| September 3, 2024

Asia-Pacific Subscribers Will Benefit from More 5G Mid-band Spectrum

In the dynamic landscape of 5G deployment across the Asia-Pacific region, the strategic selection of spectrum frequency bands plays a pivotal role. The mid-band range, notably C-band (3.3-4.2 GHz), stands out as a key enabler, offering the ideal balance of broad coverage and high capacity. In this article, we use Ookla Speedtest Intelligence® data to highlight the relationship between spectrum bands and network performance.

KEY TAKEAWAYS

  • Mid-band is important for unlocking the full potential of 5G. The mid-band spectrum offers a balance of speed and range and is the preferred choice for most 5G deployments globally. Speedtest Intelligence® showed that C-band was present in 62.1% of global Speedtest consumer-initiated 5G samples in the first half of 2024.
  • Markets with a higher proportion of included C-band samples experienced faster 5G speeds. Global Speedtest Intelligence samples that included C-band were 1.7 times faster than lower mid-band spectrum and 4.27 times faster than sub-1-GHz low-band based on 1H 2024 data. Data also indicates that for markets with a higher reported proportion of included C-band samples typically experienced faster 5G speeds and improved overall network performance.
  • Operators face the challenge of balancing the need for broad 5G coverage with the desire for better performance. Some APAC markets experienced a decline in speed as 5G services and availability have increased. Malaysia, with its unique single-wholesale 5G network, showed declining 5G median download speeds, falling from 506.96 Mbps in Q2 2023 to 387.39 Mbps in Q2 2024, as 5G Service increased from 9.4% in Q2 2023 to 26.5% in Q2 2024. Thailand, on the other hand, achieved a 5G Service of 65.4% in Q2 2024, but reported a lower 5G median download speed of 135.30 Mbps due to the lack of C-band allocations.

Mid-band spectrum dominates 5G deployments

In our previous report on spectrum and performance, we discussed how the effectiveness of 5G networks depends on the strategic use of spectrum bands. Regulators allocate spectrum for 5G networks across three ranges: low-band (sub-1GHz), mid-band spectrum (frequencies between 1 GHz and 6 GHz), and high-band or mmWave spectrum (24 GHz and above), each with unique characteristics and capabilities. An operator’s spectrum holdings play a crucial role in determining its 5G deployment strategy and the range of services and experiences it can offer.

Mid-band spectrum occupies a strategic position in the 5G landscape, offering a blend of range and speed that is critical for realizing the full potential of 5G networks. It occupies a middle ground between the extensive reach of low-band spectrum and the high-speed but limited-range capabilities of high-band or mmWave spectrum, making it a crucial enabler of high-speed connectivity and low latency. , offering a blend of range and speed that is critical for realizing the full potential of 5G networks. It occupies a middle ground between the extensive reach of low-band spectrum and the high-speed but limited-range capabilities of high-band or mmWave spectrum, making it a crucial enabler of high-speed connectivity and low latency. 

Global Breakdown of Spectrum Bands Used in 5G Deployments (%)
GSMA | Q1 2024

Due to mid-band’s ability to balance coverage and performance, it is the preferred choice in 5G deployment. According to GSMA Intelligence’s Spectrum Navigator, out of the 295 operators that have launched commercial 5G networks globally, as of the end of Q1 2024, 72% utilized mid-band spectrum. 

Within the mid-band spectrum, the C-band spectrum, which includes n77 (3,300–4,200MHz), n78 (3,300–3,800MHz), and n79 (4,500MHz), has emerged as the de facto standard for 5G deployment. GSMA Intelligence reported that 186 out of 295 operators worldwide (63%) use bands n77 or n78 for their 5G network, showing a clear preference for the C-band spectrum. Additionally, Speedtest Intelligence® data from the first half of 2024 revealed that C-band was present in 62.1% of global Speedtest consumer-initiated 5G samples where spectrum information is available.

Proportion of Included Spectrum Band (%)
Speedtest Intelligence® | 1H 2024

APAC region mirrors the global trend of prioritizing mid-band spectrum for 5G deployment

We analyzed 5G networks in selected Asia Pacific (APAC) and top-performing markets from the Gulf region using Speedtest data from the first half of 2024 to gain insights into the spectrum bands utilized by operators. It’s important to note that operators will employ differing strategies in order to optimize spectrum utilization and the user experience. Consumer-initiated Speedtest samples will attempt to saturate a network connection, and operators will tend to serve this capacity demand through the spectrum bands with the highest capacity, and where required supplement this capacity through carrier aggregation. This active testing gives a better indication of the maximum throughput and state of the network, in contrast with background idle-state testing, which will often camp on lower frequency bands and more specifically on 4G-LTE. For many of these selected markets, it is evident that the mid-band spectrum is the cornerstone of 5G deployments, reported in 81.5% of user samples with spectrum information. Within the mid-band, 73.1% of total test samples included C-band.

Chart of Spectrum Band Distribution Based on Primary Reported Band

Speedtest Intelligence reveals a strong preference for C-band in certain APAC markets. For instance, in South Korea, New Zealand, and Malaysia, the recorded 5G test samples were exclusively reported on the C-band spectrum.

South Korean and New Zealand operators have successfully deployed nationwide 5G access in both markets using the allocated C-band spectrum. In South Korea, all three major operators acquired spectrum in the 3.5 MHz (mid-band) and 28 MHz (high-band) through the auction process in 2018. While all operators prioritized and successfully deployed 5G on the 3.5GHz spectrum, their 28 GHz mmWave band licenses were revoked after failing to meet the deployment conditions set by the country’s regulator, the Ministry of Science and ICT (MSIT). This underscores that deploying 5G on the C-band for the operators has been sufficient to meet the operators requirements so far.

In Malaysia, 5G deployment is facilitated through its single wholesale network provider, Digital Nasional Berhad (DNB), utilizing the 3.5 GHz band for traffic, with 700 MHz serving as the Non-Standalone (NSA) 5G anchor band.

The allocation of C-band for 5G deployment varies across the APAC region. In some markets, 5G deployment relies more on low-band and lower mid-band spectrum range to enable broader outdoor 5G coverage and improved penetration inside buildings in urban and suburban areas. Thailand, one of the first markets to launch 5G in the Asia-Pacific region, has successfully launched 5G services using both 700 MHz and 2.6 GHz bands. The full allocation of C-band is still pending, which may challenge the country’s ability to fully leverage the capabilities of 5G technology. 

Similarly, Indonesia has yet to allocate the C-band spectrum for 5G, which could be challenging due to broadcast and fixed satellite operators’ traditional use of this spectrum. Extensive refarming work may be needed to ensure that mobile operators have access to the spectrum without interference.

5G performance hinges on the spectrum bands used

Data from Speedtest Intelligence from 1H 2024 shows a large variation in 5G download speeds depending on the included frequency in the 5G test samples globally, from a high 1.3 Gbps for samples that included high-band (mmWave) to a more moderate 75.17 Mbps for low band.

Median 5G Download (Mbps) by Included Spectrum Bands
Speedtest Intelligence® | 1H 2024

Samples that included lower-range mid-band spectrum provided 2.48 times better performance compared to the sub-1GHz low-band, with a median download speed of 187.80 Mbps. While samples that included the upper mid-band, i.e., C-band, the preferred spectrum band used for 5G deployment globally, had significantly higher download speeds at 322.38 Mbps, or 1.7 times faster than lower mid-band spectrum, and more than 4 times faster than sub 1-GHz low-band.

C-Band driving improved performance

Chart of Median 5G Download Speed Against Proportion of Included C-band Samples (%)

Drilling further into the selected markets, our data indicates that markets with a higher proportion of C-band samples in the tests, generally had faster median 5G download speeds.

Operators in the UAE, Qatar, and South Korea have ample spectrum allocation, with each operator being provided at least 100 MHz of contiguous C-band spectrum, partially explaining the strong 5G performance in those markets.

United Arab Emirates (UAE), Qatar, and Kuwait have consistently secured top positions in Ookla’s Speedtest Global IndexTM for median download speed over all technologies. This is driven by strong 5G performance, with Speedtest Intelligence data reporting median 5G download speeds in 1H 2024 of 667.99 Mbps in the UAE and 610.67 Mbps in Qatar, while Kuwait maintained a reasonably fast 366.79 Mbps during the same period.

The strong 5G performance can be partly attributable to the combination of ample spectrum access and extensive 5G coverage underpinned by fierce competition among operators. The Telecommunications and Digital Government Regulatory Authority (TDRA) in the UAE has reported that as of Q1 2024, the 5G network covers more than 98% of the populated areas. Additionally, Qatar has made massive investments in building robust 5G networks for the 2022 FIFA World Cup.

In APAC, South Korea continues to solidify its position as a regional leader in 5G deployment, showcasing median 5G download speeds of 524.99 Mbps in 1H 2024. South Korean regulator, MSIT, has set strict milestones and requirements after allocating 100 megahertz in the 3.5 GHz band to all three major operators. This move has prompted the operators to accelerate their 5G rollouts with extensive network densification, as evidenced by deploying more than 115,000 5G sites across 85 cities, covering most metropolitan areas and ensuring the country was among the first to reach nationwide population coverage.

Balancing 5G Service and network performance with increasing user demands

Chart of Median 5G Download Speed Against 5G Service (%)

As the adoption of 5G technology continues to expand, operators face the challenge of balancing the need for extensive 5G coverage and high performance to meet the growing demands for advanced use cases. Ookla’s 5G Service metric measures the percentage of known geospatial locations where a 5G-enabled device has access to 5G Service. When comparing 5G service and performance in selected Asia-Pacific markets, apart from some outliers, we noticed that there is typically a trade-off between performance and coverage when operators deploy 5G using a range of spectrum bands.

