Work

Current status analysis of 5G mobile communication services industry using business model canvas in South Korea

Year: 2024

Type: article

Abstract: Recently, faced with stagnating subscriber growth, operators of mobile communication services worldwide are actively seeking to revitalize the convergence industry through partnerships with other sectors. South Korea—which launched the world's first 5G service in 2019—had 32 million 5G subscribers by 2023. However, due to issues such as poor service quality, the lack of compelling services, and inadequate network infrastructure relative to initial projections, subscriber growth has been slower than expected. In this paper, we analyze the deployment of 5G and its business models in vital fields like smart factories and digital healthcare, which are expected to play crucial roles in propelling the industry forward. The business model canvas (BMC) framework is employed to identify essential factors for industry revitalization, major challenges, and future strategies. The analysis reveals that the provision of ultra-broadband and low-latency services has been hindered by delays in deploying services at 28 GHz, crucial for advancing the convergence industry. Enhancing the use of the 28 GHz wireless network would enable critical services for smart factories and digital healthcare, such as mobile edge computing, machine vision, telemedicine, and AI-driven medical applications. Furthermore, it is determined that strategies for revitalization at the government level need urgent implementation, contrasting with the current, less effective sandbox-level strategies. The empirical findings of this study allow for an assessment of why 5G subscriber growth lags behind that of 4G, and assist in the formulation of effective policies. Additionally, this data can serve as a foundation for planning strategies to stimulate the convergence industry using future B5G and 6G networks.

Source: Asia Pacific Management Review

DOI: 10.1016/j.apmrv.2024.11.002

Authors: Hee-Seon Jang, Jaehyun Yeo

Institutions: Pyeongtaek University, Korea Information Society Development Institute

Language: English

Topic: Advanced Data and IoT Technologies

Subfield: Electrical and Electronic Engineering

Field: Engineering

Domain: Physical Sciences

SDG: Industry, innovation and infrastructure

Open Access status: hybrid

Estimated APC paid: $1,600