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How important is a 5G phone? – Economy

New York . For most people, it will be preferable to continue with a multi-purpose phone that is not compatible with the fast 5G networks that are just beginning to work.

Not only is the first generation of 5G phones becoming more expensive, but their antennas and their modems generally work with the particular 5G networks of a given operator. This can limit your options if you want faster speeds when roaming in another country or when using another company's network. Or if you want to change your phone company.

Analysts say the second generation of next year will solve all these problems. The IDC research firm said that 201

9 will be "at best a year of presentation," in which there will not be much demand.

The Market

Samsung, Motorola, LG and OnePlus already make 5G phones that they use Google's Android system. Huawei announced on Thursday the launch of another, where the popular Google applications will be unavailable as the US bans the export of technology to the Chinese company.

While 5G phones target a specific market segment, IHS Markit said manufacturers are not able to meet demand, especially in South Korea.

Samsung said it had sold 2 million 5G phones worldwide since April, and expects that number to double by the end of the year. Motorla said the customers are "very excited".

Motorla noted that the first generation of a product generally attracts people who want to be first in everything. IPhones released on Friday can not use 5G networks. Apple usually waits until technology is a little mature before it is adopted.

The price of a 5G

This fast technology can increase the price of your phone by a few hundred dollars. For example, the Samsung Galaxy S10 costs $ 900. The 5G model will cost 1,300, although it has a larger screen and a better camera, according to the manufacturer. Motorolas 5G raises the base price of its Moto Z by 350 US dollars.

"This is an area reserved for a special consumer willing to sacrifice some money just to be first," said Wayne Lam, IHS Markit Analyst. "Smart people think longer in the long term."

According to Geoff Blaber of CCS Insight, the price difference is expected to diminish and eventually abolish as the 5G network becomes more popular.


Currently, 5G coverage is limited even in the US, where there are few cities. Sometimes it only works in certain parts of the city, experts say. Phones with 5G technology can connect to 4G LTE networks, but "are you willing to spend more on something that may not fully work until 2021?" Asked IHS analyst Markit Josh Builta.

5G In fact, it is a set of radio technologies that use different parts of radio waves. Each company emphasizes another aspect of 5G and sells phones designed specifically for their network.

Wireless networks often use incompatible technologies. In the US, Verizon and Sprint use a technology called CDMA, while ATT and T-Mobile use a GSM call. However, as technology advanced, all adjustments were made that made them universal.

It's foreseeable that something similar will happen with 5G phones, and according to analysts, they will all be consistent next year.

Indeed, John Legere, CEO of T-Mobile, pointed out that his company is delaying the launch of its network until there are compatible phones in the coming months. T-Mobile 5G devices only work with parts of your 5G network. Sprint, acquired by T-Mobile, said the goal of first-generation phones is to showcase the benefits of 5G to those who live or spend a lot of time in the company's five 5G stores.

Verizon did not respond to news and ATT does not yet offer 5G.

Waiting or Not Waiting

If you can wait a year, there are plenty of 5G phones to choose from, including iPhones if you want to change the device. If you can not wait, there is no reason not to buy a 5G generation phone. You can later deliver it at any time as part of the payment for a 5G.

IDC, on the other hand, expects good prices for 4G phones as companies want to get rid of old models to make room for 5G.

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