Median 5G Download (Mbps) and 5G Service (%) Quarterly Trend in Selected APAC Markets
Source: Speedtest Intelligence® | Q2 2023 – Q2 2024
Median 5G Download (Mbps) and 5G Service (%) Quarterly Trend in Selected APAC Markets

In Hong Kong, 5G Service is widespread at 95.7% as of Q2 2024, thanks to a combination of low-band, mid-band, and C-band spectrum. However, with an average of 75 MHz in C-band allocated to operators, download speeds are constrained at 135.50 Mbps.

Singapore, where all three operators have commercialized 5G SA, reported well-balanced 5G Service and download performance. In Q2 2024, Singapore 5G Service was at 80.3%, and the median download speed was 341.49 Mbps. This is due to the operators’ optimal combined use of the 2.1GHz mid-band spectrum and 3.5 GHz C-band spectrum nationwide.

Despite initially achieving some of the fastest 5G speeds in the region, Malaysia, with its unique 5G deployment strategy through a nationwide single wholesale network, has experienced a decline in speed as 5G services and availability have increased. Overall, the country’s 5G download speed has fallen from 506.96 Mbps in Q2 2023 to 387.39 Mbps in Q2 2024, as 5G Service increased significantly from 9.4% in Q2 2023 to 26.5% in Q2 2024. The 100 MHz C-band spectrum allocated to the SWN provider, shared among five 5G providers, appears constrained as 5G Service and availability increase, leading to declining median speeds. GSMA Intelligence data estimates that the adoption of 5G technology in Malaysia was 10.1% in Q2 2023 and increased to 37.0% in Q2 2024. The rapid adoption of 5G technology is impacting performance and will continue to do so as adoption rates increase and traffic demand per connection rises. This underscores the importance of ongoing spectrum management to maintain high-performance 5G networks and effectively address the increasing demands and new 5G use cases.

It was observed that in markets leveraging lower-band spectrum for wider 5G coverage, there was a trade-off between extensive coverage and performance. Thailand, for example, underscores the critical role of C-band spectrum in unlocking 5G’s full potential. Despite achieving 65.4% 5G Service in Q2 2024, the lack of C-band allocations has limited 5G performance to a median download speed of 135.30 Mbps. This highlights the importance of incorporating C-band spectrum alongside low-band and lower mid-band frequencies to deliver optimal 5G speeds and capabilities.

Wider contiguous spectrum is needed for future 5G networks

5G has been the fastest mobile generation rollout to date, surpassing one billion connections by the end of 2022, rising to 1.6 billion connections at the end of 2023 and 5.5 billion by 2030. As the number of 5G connections continues to grow, sustaining a good user experience becomes more important, underscoring the need to maintain and enhance network capacity.

The increasing data traffic and the proliferation of data-intensive applications and services drive the demand for greater contiguous mid-band spectrum, particularly in the 3.3-4.2 GHz C-band range. Allocating additional spectrum would also help mobile operators meet the ITU’s minimum technical performance requirements for download speeds of 100 Mbps and upload speeds of 50 Mbps in densely populated urban areas. 

We will continue to monitor spectrum demands and monitor their impact on network global performance. For more information about Speedtest Intelligence data and insights, please get in touch.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| July 22, 2024

Fiber In The Philippines Is Improving And Catching Up With Its Regional Peers

Fixed broadband speeds in the Philippines are gradually improving. This is attributed to the combined efforts of ISPs and government agencies to expand coverage and promote the transition from legacy fixed-line technologies to faster fiber connections. However, the distribution of fixed network infrastructure across the country is uneven, and there is still room for further improvement and adoption.

Key Takeaways

  • Fixed performance in the Philippines is improving but still lags behind some neighbors. While the Philippines’ fixed broadband network performance continues to improve quarter over quarter, Ookla® Speedtest Intelligence® shows the Philippines’ speed of 94.42 Mbps in Q2 2024 was behind some of its Southeast Asian peers’ median download speeds, such as Singapore (284.93 Mbps), Thailand (231.01 Mbps), Vietnam (135.00 Mbps), and Malaysia (132.72 Mbps).
  • The five fastest regions in the Philippines were in Luzon Island, highlighting the unequal distribution of fixed network infrastructure. In Q2 2024, Luzon Island had the regions with the top five fastest fixed performance in the Philippines, all reporting download and upload speeds surpassing 90 Mbps. Calabarzon had the fastest fixed median download speed of 99.55 Mbps, while the Eastern Visayas region had the lowest median fixed download speed of 38.43 Mbps.
  • An increase of Starlink’s low-Earth orbit satellite-based connection is an interesting development and may make this satellite service a viable home broadband alternative. Speedtest samples for Starlink in the Philippines have significantly increased over the past year. However, Starlink’s performance lags behind that of fixed broadband, with median download speeds half of fixed download speeds for all operators, at 48.14 Mbps compared to 94.42 Mbps. Upload speeds were also significantly lower, at 12.63 Mbps compared to 94.13 Mbps reported by all fixed broadband operators.

Philippines’ fixed performance continues to trail behind neighboring counterparts

Broadband subscriptions in Southeast Asia substantially surged during the pandemic, reflecting the increased demand for connectivity. Although 92% of the total broadband subscriptions are mobile, there are efforts in the region to bolster fixed broadband access. Government initiatives in the region have led to improvements in fixed broadband performance. However, there is still a disparity in broadband performance among regional counterparts. 

Looking at performance in Q2 2024 in select Southeast Asian markets, Singapore and Thailand maintained a significant performance lead compared to other countries in the region, achieving median fixed broadband download speeds in excess of 200 Mbps during Q2 2024. Malaysia and Vietnam demonstrated similar performance, both achieving median fixed download speeds of 132.72 Mbps and 135.00 Mbps, respectively, surpassing the Philippines’ speed of 94.42 Mbps in Q2 2024. Of the remaining selected markets, Brunei had a speed of 77.50 Mbps, trailing behind the Philippines, while Indonesia, which shares geographical similarities with the Philippines as both are archipelagos composed of thousands of islands, reported the slowest fixed-line market, recording a median download speed of 31.42 Mbps during the same period.

Fixed Median Download Speed Across Select Southeast Asian Countries
Speedtest Intelligence® | Q2 2024

Mobile internet is the primary means of access in the Philippines, with only 33% of households having fixed broadband, which is significantly lower than the ASEAN average of 41%. Additionally, the annual charge for fixed broadband accounts for 11% of the per capita gross national income (GNI), which is twice as much as the ASEAN average, making it unaffordable for some of the lower-income population. 

Accelerated fiber deployments result in a 50% improvement in broadband speeds

The Philippines was the fastest growing economy across Southeast Asia in 2023. With the improving GDP, there is more disposable income for people to afford connectivity solutions and increased demand for better broadband connectivity in the country. As a result, the fixed broadband market in the Philippines has undergone significant transformations in recent years, marked by a notable shift towards fiber networks and the implementation of 5G fixed wireless access. Both governmental initiatives and efforts by leading ISPs have resulted in substantial investments aimed at expanding and modernizing infrastructure throughout the archipelago.

According to GlobalData in 2022, DSL lines accounted for 37% of total fixed broadband subscriptions in the Philippines. This is expected to gradually decrease and be replaced by fiber, with projections indicating that fiber will constitute over 36% of all fixed broadband lines by 2027.

One key government project aimed at enhancing internet infrastructure is the National Broadband Plan (NBP). Through the Department of Information and Communications Technology (DICT), the Philippine government has rolled out the NBP, which seeks to bridge the digital divide by establishing a nationwide fiber broadband network and wireless technology to provide faster and more affordable internet access to all Filipinos. 

As part of NBF, the government recently launched the first phase of its National Fiber Backbone (NFP) project. Targeted to be completed by 2026, the NFB project aims to enhance connectivity and government operational efficiency while extending internet access in Regions I, III, and NCR. 

Besides government-led initiatives, ISPs such as Converge ICT, Globe Telecom, and PLDT are investing in and expanding their networks and upgrading their technologies. These efforts aim to offer faster internet speeds to their customers and enhance internet connectivity in both urban and rural areas. 

PLDT started deploying fiber in 2015 and as of the end of 2023 it reached 17.3 million households with fiber.. Similarly, Converge ICT, the incumbent fixed broadband player, added 900,000 new homes to its fiber footprint in 2023 and ended the year with nearly 16 million homes passed.

Network performance in the Philippines has improved over the past two years. Ookla Speedtest Intelligence® data indicates a steady increase in median fixed download and upload speeds across the Philippines for all fixed providers combined between Q2 2022 and Q2 2024. During this period, the median fixed download speed rose by 51% from 62.51 Mbps to 94.42 Mbps. Since most ISPs offer symmetric speeds, the median fixed upload speed also showed an upward trend, increasing from 58.65 Mbps in Q2 2022 to 94.13 Mbps in Q2 2024.

Median Fixed DL and UL Performance in the Philippines
Speedtest Intelligence® | Q2 2022 – Q2 2024

Regions in Luzon Island dominates fixed broadband performance, underscoring disparities across the country

Despite various efforts to enhance fixed performance throughout the Philippines, there are persistent regional disparities in median download and upload speeds due to the uneven distribution of fixed network infrastructure. Based on Speedtest Intelligence® data from Q2 2024, Luzon Island stands out for its fixed internet performance, with the five fastest regions situated on the island, recording download and upload speeds surpassing 90 Mbps. Given Luzon’s economic significance and high population density, it is where the majority of the country’s investment in high-speed broadband infrastructure is concentrated, especially in the capital, Metro Manila, as well as nearby provinces, and central Luzon.

Calabarzon, the region with the largest population of 16 million, had the fastest fixed median download speed of 99.55 Mbps in Q2 2024. The region has the second-highest percentage of households with access to fixed broadband network, at 23.4%, after Metro Manila (NCR), which had the highest share, at 26.4%. At the other end of the scale, the Eastern Visayas region (Region VIII), occupying the eastern section of Visayas Island, scored the lowest median fixed download speed at 38.43 Mbps.

