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Why does the Internet of Things (IoT) need 5G connectivity?

2026-04-06 06:03:25 · · #1

While there are many reasons for the surge in connected devices, there is no doubt that the long-awaited convergence of 5G communication technology will impact this growth. As 5G not only replaces the existing 4G standard but becomes the norm, companies and manufacturers clearly need to consider next-generation connectivity when designing, testing, and launching their IoT-specific devices and sensors.

We no longer need to imagine a world where chronic health conditions like diabetes can be managed 24/7 without high or low blood sugar, car accidents are preventable, or car doors can be unlocked with a simple facial scan. Anyone who has attended CES, the annual extravaganza for next-generation consumer technology, knows that technologies that automatically adjust home lighting and temperature, or order the groceries you need before you run out, already exist.

However, the shift from science fiction to a business-centric reality requires an infrastructure capable of supporting demand and billions of connected devices. This is where 5G comes in. When you combine the promise of the Internet of Things with the actual capabilities of 5G, you have a super-powerful technological ecosystem capable of transmitting massive amounts of data at extremely high speeds.

Furthermore, advancements in IoT communication and sensor miniaturization mean that data from hundreds (if not thousands) of countless sensors can be used to gather information and provide actionable insights. This information, however large, can then be communicated and processed at extremely high speeds via 5G connectivity.

Faster connectivity is the obvious future.

According to a recent webinar hosted by the Thales Group, approximately 438 million devices will have 5G connectivity by the end of this year. This is the fundamental reason why 5G will be a key factor driving the Internet of Things (IoT) to the next level.

However, the question that needs to be answered is: beyond the more prevalent, faster, and lower latency of 4G, how much of an advantage will 5G connectivity offer? The answer to that question depends on your actual digital needs.

As we all know, connectivity has evolved from simply providing access to the internet to implementing complex architectures that form the cornerstone of the digital world. For example, if you consider smart cities, they are able to connect cars, homes, and public power grids, and even waste collection systems, to the Internet of Things (IoT).

The challenge for companies is that the increasing number of devices and the demand for faster data communication mean that existing networks need to be upgraded. Wireless technologies such as Wi-Fi, Bluetooth, 3G, and 4G LTE rely on performance trade-offs with the connected devices on their networks. 5G is not like that.

With connection speeds up to 10 Gbps (100 times faster than 4G), 5G technology can provide networks better suited to the needs of our increasingly interconnected society. Whether you're streaming a movie on your smartphone or driving a smart car, existing 4G networks don't always offer the necessary levels of connectivity. 5G addresses these issues while delivering the speeds consumers expect.

So, is 5G such a big improvement over 4G? After all, telecom companies and ISPs have been talking about how great 4G is for years.

The simple response to this is: Yes, 5G is better.

Not only is it a revolutionary wireless technology, which many believe is related to the speed of light, but 5G is also more energy-efficient, has lower latency, and can support more devices per node. Did we mention that 5G is really fast?

A recent report from Strategy Analytics indicates that currently less than 1% of all 5G cellular connections are for IoT devices. This number is expected to grow over the next nine years, with the report's authors predicting that by 2030, 40% of all connections will be related to IoT. They state that most of this growth is expected to occur after 2026, as 4G will remain the most popular form of network communication.

5G and IoT: A Powerful Combination

As companies strive to integrate 5G, it is essential that any device to be connected is designed to fully leverage its advantages.

To date, the commercial success of IoT devices has depended on their communication with other devices (smartphones, tablets, home hubs, voice-enabled interfaces, etc.). The faster the communication speed between devices, the more benefits they bring to end users. Furthermore, if a project or digital initiative relies on lightning-fast connectivity, then we can incorporate 5G.

At a very simple level, the proposed Internet of Things must be built on speed, low latency, and high bandwidth. This, in turn, unlocks powerful advancements in all directions. 5G can be the catalyst for stable and secure connectivity within a vast IoT ecosystem where billions of connected devices can work together to deliver what companies and their associated customers want.

5G compatibility is key

To reap the undeniable benefits of 5G, manufacturers must first invest in building 5G-compatible devices.

Furthermore, OEMs must prioritize comprehensive quality assurance testing for these 5G devices. If the software and hardware fail to function as expected under various predetermined conditions, the device is highly likely to be flagged as faulty. Testing is essential to identify and fix avoidable errors; if this fundamental requirement is not part of the process, any potential benefits offered by 5G will be wasted.

First, IoT testing requires extensive test coverage. The IoT network should be compatible with a range of older and new, or soon-to-be-released, devices, keeping in mind that system fragmentation can be a problem. In our experience, building an IoT test network that runs well across different operating systems is not always straightforward; therefore, it is crucial that 5G-compatible devices have already been tested on a range of systems to limit the chance of fragmentation errors.

Secondly, the Internet of Things (IoT) and its corresponding software must be tested from all angles. This process will uncover bugs that may affect devices and their connections to 5G networks. By testing the usability and functionality of the software and IoT to obtain accurate reports on 5G connection quality (software-to-object, object-to-software, and behavior), companies can gain a clearer understanding of the relevant interactions.

This means that if any bugs exist that would prevent critical functionality and degrade the user experience, the QA team will find them during the testing phase.

Third, testing needs to evaluate the IoT's ability to connect and maintain connections with other smart devices. In many ways, this is the most crucial part of the testing phase. Unstable connections can hinder interaction between devices and lead to data loss, which can be problematic. Stability is key, and connections on 5G networks rely on this factor. If the connection is unstable, maintaining connectivity with other devices will be problematic. Therefore, testing the IoT under different connectivity scenarios is essential to avoid these difficulties.

