Apple just gave 5G a big shot in the arm.
After a surprise settlement with Qualcomm, Apple is now in a position to bring a 5G iPhone to market as early as this fall 2019.
“For consumers this is important,” as reported by USA Today. “Apple can stay competitive and give their customers a 5G experience no later than 2020. It also means that Qualcomm and Apple can be more aggressive in helping drive 5G innovation in the new decade.”
Even better for. Qualcomm, Intel said it was dropping out of the 5G smartphone market, effectively getting out of Qualcomm’s way. While Intel CEO Robert Swan said the company would continue to invest in 5G infrastructure, he says that the smartphone market will provide it “with no clear path to profitability and positive returns,” as quoted by CNBC.
The 5G Boom is Just Getting Underway
Over the next 16 years, 5G is expected to create a $12 trillion opportunity.
Not only can it have an unrivaled impact on society, but it can also influence every facet of our lives including healthcare, transportation, defense, banking — you name it.
The U.S. already committed up to $400 million to 5G over the last three years. China will invest up to $400 billion by 2025 with 430 million users. South Korea invested $1.5 billion. Germany is in for $100 billion.
President Trump is so enamored with the technology, he tweeted:
“I want 5G, and even 6G, technology in the United States as soon as possible. It is far more powerful, faster, and smarter than the current standard. American companies just step up their efforts, or get left behind. There is no reason that we should be lagging behind on something that is so obviously the future”
That comes just a few months after the president directed the U.S. Department of Commerce to develop a comprehensive national spectrum strategy to help users in 5G wireless networks. The president wants the U.S. to crush other countries, most notably China, in commercializing 5G services. That alone is bullish for 5G stocks.
By 2035, about $12.3 trillion worth of goods and services will be enabled by 5G networks, and the rollout will add approximately $3 trillion to the worldwide GDP.
Companies will begin to roll out 5G, or 5th generation mobile networks.
The goal is to provide quicker Internet speeds for users. The other objective of 5G is to help usher in the next wave of human-technology interaction, such as with the Internet of Things (IoT) and autonomous cars. 4G has a download speed of 100 megabits per second.
But that’s nothing compared to the 10,000 megabits per second that 5G can handle. That’s 100 times faster than 4G, and would be under significant demand.
In short, it’s beneficial to add 5G to your portfolio.