Fixed Wireless Access and satellite broadband as an alternative to bridge the digital gap 

The Philippines’ geographical layout, consisting of over 7,000 islands, is challenging for fiber deployment. Due to the archipelago’s structure, ISPs may be reluctant to invest in fiber deployment as accessing remote parts can be difficult. In many low-density and low ARPU areas, fixed networks are neither cost-effective nor logistically viable. To this end, Fixed Wireless Access (FWA) and Satellite Communication (SatCom) are becoming attractive options for tapping into these underserved and remote populations.

FWA provides the fastest and most flexible broadband option in areas where fixed broadband is unavailable, especially since the Philippines is a predominantly mobile market. 4G FWA has been available in the Philippines for some time and MNOs use FWA to increase broadband adoption in areas with low fixed broadband coverage. As 5G coverage expands nationwide, it brings significant performance improvements, positioning FWA as a strong competitor to the existing fixed alternatives, such as fiber-to-the-home (FTTH).

The Philippines was the first country in Southeast Asia to experience commercial 5G FWA connectivity. In 2019, Globe launched its first commercially available 5G FWA service called Globe At Home AirFiber 5G. This service offers speeds of up to 100 Mbps and generous data allocations of up to 2 terabytes (TB), starting at around P1,899 (USD$36) per month. Smart Communications launched its prepaid Home Wi-Fi 5G called Smart Bro Home Wi-Fi 5G at the end of 2021.

At its peak, an estimated 4.3 million users in the Philippines access broadband through FWA. Interestingly, the FWA growth rate has declined in the last two years, as reported by ABI Research. In early 2023, Globe Telecom reported a subscriber base of 1.2 million for its fixed wireless services, a decrease from 2.4 million the previous year. Likewise, PLDT reported a 45% decline in FWA subscriptions at the end of 2023 compared to the beginning of the year. This decrease in FWA numbers was partly due to the increased availability of fiber broadband access nationwide. Both providers noted a rise in fixed fiber broadband subscriptions, which is understandable given that fiber provides more reliable connectivity than FWA.

There has also been a significant increase in satellite-based connectivity to provide internet access in areas not covered by traditional terrestrial networks. Based on Speedtest samples, Starlink’s LEO service is providing the majority of satellite internet connectivity in the country. Starlink service in the Philippines launched in early 2023. Based on the comparison between Q2 2024 and Q2 2023, there has been a substantial increase in Starlink Speedtest samples in the Philippines, growing by 228.5% over the past year, and this number is expected to increase further. According ABI Research, the Philippines is projected to become the largest Southeast Asian market for satellite broadband, with 909,000 subscriptions by 2028.

Speedtest Intelligence data indicates that Starlink underperformed compared to all fixed broadband operators combined. Starlink’s Q2 2024 median download speeds were almost half of the median fixed download for all operators, at 48.14 Mbps compared to 94.42 Mbps. Starlink’s median fixed upload speeds, at 12.63 Mbps, significantly lagged behind the 94.13 Mbps provided by fixed broadband operators, which provides symmetrical upload and download speeds.

Multi-server latency tends to be higher for satellite providers, with the significant distances between satellites and receivers resulting in long delays. For Q2 2024, Starlink’s multi-server latency was double that of all fixed operators combined, at 50 ms compared to 25 ms for the latter. 

Starlink Performance Against All ISPs Combined
Speedtest Intelligence® | Q2 2024

Besides Starlink’s performance challenges, the equipment and subscription costs are higher than terrestrial broadband options, making it inaccessible for some users. However, it provides a viable alternative, especially in locations without access to fixed broadband or with slower DSL connections.

It’s clear that the regulatory bodies and ISPs in the Philippines are committed to advancing broadband connectivity by implementing various strategies aimed at deploying fiber, promoting its adoption, and offering wireless broadband as an alternative to increase competition. These efforts have led to notable improvements in fiber accessibility and fixed broadband speed over the past two years. However, a significant gap in fixed broadband performance remains compared to some neighboring countries in the region. 

Establishing a closer private-public partnership is imperative to meet the increasing demand for better fixed broadband and narrow the gap with neighboring countries. This, in turn, will drive the development of robust fiber networks and promote greater availability of higher-speed broadband services while encouraging existing customers to upgrade to faster speeds. We’ll continue to monitor the progress of the Philippines’s fixed broadband market and provide updates on the state of fixed broadband connectivity across other Southeast Asian markets. If you are interested in Ookla’s solutions and services for network intelligence and management, get in touch.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| June 12, 2024

Exploring 5G Indoor Connectivity Within the Greater Bay Area

繁體字

The Guangdong-Hong Kong-Macao Greater Bay Area (GBA) is one of the regions with the fastest urbanization process in China in the past 4 decades. With the highest concentration of skyscrapers in the world, operators in the region must prioritize seamless indoor and outdoor 5G coverage to optimize services and meet customer needs.

In this report, we use data from Cell Analytics™ to examine the 5G indoor performance and signal quality across Guangzhou, Shenzhen, Hong Kong, and Macau, the four major cities in GBA.

Key Takeaways

  • Guangzhou and Shenzhen showed better city-wide indoor 5G coverage and quality compared to Hong Kong and Macau. Guangzhou reported a mean RSRP of -82.89 dBm, with Shenzhen slightly lower at -86.96 dBm. Additionally, both cities boast better 5G indoor quality with scores of 10.09 dB and 10.98 dB, respectively. In contrast, Hong Kong’s mean RSRP was at -87.36 dBm, while Macau’s was at -91.02 dBm.
  • China Mobile in Guangzhou stands out for offering better indoor 5G coverage in the city. The operator reported a mean RSRP of -79.17 dBm, which is significantly better by approximately 8 dB compared to China Unicom’s mean RSRP of -87.2 dBm. There were only minor differences in 5G indoor signal strength between operators in the other cities, but in Macau, the operators had significantly weaker indoor signal strength than almost all other operators in the other selected cities.

Indoor 5G Traffic Continue to Rise Among the Greater Bay Area Cities

The Guangdong-Hong Kong-Macao Greater Bay Area, commonly known as the Greater Bay Area (GBA), comprises nine cities in the Guangdong region of China and the two Special Administrative Regions (SAR) of Hong Kong and Macau. These cities are connected by an extensive transportation network, including high-speed rail, bridges, and tunnels, due to their proximity. As a key economic and technological hub in China, the adoption of 5G technology has become a key driver in the region, enabling the transformation of various industries and promoting automation and digitalization. In our recent article, we delved into the factors driving the rollout of 5G technology and examined its performance in the GBA region.

Indoor coverage is particularly important for the major “core” cities of GBA; Guangzhou, Shenzhen, Hong Kong, and Macau, where high-rise buildings dominate the skyline and indoor spaces play essential roles in commercial and tourist activities. In this recent article, we touched on the different technical solutions to address indoor cellular coverage challenges. 

Chart of Top Cities with Highest Number of Buildings More Than 150 Meters Height

In order to assess the reach of 5G coverage inside buildings, we analyzed data from Ookla® Cell Analytics™ to measure the percentage of buildings in Hong Kong, Macau, Shenzhen, and Guangzhou with reported indoor 5G samples between Q1 2023 to Q4 2023. In this analysis, we have only considered buildings taller than 10 meters, which is the height of a typical three-story building or more.

Chart of Percentage of Buildings with 5G Coverage in the Greater Bay Area

The chart shows an increase in the number of buildings with detected indoor 5G samples for every quarter from Q1 2023 to Q4 2023 across all four cities. Guangzhou, Shenzhen, and Macau all had an increase of more than 30 percentage points between Q1 2023 and Q4 2023, while Hong Kong saw a rise of 21 percentage points within the same period. The significant increase in the number of 5G base stations in China and its Special Administrative Regions has been the driving force behind the growth of indoor traffic. The Ministry of Industry and Information Technology (MIIT) of China announced that there were 3.38 million 5G sites in China at the end of 2023, which would have included a significant number of dedicated 5G indoor sites.

As 5G traffic continues to proliferate, subscribers are increasingly demanding optimal indoor coverage to ensure a seamless experience. Meeting these expectations requires a comprehensive strategy by the service providers that accounts for the unique challenges of the different indoor environments in each city.

5G indoor coverage and quality differs across the core cities of the Greater Bay Area

Drilling down into Cell Analytics data at the city level from Q4 2023 to Q1 2024, we evaluated subscribers’ 5G indoor experience by measuring the average Reference Signal Received Power (RSRP) and Reference Signal Received Quality (RSRQ). RSRP represents the network signal strength received by a mobile phone. An RSRP value that exceeds -90 dBm indicates superior coverage. If the signal strength is between -90 dBm and -100 dBm, then network coverage is considered good. Below this range, expect slower download speeds and potential network disconnections. RSRQ is a metric used to evaluate the quality of the reference signal received by a device. A value of -10 dB or higher indicates excellent network quality while a value between -10 dB and -15 dB is considered good. An RSRQ value lower than -15 dB is poor or indicates no signal at all.

We compared the average RSRP and RSRQ for each of the four major cities in GBA and plotted out the range between the values of the Lower 10% and the Top 90% to examine the variations in the signal strength and quality of each city.

Chart of Indoor 5G Lower 10%, Top 90%, and Mean RSRP in Select Greater Bay Area Cities
Chart of Indoor 5G Lower 10%, Top 90%, and Mean RSRQ in Select Greater Bay Area Cities

Overall, the Chinese cities of Guangzhou and Shenzhen reported better city-wide 5G indoor coverage than those of Hong Kong and Macau. Guangzhou reported a weighted average RSRP of -82.9 dBm of all samples detected inside buildings, followed by Shenzhen with RSRP of -87.0 dBm. Both cities also reported better city-wide 5G indoor quality compared to Hong Kong and Macau, at -10.1 dB and -11.0 dB, respectively.