Public and private 5G

When most people talk about 5G, they are referring to public 5G networks. To use this public 5G, you must be within the range of a compatible network and have access to spectrum typically owned by a mobile network operator (MNO). Therefore, the management and service of this public 5G network is the responsibility of the MNO.

Some might assume that the same basic conditions will apply to private 5G networks, while MNOs are replaced by companies that are not themselves telecom providers or operators. This would otherwise be termed non-public 5G, and designers and developers need to be aware of these clear distinctions.

A key difference is that public 5G is designed for use by the general public, with millions of users across the national network. Private 5G networks, on the other hand, have dedicated purposes defined by a single enterprise or organization at a given location. These physical elements can range from a single building to an entire port, with notable examples including manufacturing facilities, university campuses, hospitals, military bases, and other locations with critical infrastructure or mission-critical applications.

Adoption of private 5G networks is increasing due to their high capacity, fast communication, and low latency. 5G is seen as the next stage in the development of digital communications, so it makes sense that policymakers want to integrate this technology into their work practices.

If you want to further demonstrate this, then you only need to look at the fact that industrial and manufacturing companies are paying close attention to 5G. Many of these organizations are eager to seamlessly integrate 5G networks into their instruments, interconnected sensors, and other devices, all of which will be networked with existing infrastructure and industrial applications, including manufacturing and energy management.

5G and Industrial Internet of Things

The lockdowns of 2020 forced every business sector to examine their communication methods and, more importantly, where they stood on the necessary digital transformation journey.

ComputerWeekly reports that the pandemic is not only commercially disruptive but also a catalyst for increased adoption of the Internet of Things (IoT). The news source cites a Gartner survey of global business leaders, which found that innovations such as digital twins and artificial intelligence are driving increased investment in IoT-specific solutions, with 47% of the 402 respondents planning to integrate more digital solutions into their companies. The report states that the primary reason is that "IoT generates a predictable return on investment over its management period."

According to Juniper Networks research, the Industrial Internet of Things (IIoT) is projected to include 22 billion devices by 2025, with a compound annual growth rate (CAGR) of 107%. More commonly referred to as Industry 4.0, IIoT will become the “factory of the future,” integrating smart manufacturing with physical production and operations by creating a more comprehensive and tightly connected industrial ecosystem through the use of smart digital technologies, machine learning, and big data; this factory needs the right connectivity.

A Startus Insights report focusing on major 5G milestones states that $2.3 billion has been invested in the IIoT sector since 2015. This level of investment is second only to the $2.8 billion invested in logistics during the same period.

In light of the above, Qualcomm, a 5G technology provider, announced its own IoT modem solution, which is optimized for industrial IoT applications and equipped with 5G connectivity.

These latest 5G-enabled IoT modems support the global 5G new radio frequency band below 6 GHz and operate in standalone mode. In addition to this capability, the modems can switch to LTE as needed and be deployed on public or private 5G networks using network slicing or independently. This solution is said to be best suited for industrial IoT applications that can integrate with wired technologies and existing Ethernet. Furthermore, the new modems come with extended-lifespan hardware and software.

Qualcomm claims that this technology will provide organizations with a new generation of fast, high-performance, and powerful IoT solutions, covering various market segments including buildings, manufacturing, public spaces, and precision agriculture. For example, the 315 5G IoT modem is designed with industrial and enterprise applications in mind, featuring thermal efficiency and delivering low-power gigabit-class performance for industrial IoT.

Enea is also riding the momentum created by 5G innovation. The Swedish-based global IT company has launched 5G Microcore for enterprises, focusing on smart manufacturing and Industry 4.0 initiatives. As an added bonus, Enea has developed its product as part of a minimal footprint solution based on the company's 5G core solutions developed with several Tier 1 operators.

At the time of writing, Enea's products have been extensively tested in Asia. Some enterprises have already introduced private 5G networks in smart factories and require robust data management for robotics and automation to support Industry 4.0 initiatives. This makes the development of such products not only more relevant in terms of 5G compatibility, but also more important in terms of how it will impact the future of the Internet of Things itself.

Why 5G is important

Despite numerous attempts by mobile network operators to promote the clear advantages of 5G to their users, the public remains satisfied with the speeds offered by 4G. This is not to say that the consumer market will not evolve, but rather that society seems (currently) content with the status quo.

From an industrial or commercial perspective, the stakes are much higher. For example, Juniper Research identifies 5G as key to the growth of the IIoT, leveraging the technology to achieve higher levels of operation. Furthermore, the report predicts that technologies such as 5G and low-power wide-area (LPWA) will play a crucial role in attracting the manufacturing sector to the concept of “smart manufacturing,” where high connection density and real-time data transmission provide manufacturers with highly autonomous operations.

While public networks are the primary use case for 5G, private networks will be invaluable for companies generating massive amounts of data in high-connection-density environments. Operating expenses will decrease through increased efficiency if the network functions properly. And if you also consider that more smartphone manufacturers are producing devices with built-in 5G compatibility, you don't need to be a rocket scientist to understand that 5G will become the dominant force in terms of required connectivity.

In fact, 5G is more than just a logical upgrade from 4G. With the ever-growing demand for fast communication gateways and seamless data transfer, the Internet of Things (IoT) is becoming less about the things themselves and more about how they can make our lives better, more efficient, and more digital. For these reasons alone, 5G brings wireless technology closer to the viable vision of the future that science fiction has promised us for decades.

However, for now, we are still in the early stages of 5G adoption. Yes, the technology is here, and it will be a game-changer, but companies need to ensure they are getting on board with the latest developments in network connectivity in the right way.

Some are still struggling with the transition from 3G to 4G, so adding 5G to the equation presents a whole new set of challenges to overcome. If policymakers understand that these pain points are solvable, then integrating 5G into a connected society will be the next step in our digital future.

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