5G roll-out, policy reform to reduce network costs and incentives to encourage 5G adoption by businesses and the public sector. More support may still be required for rural rollout, as it was for 4G with the Shared Rural Network programme.

Only countries that seize the opportunity and implement an effective and efficient 5G strategy will reap the rewards of the new technology – and the UK should be among them. The new political consensus over the power of digital connectivity to deliver economic growth is very welcome. Now we need action to make the UK the best place to invest, build and deliver full 5G.

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