The data shows a substantial variance in performance and quality between the top and bottom 10% of users when connected to 5G indoors in these cities. The Upper 90% of samples in all cities had extremely good RSRP, ranging from -77 dBm in Macau to -62 dBm in Guangzhou. While the Lower 10% reported signal strength of around -104 dBm. This indicates that while, in general, users were experiencing reasonable 5G average speeds indoors, there are still hotspots with a concentration of users who are experiencing poor performance and coverage.

5G performance uplift accentuates the need for better indoor coverage

While today’s indoor 4G and Wi-Fi networks may meet the current connectivity demands, having dedicated in-building 5G networks provides a more seamless and efficient connectivity experience, bridging the gap between 4G’s inherent limitations in terms of latency and performance with the requirements of newer data-intensive use cases and low-latency applications.

Ookla’s data for Q4 2023 to Q1 2024 reveal a higher percentage of users experiencing significant performance improvement when connected to 5G networks indoors. In Guangzhou and Shenzhen, over 45% of indoor 5G samples achieved speeds of 200 Mbps or higher, while only approximately 15% of 4G users experienced the same speed. The percentage is much higher in Macau, where more than 60% of indoor 5G users were on speeds of more than 200 Mbps, as compared to only 7.8% for those on 4G indoor networks.

Significant variations in 5G coverage among operators in Guangzhou, while operators in other cities exhibit only minor differences

Given the increasing reliance on mobile services for commercial transactions, ensuring uninterrupted 5G connectivity within buildings is paramount for service providers and building owners, particularly in buildings with a high concentration of users. This can be achieved by deploying advanced technologies such as small cells, distributed antenna systems (DAS), and network function virtualization (NFV). This enhances the consumer experience and adds substantial value to businesses by enabling various digital services, such as 8K video, augmented and virtual reality, and the Internet of Things (IoT). The building tenants can also leverage the 5G network to connect video cameras, point-of-sale (PoS) devices, and signage systems, which can attract customers who rely on mobile services for digital store deals and commercial transactions.

Through Cell Analytics data, we compared the 5G signal strength (RSRP) of top operators in Guangzhou, Shenzhen, Hong Kong, and Macau from Q4 2023 to Q1 2024. For each location, we compare operators’ RSRP values of samples detected inside buildings with a height of more than 10 meters to determine which ones offer better 5G coverage.

In Guangzhou, China Mobile had the best indoor 5G coverage across the city. Their weighted mean RSRP was -79.2 dBm, which is around 8 dB stronger than China Unicom’s mean RSRP of -87.2 dBm. The Upper 90% of China Mobile’s 5G network users reported a strong signal strength with an RSRP of -44 dBm when they were indoors. This indicates that there could be more buildings with dedicated wireless 5G networks in the city.

Chart of Guangzhou Indoor 5G Signal Strength

The three service providers in Shenzhen reported a small variation in their 5G indoor signal strength. China Mobile had a slightly better mean RSRP at -85.1 dBm, compared to China Unicom’s -86.8 dBm and China Telecom’s -89.4 dBm. Overall, there is unlikely to be a significant difference in 5G coverage when indoors, and consumers in the city may not notice any major differences. During the period, there were insufficient samples available for China Broadnet to be included in the analysis.

Chart of Shenzhen Indoor 5G Signal Strength

In Hong Kong, much like what was observed in Shenzhen, the difference in average signal strength among the top four telecom operators was marginal. Between Q4 2023 and Q1 2024, the difference in the mean RSRP between the carriers was only 1.5 dB. SmarTone stood out slightly by having the highest RSRP at -85.5 dBm. This indicates a competitive and closely matched performance among the operators, with opportunities for further improvements in indoor connectivity and quality.

Chart of Hong Kong Indoor 5G Signal Strength

Macau is the most recent city in GBA to launch its 5G network, with CTM and China Telecom Macau receiving their 5G licenses in November 2022. In our previous report, we discussed how Macau, being a newly launched network, was rated higher than the other three cities in terms of overall 5G performance. However, the latest data reveals that in terms of indoor 5G signal strength, both operators are trailing behind other operators in the selected cities, except for China Broadnet in Guangzhou. Both CTM and China Telecom Macau reported 5G indoor mean RSCP lower than -90 dBm, with CTM at -90.1 dBm and China Telecom Macau at -92.5 dBm.

Chart of Macau Indoor 5G Signal Strength

The imperative of 5G indoor network expansion

With the increasing adoption of 5G technology, consumers are expecting faster network speeds and consistent connectivity. As most 5G data traffic is expected to occur indoors, prioritizing the expansion of indoor coverage is crucial for operators to meet users’ expectations. 5G indoor deployments are a strategic avenue for operators to monetize their investments through advances such as massive IoT (IoT), enhanced mobile broadband (eMBB), and fixed wireless access (FWA), which will all play an important role in transformation across sectors such as industrial automation, retail applications, and smart cities. The primary challenge lies in delivering consistent performance and quality across various indoor settings, where issues may be confined to certain floors or sections.

Regulators can have a proactive role in reducing bureaucratic hurdles and encouraging government-industry collaboration, such as promoting the parallel development of indoor and outdoor 5G coverage across the country. As a step towards prioritizing 5G indoor coverage, China’s Ministry of Industry and Information Technology (MIIT) mandated that operators share the mid-band spectrum (3.3-3.4 GHz) for indoor coverage to promote co-development and cost-sharing. 

There is also a significant push in the GBA to extend 5G coverage, making it readily available in public transport infrastructures. One such example is CSL, which provides 5G network coverage along the MTR lines in Hong Kong, with some routes utilizing dedicated 5G spectrum. 

Ookla can assist operators in identifying buildings or indoor venues with coverage or capacity issues using crowdsourced data and diagnosis. Powered by millions of signal measurements collected daily by Speedtest®, Cell Analytics provides intelligence about wireless service quality, RF measurements, data usage, user density, cell site locations, and much more. It helps operators to track their own and competitors’ performance and understand how new 5G deployments are affecting user experience and quality of service. To find out more about Cell Analytics, please get in touch.


探索大灣區 5G 網路室內鏈接

粵港澳大灣區 (GBA) 是過去 40 多年來,中國都市化最快的地區之一。該地區是全球摩天大樓最集中的地區,營運商必須優先考慮室內外 5G 無縫覆蓋,以優化服務並滿足客戶需求。

在本報告中,我們使用 Cell Analytics™ 的資料,檢驗廣州、深圳、香港和澳門這四個 GBA 主要城市的 5G 室內效能和訊號品質。

關鍵摘要

  • 與香港和澳門相比,廣州和深圳的全市室內 5G 覆蓋範圍和品質更好。廣州報告的平均 RSRP 為 -82.9 dBm,深圳略低,為 -87.0 dBm。此外,兩個城市的 5G 室內品質均較好,得分分別為 10.1 dB 和 11.0 dB。相比之下,香港的平均 RSRP 為 -87.4 dBm,而澳門為 -91.0 dBm。
  • 廣州移動因在該市提供更好的室內 5G 覆蓋而脫穎而出。該營運商的平均 RSRP 為 -79.17 dBm,以 8 dB 的差距,明顯優於中國聯通的平均 RSRP -87.2 dBm。其他城市營運商之間的 5G 室內訊號強度僅有微小差異,但在澳門,營運商的室內訊號強度明顯弱於其他選定城市的幾乎所有其他營運商。

大灣區城市室內 5G 流量持續上升

粵港澳大灣區普遍稱為大灣區 (GBA),由中國廣東地區九個城市及香港、澳門兩個特別行政區組成。由於鄰近,這些城市由廣泛的交通網絡連接起來,包括高鐵、橋樑和隧道。這裡是中國重要的經濟和技術中心,而 5G 技術的採用已成為該地區的關鍵驅動力,推動著各行各業轉型,並促進自動化和數位化。在我們最近的 文章中,我們深入研究了推動 5G 技術推出的因素,並研究了其在大灣區的表現。

室內涵蓋率對於 GBA 主要「中心」城市尤為重要,廣州、深圳、香港和澳門的高樓大廈主宰著天際線,室內空間在商業和旅遊活動中扮演著重要角色。在最近的這篇文章中,我們探討了解決室內蜂窩覆蓋挑戰的不同技術解決方案。

图形:最多建築物高度超過 150 公尺的城市

為了評估建築物內的 5G 涵蓋率,我們分析了 Ookla® Cell Analytics™ 的資料,以衡量在 2023 年第 1 季到 2023 年第 4 季期間,香港、澳門、深圳和廣州回報室內 5G 樣本的建築物比例。在此分析中,我們只考慮了高於 10 公尺的建築物,亦即典型三層樓以上建築的高度。

图形:大灣區 5G 覆蓋建築物比例

圖表顯示,從 2023 年第 1 季到 2023 年第 4 季,四個城市偵測到室內 5G 樣本的建築物數量,每一季均有增加。廣州、深圳和澳門在 2023 年第 1 季到 2023 年第 4 季期間的成長幅度均超過 30 個百分點,而香港在同一期間的成長幅度為 21 個百分點。 中國和特別行政區 5G 基地台數量大幅成長,是室內流量成長的驅動力。根據中國工業和資訊化部 (MIIT) 公告,在 2023 年底,中國有 338 萬座 5G 基地台,其中包括大量專用的 5G 室內基地台。

隨著 5G 流量持續激增,訂閱用戶為了獲得無縫的體驗,對最佳室內涵蓋率的要求也愈來愈高。滿足這些期望需要服務提供者制定全面的策略,以應對每個城市不同室內環境的獨特挑戰。

