How 5G-A and AI are driving double-digit growth in mobile subscriptions

When Huawei hosted the launch of 5G-A Pioneers program at the Shanghai MWC 2024 in China on June 26, 2024. [Patrick Vidija, Standard] The synergy between 5G-A and AI technologies is expected to drive double-digit growth in both data usage (DOU) and average revenue per user (ARPU) among mobile subscribers. Li Peng, Huawei's Corporate Senior Vice President and President of ICT Sales and Service, stated that carriers can harness AI to unlock the full potential of their networks. "We're rapidly entering a fully intelligent world. Intelligent applications are emerging everywhere, placing new demands on networks," said Peng. Speaking at the ongoing Mobile World Congress in Barcelona, Spain, Peng emphasised that by embracing and evolving 5G, carriers can tap into the limitless potential of mobile networks. READ: Huawei targets operator revenue growth with global launch of 5G-A pioneers' pogram "Huawei is committed to working with carriers and industry partners worldwide to advance digital enablement, strengthen network foundations, and bring AI to all. Together, we can shape the D.N.A. for an intelligent world," he said. According to him, advancements in AI are transforming human-machine interactions from simple text-based communication to voice, gestures, and multi-modal interactions. As a result, human-machine interaction (HMI) has become more real-time and convenient, ushering in a new wave of innovative applications. For instance, AI-powered voice assistants enable more natural interactions with devices. "On cloud phones, AI-powered avatars can provide visual feedback, creating a more personalized experience for services like health monitoring. This makes the mobile experience more accessible and productive for diverse user groups," said Peng. However, he noted that to support such applications, networks must provide guaranteed latency. This requires continuous evolution from 5G NSA to 5G SA and eventually to 5G-A. "Carriers can adopt innovative technologies like Control and User Plane Separation and Guaranteed Bit Rate to reduce latency and ensure differentiated, deterministic performance for specific scenarios," he said. Peng highlighted that AI will also transform content creation and distribution. AIGC technology, for example, enables the generation of hour-long 2D and 3D videos with a single click. Moreover, AI-driven recommendations allow highly personalized content distribution to wider audiences across the Internet. "Both trends will lead to a surge in network traffic over the next five years, placing unprecedented demands on infrastructure. To keep up, carriers will need additional spectrum, greater network capacity, and significantly expanded uplink and downlink bandwidth," he said. Additionally, AI-powered cloud and mobile devices are making intelligent services more accessible, increasing demand for experience-centric network coverage. According to third-party data, by 2030, over one billion people will rely on cloud phones and cloud drives, requiring seamless access to cloud computing power. Furthermore, intelligent in-vehicle applications will demand full network coverage across cities, highways, and rural areas to ensure continuous and reliable connectivity. "Going forward, meeting these demands will require continuous advancements in network deployment-from rapid expansion of 5G NSA networks to 5G SA for seamless indoor/outdoor experiences, and ultimately to experience-centric 5G-A networks," said Peng. He emphasised that this evolution will help carriers expand coverage and ensure a smooth experience for billions of new human and IoT connections. Peng reiterated that AI will introduce more complex application scenarios with diverse experience requirements. From a networking perspective, this shift will move network operations from traditional, resource-oriented O&M to an application-oriented approach. "Some carriers are already developing AI-driven O&M systems. These AI agents leverage digital twins to predict personalized user needs, reducing service time-to-market from days to minutes," he said. ALSO REA: AI driving 5G growth but experts think skill gap is major challenge For network maintenance, AI agents with self-learning capabilities can predict and locate faults within seconds, improving troubleshooting efficiency by 30 per cent. "New network capabilities will give rise to new business models. Carriers can go beyond monetizing traffic and begin monetizing user experience," Peng added. Carriers worldwide are actively exploring experience-based monetization strategies, considering factors such as speed, latency, and VIP benefits. Many have introduced custom services for business travelers, live streamers, and AI cloud phone users. Some are also expanding into the B2B2C market by exposing network capabilities through Open APIs. "The opportunities are immense, and the time to act is now. Pioneers in over 200 cities globally are already scaling up, taking decisive steps forward, and unlocking remarkable new value," said Peng.

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