A study by Juniper Research has found that operator revenue from IoT roaming is set for significant growth. The report forecasts an increase from £1.1 billion in 2024 to £2.2 billion by 2029, with 5G IoT devices playing a pivotal role.
Despite accounting for less than 10% of IoT roaming connections, 5G devices are expected to contribute over 40% of total revenue by 2029. This disproportionate impact highlights the transformative potential of 5G in the IoT landscape.
The study emphasises the importance of 5G-enhanced roaming services in driving this revenue growth. These advanced services offer improved quality of service for cutting-edge 5G IoT applications, particularly in Ultra Reliable Low Latency Communications (URLLC).
As 5G-enhanced roaming becomes essential for delivering mission-critical services, operators are set to implement premium pricing strategies for these high-value connections. The research identifies URLLC connectivity as a crucial factor for success—particularly in real-time, mission-critical scenarios such as IoT-based maintenance for connected vehicles.
The increased reliability offered by URLLC makes it indispensable for enterprises requiring uninterrupted, high-performance connectivity for their IoT deployments.
The introduction of enhanced connectivity necessitates the development of sophisticated roaming steering capabilities, especially between network slices. These slices – which are logically separated, independent segments of a 5G network – are often tailored for specific use cases or user groups.
Advanced roaming steering will be crucial in directing IoT connections to the appropriate network slice based on the specific requirements of each use case. This optimisation ensures that quality of service standards are met consistently across various IoT applications.
Alex Webb, author of the research, said: “To effectively meet quality of service requirements, operators must provide enterprises with tools which allow them to input their connectivity requirements; enabling operators to steer IoT roaming connections to the optimal network slice.”
This approach not only enhances the user experience but also allows operators to maximise the value of their network investments by efficiently allocating resources to high-priority IoT connections.
The projected doubling of IoT roaming revenue underscores the opportunities available to operators who can effectively leverage 5G technology and advanced network management techniques.
(Copyright: IoT News 5G to double IoT roaming revenue by 2029 (iottechnews.com)
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