大灣區中心城市的 5G 室內涵蓋率與品質各不相同

我們深入研究 2023 年第四季至 2024 年第一季城市層級的 Cell Analytics 數據,透過測量平均參考訊號接收功率 (RSRP) 和參考訊號接收品質 (RSRQ) 來評估使用者的 5G 室內體驗。RSRP 代表手機接收到的網路訊號強度。RSRP 值超過 -90 dBm,表示涵蓋率優異。如果訊號強度在 -90 dBm 和 -100 dBm 之間,則認為網路覆蓋範圍良好。 低於此範圍,下載速度會變慢,並且可能會出現網路連線中斷的情況。RSRQ 是用於評估設備接收的參考訊號品質的指標。-10 dB 或更高的值表示網路品質極佳,介於 -10 dB 和 -15 dB 之間的值則是尚可。RSRQ 值低於 -15 dB 表示訊號較差或根本沒有訊號。

我們比較了 GBA 四個主要城市的平均 RSRP 和 RSRQ,並繪製出後 10% 與前 90% 之間的範圍,以檢視每個城市訊號強度和品質的差異。

图形:部分大灣區城市室內 5G 的後 10%、前 90% 和平均 RSRP

图形:部分大灣區城市室內 5G 的後 10%、前 90% 和平均 RSRQ

整體而言,中國城市廣州和深圳的 5G 室內覆蓋範圍優於香港和澳門。廣州報告在建築物內檢測到的所有樣本的加權平均 RSRP 為 -82.9 dBm,其次是深圳,RSRP 為 -87.0 dBm。與香港和澳門相比,這兩個城市的全市 5G 室內品質也更好,分別為 -10.1 dB 和 -11.0 dB。

資料顯示,這些城市中,前 10% 使用者和後 10% 的使用者在室內連接 5G 時,效能和品質有顯著差異。所有城市上 90%的樣本都具有非常好的 RSRP,範圍從澳門的-77 dBm 到廣州的-62 dBm。後 10% 的樣本則顯示訊號強度約為 -104 dBm。這說明雖然整體而言,使用者在室內能體驗到合理的 5G 平均速度,但在使用者集中的熱點,效能和涵蓋率體驗仍然不佳。

5G 性能提升凸顯對更好室內覆蓋的需求

雖然現在的室內 4G 和 Wi-Fi 網路可以滿足目前的連線需求,但擁有專用的室內 5G 網路,能夠提供更順暢、有效率的連線體驗,以滿足新的資料密集型使用案例和低延遲應用需求,彌補 4G 在延遲和效能方面的固有限制。

Ookla 2023 年第四季至 2024 年第一季的數據顯示,在室內連接 5G 網路時,體驗到效能顯著提升的用戶比例更高。在廣州和深圳,超過 45% 的室內 5G 樣本實現了 200 Mbps 或更高的速度,而只有約 15% 的 4G 使用者體驗到了相同的速度。該比例在澳門高出許多,室內 5G 使用者速度超過 200 Mbps 的比例超過 60%,4G 室內網路的使用者則僅有 7.8%。

廣州業者 5G 覆蓋差異較大,其他城市業者差異較小

由於商業交易愈來愈依賴行動服務,因此對服務提供者和建築物擁有者而言,確保建築物內的 5G 連線不中斷是首要之務,在使用者密集高的建築物中更是如此。這可以透過部署小型蜂窩、分散式天線系統 (DAS) 和網路功能虛擬化 (NFV) 等先進技術來實現。如此一來,就能夠提供 8K 影片、擴增實境和虛擬實境及物聯網 (IoT) 等多種數位服務,藉此提升用戶體驗,並為企業增加巨大價值。大樓租戶還可以利用 5G 網路連接攝影機、銷售點 (PoS) 設備和標牌系統,這可以吸引依賴行動服務進行數位商店交易和商業交易的客戶。

透過 Cell Analytics 資料,我們比較了廣州、深圳、香港和澳門頂尖營運商在 2023 年第 4 季到 2024 年第 1 季的 5G 訊號強度 (RSRP)。在每個地點,我們利用在超過 10 公尺高的建築物內偵測到的樣本,比較了營運商 RSRP 值,以判斷哪些城市提供的 5G 涵蓋率更佳。

在廣州,中國移動擁有全市最好的室內 5G 覆蓋範圍。他們的加權平均 RSRP 為 -79.2 dBm,比中國聯通的平均 RSRP -87.2 dBm 高出約 8 dB。中國移動前 90% 5G 網路使用者回報的室內訊號強度較強,為 RSRP -44 dBm。這表明該市可能會有更多擁有專用無線 5G 網路的建築物。

图形:廣州室內 5G 訊號強度

深圳的三家服務提供者報告其 5G 室內訊號強度略有差異。與中國聯通的 -86.8 dBm 和中國電信的 -89.4 dBm 相比,中國移動的平均 RSRP 略高,為 -85.1 dBm。總體而言,室內 5G 覆蓋範圍不太可能出現顯著差異,城市消費者可能不會注意到任何重大差異。在此期間,中國廣電沒有足夠的樣本可供分析。

图形:深圳室內 5G 訊號強度

在香港,與深圳的情況非常相似,四大電信業者之間的平均訊號強度差異微乎其微。2023 年第四季和 2024 年第一季之間,各載波之間的平均 RSRP 差異僅為 1.5 dB。SmarTone 的 RSRP 最高為 -85.5 dBm,稍微突出。這表明運營商之間的競爭和緊密匹配的表現,以及進一步改善室內連接和品質的機會。

图形:香港室內 5G 訊號強度

澳門是 GBA 最晚推出 5G 網路的城市,CTM 和中國電信 (澳門) 於 2022 年 11 月獲得 5G 執照。我們先前的報告討論過,澳門新推出的網路整體 5G 效能為何比其他三個城市更優異。然而,最新資料顯示,就室內 5G 訊號強度而言,除了廣州的中國廣電之外,這兩家營運商都落後於選定城市的其他營運商。CTM 和中國電信澳門均報告 5G 室內平均 RSCP 低於-90 dBm,其中 CTM 為-90.1 dBm,中國電信澳門為-92.5 dBm。

图形:澳門室內 5G 訊號強度

5G 室內網路擴容勢在必行

5G 技術日益普及,消費者對網路速度和連線穩定度的期望也隨之提高。由於大部分 5G 數據流量預計發生在室內,因此優先擴大室內覆蓋範圍對於營運商滿足用戶期望至關重要。營運商能夠經由 5G 室內部署這個策略途徑,透過大規模物聯網 (IoT)、增強型行動寬頻 (eMBB) 和固定無線接取 (FWA) 等先進技術,將投資變現。這些技術將在工業自動化、零售應用和智慧城市等領域的轉型中,佔有一席之地。主要挑戰在於在各種室內環境中提供一致的性能和質量,其中問題可能僅限於某些樓層或部分。

監管機構可以在減少官僚障礙和鼓勵政府與行業合作方面發揮積極作用,例如促進全國室內和室外 5G 覆蓋的並行發展。中國工業和資訊化部 (MIIT) 為了優先發展 5G 室內涵蓋率,要求營運商共享中頻段頻譜 (3.3-3.4 GHz),以促進共同開發和成本分攤。

大灣區也大力推動擴大 5G 覆蓋範圍,使其在公共交通基礎設施中隨時可用。其中一個例子是 CSL,他們在香港地鐵沿線提供 5G 網路涵蓋率,其中幾個路線使用了專用的 5G 頻譜。

Ookla 可以利用群眾外包的資料和診斷,協助營運商識別有涵蓋率或容量問題的建築物或室內場所。Cell Analytics 利用 Speedtest® 每天收集的數百萬個訊號測量資料,提供有關無線服務品質、RF 測量值、資料使用量、使用者密度、行動網路基地台位置等資訊的相關情報。它可以幫助營運商追蹤自己和競爭對手的表現,並了解新的 5G 部署如何影響用戶體驗和服務品質。要了解有關 Cell Analytics 的更多信息,請 與我們聯繫

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| March 31, 2024

India's 5G Driving Improved Consumer Experience as Adoption Increases

India launched its first 5G network in October 2022, marking one of the most rapid nationwide 5G network deployments in the world. Moreover, India’s 5G network ranks among the top-performing networks globally. This article will analyze India’s 5G performance and evaluate whether the user experience has improved since the launch of 5G.

Key Takeaways

  • India ranked 14th globally in 5G median download speeds with 301.86 Mbps based on Q4 2023 data. Thanks to Reliance Jio and Bharti Airtel’s large-scale and swift deployment across the nation, India reached the top 15 markets with the fastest reported 5G median download speeds globally.
  • India’s country-wide 5G Availability increased throughout in 2023. 5G Availability improved from 28.1% in Q1 to 52.0% in Q4 2023, representing a 23.9 percentage point increase within a year. Reliance Jio’s 5G availability rate during Q4 2023 was 68.8%, 38.5 percentage points higher than Airtel’s 30.4%. 
  • India’s 5G network offers a superior experience in video streaming and mobile gaming compared to the existing 4G-LTE. Reliance Jio and Airtel’s 5G networks have improved video start times and reduced buffering compared to 4G LTE, clocking 5G video start times of 1.14 seconds and 1.29 seconds, respectively. In contrast, Reliance Jio’s 4G LTE video start time was 1.99 seconds and 1.73 seconds for Airtel. Mobile gamers also experienced improved median latency, with 77 ms and 92 ms for Reliance Jio and Airtel, respectively.
  • 5G Net Promoter Scores (NPS) in India continue to surpass those of 4G LTE. Operators’ 5G NPS continue to score positively compared to 4G, driven by improved performance. Reliance Jio and Airtel scored positively in their 5G NPS in Q4 2023, with similar NPS of 7.4 and 7.5, respectively. Both operators showed higher NPS on 5G compared to 4G LTE, with Reliance Jio seeing an uplift of 41.2 points on 5G compared to Airtel’s 37.6. 

Rapid and large-scale deployment boosts India’s 5G performance ranking 

The two largest operators in India, Reliance Jio and Bharti Airtel, have been the primary drivers of the 5G rollout in the country, making significant efforts to provide 5G coverage across the nation through rapid deployment. By the end of December 2023, India had more than four hundred thousand 5G base stations (BTSs) deployed nationwide, an increase of 7.7 times from January 2023, making it one of the fastest countries to roll out 5G globally. Ericsson forecasted that the number of 5G subscribers in India reached 130 million at the end of December 2023, compared to just over 10 million recorded at the close of 2022.

