Tuesday, May 7, 2019

Will Users Pay More for 5G?

On average, smartphone users globally say they are willing to pay a premium of 20 percent over and above what they pay today for mobile service for the benefits of 5G, Ericsson says.

Half of all early adopters who are familiar with 5G's promises could pay as much as 32 percent more than they do today, Ericsson researchers also estimate. These potential 5G early adopters constitute 25 percent of all smartphone users globally.

As always, the caveat is that consumer surveys of willingness to pay tend to be inaccurate: people rarely spend as much as they say they are willing to do.

In the U.S. market, consumers say they can pay a price premium for 5G of 15 percent (about  $9 a month), while a premium of 35 percent in the UAE translates to $14 a month, Ericsson argues.


source: Oppenheimer

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