5G network in South Korea to be worth $42.4bn by 2030

KT Corp report finds that the automotive industry will drive usage of 5G technology


Commercial use of 5G mobile network technology is expected to generate at least $26.8bn in socioeconomic value in South Korea in 2025, representing 1.5% of the country's GDP, according to a report by South Korean telecoms giant KT Corp.

The report also forecast that the 5G network technology will reach at least $42.4bn, or 2.1% of GDP, by 2030.

"Like past general-purpose technologies such as electricity, steam engines and computers, 5G will pioneer the next digital transformation by driving innovation and evolution across our economy and society," said Kim Hee-Su, head of the KT EMRI. "5G will be used in combination with other key future technologies like artificial intelligence, big data and Internet of Things."

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The report, which was the country's first official report on how 5G will benefit the country's economy and society over the next 12 years, focused on 10 top industries: automotive; manufacturing; healthcare; transportation; agriculture; security and safety; media; energy; logistics and finance. KT found that the automotive industry would gain the most in socioeconomic value from 5G, with around $3bn predicted in 2025, rising to $6.4bn in 2030, reflecting the growth of vehicle telematics. This was followed by the finance industry, predicted to value about $5bn by 2030, then the media industry at just over $3bn.

The report also stressed that the estimates of the socioeconomic value are conservative and could increase more as new services utilizing 5G start to emerge in the future.

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