The large-scale and rapid deployment of the 5G network in India has been paying off by elevating India’s position in the list of countries providing the fastest 5G median download speed. Speedtest Intelligence® data shows that in Q4 2023, India was in the top 15 countries with the fastest 5G median download speeds globally, sitting in the 14th spot.

Chart of Median 5G Performance in Select Countries

The data shows that in Q4 2023, India recorded a 5G median download speed of 301.86 Mbps, slightly below Bulgaria’s speed of 306.44 Mbps. The GCC countries of the United Arab Emirates and Qatar led the fastest 5G markets globally during the period, with speeds of 654.59 Mbps and 516.79 Mbps, respectively. South Korea was the fastest Asia Pacific country, coming in third overall with a speed of 485.25 Mbps.

Median 5G download speed is 18 times that of 4G

India is a “mobile-first” market, with its mobile users consuming the highest data amount per smartphone globally. The average data traffic per smartphone in India is expected to increase further from 31 GB per month in 2023 to around 75 GB per month by 2029. Currently, 4G is the dominant mobile technology driving the demand for data. As more consumers adopt 5G, the preferred technology will gradually shift.

While the current 4G network in India may serve the daily connectivity needs of most mobile users, 5G technology offers a considerable performance uplift that can improve the user experience. When we compare 5G and 4G performance in India for Q4 2023, the 5G median download speed of 301.86 Mbps was 18 times faster than the 4G median download speed of 16.05 Mbps. Similarly, the 5G median upload speed (16.05 Mbps) was 5 times faster than 4G’s upload speed of 3.59 Mbps during the same period.

Chart of 4G and 5G Performance Comparison in India

While median 5G speed is a valuable measure to gauge the midpoint of the user experience on 5G networks, it does not provide a complete picture of the actual improvement over 4G. To further demonstrate the performance gap between 4G and 5G, we compared 4G median download speeds against the lower 10% of 5G speeds.

Chart of Comparison Trend Between 5G Lower 10% Against 4G Median Download Speed in India

Between Q4 2022 and Q4 2023, Speedtest Intelligence data revealed that users experiencing “slower” 5G speeds (i.e., speeds that fall in the lower 10% of 5G download speed samples) consistently had better speeds than the median download speed of 4G. 5G download speeds in the 10th percentile were more than twice that of the reported 4G median download speeds. In Q4 2023, the median download speed for 4G users was 16.05 Mbps, while the lower 10% of 5G users experienced speeds that were 2.4 times faster, at 38.21 Mbps or slower. 4G users migrating to 5G will notice the difference in performance, especially as they start to consume more data-intensive mobile applications and content.

5G Availability is rising, with Reliance Jio leading the way

In our previous report, we discussed the strategies of Reliance Jio and Bharti Airtel in expanding their 5G networks across India. Both operators have invested heavily in the rollout to make their networks available nationwide. Reliance Jio, the largest telecom operator in India, has implemented a 5G Standalone (5G SA) network for its 5G network from the beginning. On the other hand, Bharti Airtel has chosen to use a Non-Standalone (NSA) architecture for its 5G rollout at launch. For now, Airtel plans to employ 5G SA for fixed wireless access (FWA) services as traffic increases and eventually shift to a full 5G SA network in the long term. 

Ookla’s 5G Availability data from Speedtest Intelligence represents the percentage of 5G-active devices that spend the majority of their time connected to 5G networks. 5G Availability in India showed improvement throughout 2023, starting at 28.1% in Q1 2023 and rising to 52.0% in Q4 2023, representing a 23.9 percentage point increase within a year.

Chart of 5G Availability Trend in India

One of the main reasons for the increase in 5G Availability in India is the significant growth in 5G-capable smartphones. According to Counterpoint Research, India’s 5G smartphone shipment share crossed 52% in 2023, growing 66% year-on-year. The introduction of more affordable 5G-capable devices in the market has helped boost 5G adoption in the country. Canalys reported that in Q4 2023, devices in the US$100 to US$199 segment witnessed a growth of 168% in the country.

Using Speedtest Intelligence, we compared 5G Availability between these two operators during Q4 2023. Reliance Jio had the highest 5G Availability among the two at 68.8% during that period, ahead of Airtel, which reported 5G Availability of 30.3%. By leveraging a combination of low-band (700 MHz) and mid-band (3.5 GHz) spectrum, along with its extensive fiber network, Reliance Jio can provide its subscribers with a balance between coverage and performance.

Chart of 5G Availability by Providers in India

5G delivers improved video streaming experiences

While the operators are keen to grow their customer bases and prioritize migration toward higher-value post-paid subscribers, translating 5G performance gains into discernible improvements for the end-user experience is vital. Speedtest Intelligence Quality of experience (QoE) measurements provide valuable insights into consumers’ real-life connectivity and quality of experience across various services like web browsing, video streaming, gaming, and video conferencing. 

Network operators in India are actively working to enhance the value of consumer mobile subscriptions by focusing on video content delivery, just like other operators worldwide. The emergence of over-the-top (OTT) platforms has significantly changed the way Indian audiences watch videos, movies, and TV shows, thanks to the vast range of local content available. Ormax Media reported that India’s audience for OTT platforms is on a steady rise, reaching 481 million users in 2023, marking a 13.5% YoY increase from the previous year’s 424 million.

The video adaptive start time metric from Video Analytics in Speedtest Intelligence measures the time spent waiting for the video to start playing in the adaptive bitrate stage of the test, providing insight into consumers’ video streaming experience. 

Based on Q4 2023 data, the results showed that Reliance Jio and Airtel’s 5G networks offered faster video start times for customers than their 4G LTE networks. Reliance Jio’s 5G network reported a quicker video start time of 1.14 seconds than Airtel’s 5G network, which was 1.99 seconds. Reliance Jio’s customers experienced a more noticeable decrease in video start time from 4G to 5G, with a reduction of 0.85 seconds. Airtel’s consumers showed a slightly smaller improvement, with a difference of 0.44 seconds from 4G to 5G.

Chart of Video Adaptive Start Time in India

Mobile gaming benefits from 5G lower latency

The Indian online gaming industry has grown significantly at a CAGR of 28% over the last three years, reaching INR164 billion (US$1.9 billion) in 2023. India also boasts a substantial gaming community, with an estimated 425 million gamers in 2023, making it second only to China in terms of the world’s largest gaming community. Mobile gaming dominates India’s online gaming market, with an overwhelming 94% of the total gamer base actively engaging in mobile gaming experiences.

With such a large mobile gaming segment in India, 5G is expected to improve the gaming experience on mobile devices, further increasing its popularity. Boasting lower latency and improved throughput than previous mobile technologies, 5G allows for a better user experience, particularly for online gaming and cloud gaming services. 

Game Latency is a measure of lag time to popular gaming server locations. Latency affects a gamer’s reaction time and is essential in games that require quick reaction time. Based on Ookla’s Q4 2023 data, Reliance Jio had a lower latency of 77 ms on 5G compared to Airtel’s 92 ms. Both operators experienced better latency on 5G compared to 4G LTE. Reliance Jio’s latency improved by 29% on 5G compared to 4G (109 ms), whereas Airtel’s users experienced around a 15% improvement on 5G than 4G (108 ms).

Chart of Mobile Gaming Latency in India

Consumer sentiment towards 5G is positive but declining 

Network performance, availability, and quality are all factors that can impact a customer’s overall satisfaction with their service provider. Ookla measures Net Promoter Score (NPS), a gauge of customer satisfaction and loyalty. After completing a Speedtest, users are asked to rate the likelihood of recommending their service provider to friends or family on a 0-10 scale. These ratings are categorized into Detractors (score 0-6), Passives (score 7-8), and Promoters (score 9-10). NPS represents the percentage of Promoters minus the percent of Detractors displayed from -100 to 100. A score above 0 indicates that a provider’s audience is more loyal than not. 

In our recent article, we found that 5G users, on average, rated their network operator with NPS scores that were universally higher than those for 4G LTE users. The story is similar in India, where 5G NPS scores are on the positive end of the scale as opposed to scores for 4G. However, our data shows that, for all operators combined, 5G NPS in India has been decreasing quarterly. The difference in terms of uplift that 5G brings over 4G NPS score has decreased from 59.7 in Q4 2022 to 37.9 in Q4

Chart of Quarterly Net Promoter Score (NPS) in India

While it can be difficult to pinpoint the reasons behind 5G NPS declines, network performance isn’t the only factor that plays a role. Other factors can include customer care, pricing, and quality of other services. It’s also important to remember that as 5G scales in many of these early launch markets, the profile of 5G users is also changing from predominantly urban-based users to more of a mix of urban, suburban, and rural users, which brings additional coverage and performance challenges for network operators.

When comparing the 5G NPS scores of the two 5G operators in India, Ookla’s Speedtest Intelligence data shows that in Q4 2023, NPS for 5G users for both operators were similar, at 7.4 for Reliance Jio and 7.5 for Airtel. Reliance Jio’s 5G service recorded the largest difference in NPS when comparing users on its 4G LTE network to those on 5G during that period, with an uplift of 41.2 basis points. Airtel saw an increase of 37.6 basis points in its NPS score when comparing its 4G LTE network to its 5G network. That said, it’s worth noting that 5G NPS tends to decline as the initial excitement of the latest technology wears off, mirroring other early 5G markets.

Chart of 5G Net Promoter Score (NPS) in India

India has deployed its 5G network in record time, investing billions of dollars following its launch one and a half years ago. Additionally, the country is making significant progress in the adoption of the technology. While India rejoices in its rapid 5G deployment success, it is imperative that it continues to invest in new innovative services that are accessible to consumers to fulfill the promises and potential of 5G.

