Cable / Telecom News

4M Canadian smartphone users plan to upgrade to 5G over next year or so, says Ericsson report


TORONTO — Adoption of 5G is moving into the mainstream in Canada as four million smartphone users plan to upgrade to 5G services over the next 12 to 15 months, according to a new Ericsson ConsumerLab report, released today.

Eight in 10 current 5G users in Canada don’t want to return to 4G, the report also found.

Conducted as part of its largest global 5G-related consumer survey to date, Ericsson’s Canadian study is based on online interviews with 1,200 Canadian consumers between April and July 2022. This Canadian sample “is statistically representative of the views of 24 million consumers,” according to a press release.

The Canadian study found the 5G user base has seen a sixfold increase over the past two years, however consumer awareness about 5G is low.

“[C]onsumer knowledge around 5G and its benefits needs more work, as 15 per cent of users claim they are on 5G but use a 4G handset while another 18 per cent own a 5G capable device but have not upgraded to a 5G subscription,” the press release says.

According to a Canada-specific infographic published on Ericsson’s website, 5G adoption in Canada is currently at 9 per cent.

“We’ve seen globally that the 5G user base starts to shift towards more demanding mainstream users when more than 15 per cent of smartphone users in the market have made the switch to 5G. These mainstream tech adopters are more value-conscious and have higher expectations than early adopters driven by new technology,” Jasmeet Singh Sethi, head of Ericsson ConsumerLab, said in the release.

“The Canadian results and global trends identified by this report suggest we’re on our way towards the next wave of 5G. As 5G becomes the mainstream, service providers need to get ready for more customers looking to get even more out of their 5G experience,” he said.

Ericsson ConsumerLab centred its research “around consumers’ self-reported, actual experience of 5G in their markets in addition, and comparison, to network coverage reported by service providers,” the release explains.

“The study showed that in Canada while 5G population coverage has reached 75 per cent…only 33 per cent of Canadian 5G users perceive being connected (to 5G) more than 50 per cent of the time,” the release says.

Among other trends identified in the report, twice as many 5G users in Canada are now engaging with three or more digital services daily when compared to 4G users. In addition, time spent by 5G users on AR/VR apps and activities has doubled to two hours per week more than that spent by 4G users.

“Six in 10 Canadian survey respondents said they want 5G plans to offer more than just gigabytes,” said Yasir Hussain, vice-president and chief technology officer at Ericsson Canada. “Consumers are looking for more tailored network capabilities like application enhanced connectivity rather than best effort 5G, which has itself improved measurably this year with rollout of Mid-Band spectrum. This demonstrates the new business model opportunities the next wave of 5G presents for service providers by bundling digital services and focusing on quality of service for demanding applications like gaming and extended reality (XR).”