New Delhi: The growing adoption of Generative AI (GenAI) applications in India is creating heightened expectations for 5G performance, according to Ericsson’s latest ConsumerLab report. This year’s report underscores the increasing reliance on 5G networks to deliver superior, uninterrupted connectivity, particularly for latency-sensitive applications powered by AI. Bhaswati Guha Majumder of CXO News and APAC News Network reports.
The study reveals that 67% of Indian 5G smartphone users are projected to use GenAI apps weekly within the next five years, signalling a dramatic shift in mobile usage patterns. The rising popularity of GenAI applications, such as hyper-personalized assistants and immersive AI-driven content, is set to complement existing high-demand use cases like video streaming, online payments, and video calls.
The survey, which included over 23,000 smartphone users aged 15-69 from 16 markets, found that Indian users stand out globally for their high engagement with GenAI. Approximately 21% of Indian GenAI users currently use more than four different GenAI apps on their smartphones, compared to just 8% in the United States. This trend highlights India’s position as a leader in embracing cutting-edge AI-driven technologies.
The report also reveals a shift in consumer priorities, with one-third of Indian smartphone users placing greater importance on AI-powered features than on traditional aspects like camera quality or storage capacity. This change in preferences underscores the demand for robust 5G networks capable of handling the increased traffic generated by GenAI applications.
Satisfaction with 5G Grows
The report notes a significant increase in satisfaction levels with 5G connectivity, particularly in Tier 3 cities, where the share of highly satisfied users has doubled since last year. This improvement is attributed to the growing availability of enhanced mobile broadband (eMBB) and fixed wireless access (FWA) solutions.
As 5G networks evolve, Ericsson predicts a focus shift from broad availability to optimizing user experiences at high-demand locations, such as airports, stadiums, and metro stations. Approximately one in six 5G users in India expressed willingness to pay a premium—up to 20% more on their current mobile plans—for assured high-quality connectivity at these venues.
AI and the Future of 5G in India
Ericsson’s report highlights the critical role of CSPs (Communications Service Providers) in meeting the unique demands of GenAI applications. By exposing Quality on Demand (QoD) network APIs to developers, CSPs can enable premium, high-performance apps while unlocking new revenue streams. India, which already leads in monthly mobile data usage at an average of 32 GB per smartphone, is expected to see this figure double to 66 GB by 2030.
Globally, mobile network data traffic is projected to grow nearly threefold by 2030, with 5G networks carrying 80% of this traffic. The densification of 5G mid-band and standalone (SA) deployments will be pivotal in supporting these advancements, with India expected to achieve 95% population coverage for mid-band 5G by the end of 2024.
Transforming Connectivity: Insights from Jasmeet Singh Sethi, Head of Ericsson ConsumerLab
How can CSPs use 5G to deliver seamless, high-performance experiences for generative AI, amid rising demand from younger demographics?
Understanding the network requirements for generative AI is crucial, as these applications are highly sensitive to latency and rely heavily on uplink speeds. For instance, hyper-personalized ads generated by AI require real-time context-aware data—such as a user’s location and activity—to be continuously sent to servers. This uplink-centric demand is particularly significant in India, where generative AI usage is the highest globally, driven by young, tech-savvy users who expect superior performance from 5G networks.
Rather than focusing solely on finding a “killer use case” for 5G, the emphasis should shift to the “use place.” Seamless generative AI experiences must be ensured in high-demand scenarios like crowded commutes between Delhi and Gurgaon during peak hours, concerts, packed stadiums, metro stations, and even in the basements of malls. Addressing these challenges and delivering consistent high-quality connectivity in such environments represents the next phase of 5G evolution.
How can networks handle growing 5G traffic and ensure high-quality service for data-intensive applications?
Ericsson works closely with all telecom operators, continuously engaging in discussions about network improvements and adapting to evolving market demands. This ongoing collaboration helps ensure that networks stay ahead by integrating global and local trends, understanding market needs, and evolving network functionalities.
Indian telcos are highly knowledgeable, with India already ahead in terms of 5G infrastructure compared to many other markets. The scale and complexity of the Indian market require significant experience and agility, and Ericsson is confident that its partnerships with telcos will continue to drive the adoption of new technologies.
As Gen AI grows more widespread, its potential applications are exciting. Can you share examples of its current use and what innovations or transformations you foresee in the coming years?
Currently, GenAI usage in India is primarily dominated by ChatGPT, with India leading alongside the US in adoption. However, around 20% of users in India are engaging with more than four different GenAI applications, expanding beyond ChatGPT to explore uses in health and wellness, education, and personalized shopping experiences. For example, AI-powered personal assistants are being used to suggest outfits and guide users to stores that offer the recommended items. Looking ahead, while devices like Meta’s AI glasses are still too expensive for most Indians, there’s significant potential for growth in the market as the economy evolves.
In the enterprise sector, smart glasses with AI capabilities are already being used to provide customized recommendations, such as guiding workers on what to fix next on a factory floor. These enterprise applications are more easily implemented in private networks, where latency and speed can be controlled, compared to public networks, which present greater challenges in managing these factors at scale.
What key technological advancements is Ericsson exploring for 6G, and how will they meet the evolving needs of consumers and industries?
Ericsson has established strong academic collaborations with IITs in India, where a significant amount of work in AI, cloud, and network technologies is being done. Globally, Ericsson is involved in standardization initiatives for 6G, exploring potential use cases and the necessary technological advancements for future networks. In India, the company operates a global AI accelerator in Bangalore, which plays a key role in AI for network automation, optimization, and management. Ericsson’s early research into 5G has positioned them ahead of the curve, and they are now applying the same forward-thinking approach to 6G, focusing on the future possibilities for networks, their functionalities, and the required use cases.
For 6G, Ericsson envisions a platform-based approach, where APIs will be essential. Unlike previous generations, Ericsson aims to open up network functionalities to developers, enabling them to create applications without worrying about network limitations. The goal is to offer developers a guaranteed performance level for their apps, providing the flexibility to design more innovative, high-quality features. This shift will allow developers to focus on the creative aspects of their applications, as Ericsson will manage the network infrastructure behind the scenes. The company’s vision for APIs in 6G is to simplify the development process by ensuring a consistent, premium experience for consumers, regardless of geographical location or network type.
Ericsson Mobility Report: A Snapshot of 5G Growth
India’s 5G subscriptions are projected to reach 270 million by the end of 2024, accounting for 23% of the country’s mobile subscriptions. This figure is expected to rise to 970 million, or 74%, by 2030. The report also highlights the growing relevance of FWA as the second-largest 5G use case, driven by its ability to offer fiber-like speeds.
As India continues to lead global 5G adoption, the integration of AI-powered applications and advanced connectivity solutions is set to redefine the digital landscape, promising unparalleled experiences for consumers and businesses alike.
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