For something that hasn’t been perfected yet, there is an awful lot of talk about 5G. So, what’s going on – is the hype worth the wait?
Let’s start from the top – What is 5G?
Unlike 3G/4G networks, 5G does not require cables to operate, running as a ‘software-based’ network using cloud systems. Using millimetre technology (similar to radio waves), the waves have higher frequency but this means the wavelength is shorter. Therefore, in order for 5G to work and be better than 3G/4G the infrastructure sending the signals needs to be placed closer to the recipient. Eventually, the process of beamforming will be beneficial for 5G as it reduces wastage signal by focusing on a smaller area. For example, a light bulb will light up the whole room, whereas a torch will light up a certain spot. Beamforming aims for the latter, aiming the signals to that certain device.
The infrastructure required to receive 5G consistently will cost companies a lot of money. Why are companies continuing to focus on 5G?
The answer can be seen in numbers. The response time for 4G is 0.045 milliseconds, while 5G is estimated to be just 0.001 milliseconds. That’s 400 times faster than the blink of an eye – incredible!
As for downloading speed? 3G will take you 26 hours to download a full film, 4G will take 6 minutes and 5G… 3.6 seconds!
With amazing differences like these it’s no wonder companies are focusing on 5G.
So what opportunities can 5G provide businesses?
One of the biggest benefits alongside speed is the idea of ‘network slicing’. Think of the 5G software-based cloud cut into layers. The more layers you have access to, the quicker your internet speeds. Of course, you will pay more to access these other layers, but it is useful for businesses and gamers who require access to quicker networks that everyday users wouldn’t.
Many companies would benefit from faster internet speeds, but some of the most obvious would be tech and FinTech companies. With quicker speeds than ever before, tech and FinTech could go hand in hand and possibilities know no bounds. Even with 3G/4G available the FinTech market is developing rapidly, so imagine the possibilities 5G could bring.
Expansion of the internet of things – from autonomous cars to fridges and lights, smart devices are predicted to take over the role of almost every device in daily life. This could have huge benefits for businesses as smart devices could help them save money. Take FinTech companies for example, cutting costs in the office on electricity could increase revenue which could be reinvested back into the business and spent on better technology etc.
Overall, FinTech has grown over the years and doesn’t show any signs of slowing down if 5G is involved. An increase in growth means an increase in the number of opportunities to join some of the greatest minds in FinTech. Think you have what it takes to tackle the challenging world of FinTech? Get in touch with Ashmore Stark now!
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