Juniper Research predicts that 2028 will mark the first year where 5G roaming spend overtakes that of 4G subscribers.
5G subscribers are projected to spend $10.8 billion on roaming globally by 2028, a significant increase from the $4.2 billion expected this year.
Despite the initial launch of commercial 5G networks back in 2019, Juniper Research believes it will take a full decade for mobile operators to generate more annual revenue from 5G roaming connections compared to their 4G counterparts.
Juniper points towards complex 5G network architectures and the need for more comprehensive roaming agreements as factors contributing to the slower-than-anticipated deployment of 5G roaming, consequently limiting the growth of 5G roaming expenditure.
One of the key challenges highlighted in the report is the struggle operators face in efficiently identifying and managing roaming connections on their networks. This inefficiency, according to Juniper Research, leads to “roaming revenue leakage”.
Juniper suggests that this leakage – primarily caused by inaccuracies in roaming settlements and fraudulent activities – is expected to be significantly reduced with the implementation of 5G standalone roaming agreements. These next-generation standalone networks utilise advanced cores that enable more efficient roaming technologies, such as SEPP (Security Edge Protection Proxy).
Georgia Allen, the author of the research, commented: “Despite the high investment associated with standalone technologies, we believe that the increased roaming revenue achieved from better identification of connections will outweigh this investment.
“In turn, we urge operators to implement 5G standalone network cores to maximise roaming revenue as competing technologies – such as travel eSIMs – become more popular with mobile subscribers.”
Juniper’s research highlights the growing importance of 5G roaming and the need for operators to adopt advanced network technologies to capitalise on this expanding market.
(Image by Alex Bita)
See also: NVIDIA aims to make telecoms networks smarter
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