Both Reliance Jio and Airtel have introduced 5G Fixed Wireless Access (FWA) services, known as Jio AirFiber and Xstream AirFiber, respectively. These services are aimed at complementing their current 5G offerings as they explore new 5G use cases to monetize their investments. The operators are also looking to broaden their 5G service offerings to serve key enterprise verticals that demand highly reliable and low-latency communication. 

Vodafone Idea, the third-largest service provider in India, plans to launch its 5G services by mid-2024. Additionally, India’s Department of Telecommunications (DoT) will hold another spectrum auction in May 2024, offering more 5G bands to the market, thereby augmenting the 5G services available in India. Until then, we will continue to closely monitor the progress of 5G in India and see how performance and user experience evolve in the market. Subscribe to Ookla Research™ to be the first to read our analyses.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| March 17, 2024

5G in Malaysia - Single Wholesale Network Driving Regional Leadership

Malaysia has adopted a unique approach to its 5G rollout by implementing a Single Wholesale Network (SWN) model through the formation of Malaysia’s Digital Nasional Berhad (DNB) in 2021. Following this, all major service providers in Malaysia have signed an access agreement with DNB and have successfully launched 5G services. In this article, we examine the current state of 5G in Malaysia and assess its impact on the user experience.

Key Takeaways

  • Malaysia continues to lead in Southeast Asia in terms of 5G network performance. Malaysia’s 5G median download speed of 451.79 Mbps is higher than Singapore’s 329.73 Mbps, Thailand’s 129.40 Mbps, and the Philippines’ 125.14 Mbps, according to Ookla’s Q4 2023 Speedtest Intelligence® report.
  • Malaysia’s 5G network scored the highest Consistency Score™ globally for Q4 2023 at 97.3%. The result indicates that 97.3% of Speedtest Intelligence samples on Malaysia’s 5G networks exceeded the consistency threshold, which is currently set at a minimum download speed of 25 Mbps and a minimum upload speed of 3 Mbps. In comparison, other top countries, such as North Macedonia and the United Arab Emirates, reported lower consistency scores of 94.1% and 93.9%, respectively.
  • Malaysian 5G users experiencing “slow” download speeds enjoy speeds at least five times faster than the 4G median download speed. When looking at the bottom 10% of 5G download speed Q4 2023 results, Speedtest Intelligence data indicates that 5G speeds in the 10th percentile clocked in at 203.49 Mbps, a big uplift compared to 4G median download speed, which was 37.23 Mbps. For further context, Malaysia’s median 5G download speed was 451.79 Mbps.
  • 5G Availability in Malaysia increased from 21.0% in Q1 to 27.0% in Q4 of 2023. Despite the increase, Malaysia is still lagging behind its neighboring countries, such as Singapore and Thailand, which have 53.8% and 45.5% 5G availability, respectively. Malaysia is only slightly higher than the Philippines, at 26.2%.

Malaysia’s 5G continues to outperform its Southeast Asian neighbors

Since its launch more than two years ago, Malaysia’s 5G network has consistently performed well, making it one of the best-performing 5G networks worldwide. According to Ookla’s Speedtest Intelligence® Q4 2023 data, Malaysia continues to outperform other Southeast Asian countries in 5G network performance despite the expected decrease in performance due to more user adoption and congestion. The data shows that Malaysia achieved a 5G median download speed of 451.79 Mbps, which is higher than Singapore’s 329.73 Mbps, Thailand’s 129.40 Mbps, and the Philippines’ 125.14 Mbps. Malaysia also reported the fastest 5G median upload speed among its Southeast Asia neighbors, at 51.84 Mbps, compared to 27.57 Mbps for Singapore, 23.63 Mbps for Thailand, and 12.00 Mbps for the Philippines.

Map of 5G Performance Among Southeast Asian Countries

In May 2023, the Malaysian government announced its decision to shift from a Single Wholesale Network to a Dual Network Model for the country’s 5G deployment. The second 5G network is aimed to establish redundancy for 5G while paving the way for more robust and reliable 5G services in the country. The transition to dual network model was expected to begin in January 2024 after DNB achieved 80% 5G coverage. At the end of December 2023, DNB reported that 5G coverage in populated areas throughout the country had surpassed 80.2%. However, as of March 2024, there has yet to be any news from the Malaysian government regarding the establishment of the second 5G network.

Lower 10% of 5G speeds outperform median 4G download speeds by at least 5 times

While the current 4G network meets most users’ needs for daily tasks, such as browsing, streaming, and online communication, it still falls short of the significant uplift in performance offered by 5G, which can enhance the user experience even further. While median 5G speed is a useful measure to gauge the midpoint of the user experience on 5G networks, it does not provide a complete picture of the actual improvement over 4G. To demonstrate the improvements Malaysia’s 5G network provides, we compared 5G download speeds in the bottom 10th percentile of our 5G results with the median download speed on 4G LTE. 

Chart of Performance Comparison Between 5G and 4G in Malaysia

Speedtest Intelligence data from Q4 2023 reveals a substantial variance in performance between 4G and 5G networks in Malaysia. Even when we examine the lower 10% of download speeds experienced by 5G users, which stood at 203.49 Mbps or slower, this was still at least 5 times faster than the median download speed for 4G users, of 37.23 Mbps. When we compare 5G and 4G median download speeds, Malaysia’s median 5G download speed of 451.79 Mbps was 12 times faster than that of 4G.

Malaysia leads in 5G Consistency globally

While high speeds are crucial, providing consistent quality of service and an excellent customer experience are also significant indicators of network quality. Ookla’s Consistency Score™ is a metric used to identify networks that provide consistent quality of service. It reflects the percentage of a provider’s data samples that meet minimum thresholds for download and upload speeds, depending on the type of network. The Consistency Score threshold for mobile 5G is currently set at a minimum download speed of 25 Mbps (the minimum recommended speed for streaming in 4K) and a minimum upload speed of 3 Mbps.

Chart of Global 5G Consistency Score Ranking in Select Countries

According to Ookla’s Q4 2023 report, Malaysia’s 5G network achieved the highest 5G Consistency Score globally for that period, with a score of 97.3%. The other top countries on the list are North Macedonia, with a score of 94.1%, and the United Arab Emirates, with a score of 93.9%.

5G has a positive impact on Net Promoter Scores in Malaysia

The Net Promoter Score (NPS) is a tool that gauges customer loyalty and satisfaction. NPS is a key performance indicator of customer experience, categorizing users into Detractors (those that score 0-6), Passives (scores between 7 and 8), and Promoters (score of 9-10), with the NPS representing the percentage of Promoters minus the percent of Detractors, displayed in the range from -100 to 100.

Chart of 4G and 5G Net Promoter Score in Malaysia

In our recent article discussing whether 5G networks are meeting consumer expectations, we found that 5G users, on average, rated their network operator with NPS scores that were universally higher than those for 4G LTE users. Having one of the top 5G download performances globally, it’s no surprise that we see a largely positive picture of Malaysia’s current 5G network. Ookla’s Speedtest Intelligence data showed a stark difference in NPS when comparing users on its 4G LTE network to those on 5G during Q4 2023. NPS for 5G scored 26.39 against -34.00 for 4G. This translates to an uplift of 60.39 basis points.

5G driving overall mobile performance improvement across all states

Following the launch of the 5G network in Malaysia, operators have tackled some of the issues faced in their 4G networks, such as network congestion and spectrum constraints. Our recent report highlights how Malaysia’s 5G network has helped to increase the country’s overall mobile median download speeds and helped it climb up in Speedest’s global mobile rankings.

All states in Malaysia have experienced at least 1.45 times increase in their overall mobile speeds across all technologies. In Q4 2022, Kuala Lumpur, Malaysia’s capital city, reported a median download speed of 37.60 Mbps across all technologies. The city’s median download speed increased by 1.6 times, at 63.62 Mbps by Q4 2023. Malaysia’s government administrative city, The Federal Territory of Putrajaya, emerged as having the fastest mobile median download speeds in the country at 190.86 Mbps, an increase of more than 2.5 times compared to Q4 2022 period, which was at 61.24 Mbps.

Map of Median Mobile Download Speed by States in Malaysia

Steady improvement in 5G Availability, but adoption still needs to catch up with other markets

Speedtest Intelligence 5G Availability represents the percentage of 5G-active devices that spend the majority of their time connected to 5G networks. In 2023, 5G Availability in Malaysia showed a gradual increase every quarter, starting from 20.9% in Q1 and rising to 26.9% in Q4. This 6 percentage point increase could be attributed to DNB’s active expansion of 5G coverage. Additionally, the increase was stimulated by greater smartphone availability and the introduction of new 5G plans by operators.

Chart of 5G Availability Trend in Malaysia

While 5G Availability in Malaysia has increased, it still falls behind its neighboring countries with commercial 5G networks. As of Q4 2023, Malaysia’s 5G Availability stands at 27.0%, which is almost half of Singapore’s (53.7%) and 20 percentage points lower than Thailand’s (45.5%). Malaysia’s 5G Availability is only slightly higher than that of the Philippines, an archipelagic country with a 5G Availability of 26.2%.

Chart of 5G Availability Among Select Southeast Asian Countries

In our previous report on 5G in Malaysia, we highlighted the opportunity to increase 5G adoption by focusing on users with 5G-capable devices who have yet to access a 5G network. While acknowledging the impressive performance of the 5G network, DNB and the operators must further improve 5G adoption in the country. We will continue to monitor the development of 5G in Malaysia and assess its impact as the country transitions from a single wholesale network to a dual network setup. If you want to learn more, we invite you to subscribe to Ookla Research™ to be among the first to read our analyses.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| February 19, 2024

Kazakhstan's mobile performance shows improvement as country rolls out 5G network

русский

Mobile operators in Kazakhstan are making significant investments in their infrastructure to meet the increasing demand for reliable and high-speed mobile services. In this article, we take a closer look at the current state of mobile networks in Kazakhstan, evaluate their performance, and explore the efforts made by operators to expand their networks with the latest 5G technology.

