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A $659 billion 5G transformation for this one industry

by , 01 September 2020
A $659 billion 5G transformation for this one industry
One of the most widely reported sectors that will benefit from 5G is transport/logistics.

According to Informa, the logistics industry accounts for the second highest level of private 5G network deployments since 2016.

That's because 5G networks are completely remaking the industry in various ways.

Today I'm going to explain how 5G can revolutionise the transport industry…

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5G will help company’s save tons of costs and
become more efficient
Take fleet telematics and supply chain monitoring for example...
Fleet telematics uses sensors to relay information about a vehicle, such as location, fuel consumption, engine diagnostics or even driver behaviour.
For logistics and transportation companies, this kind of data will help them save a lot of money.
Maintenance alerts will help avoid costly downtime. Route optimisation for delivery vehicles will save time and fuel.
Up until now, monitoring has been limited. Old networks can only handle so much data. But that will all change, as 5G networks expand.
With its increased speed and low latency, 5G will streamline how efficiently transportation fleets operate by allowing vehicles to signal each other in real-time. It will also allow vehicles to communicate with sensors on bridges, roads and traffic lights.
And speaking of sensors…
Sensors are also increasingly found in warehouses, and even delivery parcels. This allows for constant real-time monitoring across the supply chain.
5G will enable the use of more sensors in vehicles, warehouses and packages. And all of that data will be transmitted faster than ever before.
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It will also create safer and economically friendly roads
Then there are the massive dollars (and lives) that would be saved by the reduction of accidents that resulted from an exponentially more efficient transportation system.
Advancements in this industry won’t only make roads safer, but more environmentally friendly and economical for consumers.
Using data such as live traffic updates and passenger numbers, connected bus stops could help users choose the quickest and most comfortable route to work.
Alternatively, users could be taken to work by a driverless vehicle, constantly communicating with both infrastructure and other vehicles to take them safely to their destination.
In short, 5G will completely revolutionise the transport and logistics industry. Entire supply chain networks will become much more efficient.
All told, 5G will have a $659 billion impact on the global transportation market, according to IHS Markit.
See you next week.
Joshua Benton,
Managing Editor, The South African Investor
P.S. Grab my top 5 plays set to benefit from the 5G revolution right here – before their share prices soar.

A $659 billion 5G transformation for this one industry
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