Key Takeaways

  • Kazakhstan continues to improve its Speedtest Global Index ranking. Kazakhstan’s mobile download speeds have improved by 61% since late 2022, reaching 35.07 Mbps in December 2023 from 21.29 Mbps in December 2022. As a result, the country moved up 23 places on the Speedtest Global Index™, from 95th to 72nd over that period, putting it ahead of neighboring Central Asian countries.
  • Almaty’s 4G median download speed outpaces other cities in Kazakhstan and neighboring countries. In Q4 2023, Almaty had a 4G median download speed of 32.32 Mbps, outpacing Astana, the capital of Kazakhstan. Additionally, both cities reported faster 4G speeds than the neighboring capital cities of Kyrgyzstan, Tajikistan, and Uzbekistan.
  • Kazakhstan seeks to utilize 5G technology to support its digital transformation strategy and bridge the digital divide. Kcell and Tele2 are ramping up their 5G rollout with ambitious 5G deployment targets set by the Ministry of Digital Development, Innovation & Aerospace. Speedtest Intelligence® data shows that there is already a significant addressable base of customers with 5G-capable devices, with over 53% of all nationwide tests conducted on 5G-capable devices during Q4 2023.
  • Regulation and government initiatives drive Kazakhstan’s digital transformation. The country is implementing strategic regulatory policies, encouraging collaboration between various stakeholders, and launching initiatives like “Digital Kazakhstan” to promote digital infrastructure and ensure that telecommunications services are widely accessible.

Kazakhstan gradually climbed up the rankings on the Speedtest Mobile Global Index

Speedtest Intelligence® data shows that the mobile median download speeds for all technologies across Kazakhstan have gradually improved over the 12 months between December 2022 and December 2023. In December 2023, Kazakhstan’s median download speed increased to 35.07 Mbps from 21.29 Mbps recorded in December 2022. As a result of this improvement, Kazakhstan moved up 23 places on the Speedtest Global Index™, ranking at 72nd place in December 2023, compared to 95th place in December 2022. Kazakhstan ranks ahead of neighboring countries like Uzbekistan at 95th place, Kyrgyzstan at 100th place, and Tajikistan at 141st place.

Chart of Global Index Ranking among Central Asia Countries

Kazakhstan’s 4G performance in Central Asia continues to remain competitive

In our recent report discussing the performance and availability of mobile networks across Central Asia, Kazakhstan topped the ranks amongst its neighbors in terms of mobile download speed in Q4 2022. According to the latest Speedtest Intelligence data in Q4 2023, Kazakhstan still led in terms of 4G median mobile download speed, with a reported speed of 28.26 Mbps, higher than Kyrgyzstan (26.76 Mbps), Uzbekistan (23.09 Mbps), and Tajikistan (11.15 Mbps). However, Kazakhstan was slightly behind in 4G median upload speed at 12.09 Mbps compared to Kyrgyzstan (12.75 Mbps) and Uzbekistan (12.15 Mbps). 

Chart of 4G LTE Performance Among Central Asia Countries

During the same period, Kazakhstan reported slightly lower 4G Availability than Kyrgyzstan. 4G Availability measures the percentage of users on all devices who spend most of their time connected to 4G technology, including roaming and on-network. In Q4 2023, Kyrgyzstan topped the region with a 4G Availability rate of 91.1%, while Kazakhstan was at 88.9%. Kazakhstan’s 4G Availability rate increased by 4.4 percentage points from 84.4% reported in Q4 2022.

Almaty had the fastest 4G median download speed among select Central Asia cities

Map of 4G Mobile Performance Across Cities in Central Asia

Two major cities in Kazakhstan had the fastest 4G median download speeds compared to capital cities of neighboring countries. Among the select cities in the region we looked at (shown on the map above), Almaty, the largest city in the country, had a 4G median download speed of 32.32 Mbps in Q4 2023, the only city to surpass 30 Mbps. Astana was second among these neighboring cities, with a median download speed of 27.24 Mbps, outpacing Bishkek, the capital city of Kyrgyzstan (26.59 Mbps), Uzbekistan’s capital, Tashkent (23.91 Mbps), and Tajikistan capital, Dushanbe (11.54 Mbps). Shymkent, the third-most populous city in Kazakhstan, had a 4G median download speed of 22.47 Mbps during the same period.

Operators have been making progress in providing consistent quality of service 

While fast speeds are essential, providing consistent quality of service and customer experience are also key indicators of network quality. If a user’s speeds are inconsistent, it becomes difficult for users to stream HD video reliably, browse the web, or play online games. Ookla’s Consistency Score™ is a measure used to identify networks that provide a consistent quality of service. Consistency Score reflects the percentage of a provider’s users who experienced download and upload speeds that met or exceeded Ookla’s thresholds for the majority of their tests. For mobile (all technologies), the threshold of consistent service is 5 Mbps download speed and 1 Mbps upload speed. Achieving these speeds means network users are likely to be able to do things like stream HD content or play online games without any issues.

Chart of Mobile Operators All Technology Consistency Score™ Trend in Kazakhstan

Ookla’s data shows that all major operators in Kazakhstan showed an improved Consistency Score in Q4 2023 compared to Q4 2022. In Q4 2023, Tele2 achieved the highest Consistency Score of 85.3% among all the operators, a 4.6 percentage point increase from Q4 2022. Kcell was second with a Consistency Score of 80.2%, showing a significant increase of 15.1 percentage points from Q4 2022. Beeline also improved their score, with a Consistency Score of 78.3%, an increase of 3 percentage points over the same period.

5G is ramping up in Kazakhstan

The Central Asian region is gradually advancing towards the 5G era, although it is still in its early stages compared to more developed markets in Europe and Asia. In December 2022, the Ministry of Digital Development, Innovation & Aerospace released the results of its spectrum auction for two 100 MHz blocks of 3.6 GHz spectrum. A consortium of mobile operators, consisting of Mobile Telecom Services (Tele2 and Altel brands) and Kcell, both of which are part of Kazakhtelecom, were awarded the two 100 MHz blocks in the 3.6 – 3.7 GHz and 3.7 – 3.8 GHz spectrum bands. Initially, the licensing conditions required deploying 7,000 5G BTS across Kazakhstan by the end of 2027. However, President Kassym-Jomart Tokayev announced an accelerated timeline, calling for operators to achieve the target by the end of 2025.

As of mid-November 2023, Kazakhtelecom announced that the 5G network is operational in 15 cities, with over 1,000 live 5G base stations. Tele2-Altel has deployed over 600 5G base stations, while Kcell has deployed 400.

While accelerated 5G deployment will ensure significant coverage in major cities, the affordability and availability of 5G-capable smartphones will be critical factors in growing 5G subscriptions. Encouraging users to upgrade to 5G-capable devices is a necessary first step before consumers can unlock 5G services and move beyond just making voice calls and text messaging.

Smartphone adoption in Kazakhstan has seen continued growth in recent years, driven by expanding mobile network coverage, increasing consumer disposable incomes, and improving economic conditions, resulting in a rising number of internet users. According to GSMA Intelligence, smartphone adoption in Kazakhstan has increased gradually over the last few years. In 2023, the share of total smartphone subscribers was 83%, an increase of more than ten percentage points from 2020. 

Chart of Smartphone Adoption Rate in Kazakhstan

To assess how prepared consumers in Kazakhstan are for 5G, we looked at the percentage of consumers already owning 5G-capable devices in the country. Based on Ookla’s data, we compared the proportion of unique devices that conducted consumer-initiated Speedtest using a 5G-capable device to the total number of devices running Speedtest, regardless of network technology.

Chart of Proportion of 5G-Capable vs. Non-5G Devices Taking Speedtest in Kazakhstan

In Q4 2023, over 53% of all tests conducted in Kazakhstan were carried out on unique 5G-capable devices, while the remaining 46.3% were on non-5G networks. The proportion shows that 5G operators in Kazakhstan have a significant existing addressable base of customers with 5G-capable devices they can target as they continue to roll out their 5G services. Motivating the remaining customers, who are yet to invest in 5G-capable devices, is critical as the operators continue expanding their 5G network access to all populated areas nationwide.

Users with 5G capable devices are already experiencing performance uplift compared to those on 4G devices

The deployment of 5G networks in Kazakhstan is still in its early stages, with Kcell and Tele2 working on expanding 5G coverage in major cities. Although the current 4G network’s performance is sufficient for most users’ everyday tasks, such as browsing, streaming, and online communication, users with 5G-capable devices are already experiencing significant performance improvements in areas with both 4G and 5G coverage. The deployment of 5G networks will also enhance 4G speeds thanks to the modernization of underlying infrastructure. Furthermore, it will offload 4G traffic onto the 5G network, improving the overall performance of the existing 4G network.

Chart of Performance of 5G Capable Devices in Kazakhstan

Ookla’s data show that, in Q4 2023, users with 5G capable devices reported median download speeds of 70.05 Mbps compared to 28.26 Mbps for users on 4G devices. This difference in speed translates to more than 2.48 times higher download speeds for users on 5G-capable devices than those on purely 4G devices. There is a slight increase in median upload speed, with 5G-capable devices reporting a median upload speed of 16.54 Mbps, a slight increase from 12.09 Mbps for 4G devices. While we must approach these early results cautiously, users who own 5G-capable devices and are in areas where 5G coverage is available can achieve much faster speeds, at least under current network conditions with no network congestion.

Addressing connectivity challenges with 5G

Thanks to its abundant reserve of mineral resources, Kazakhstan has the largest economy in Central Asia. The country holds the 12th position globally in oil reserves and the 14th in gas reserves. However, it also recognizes that more than a solid resource base is needed to compete in the global economy. The government and regulatory bodies of the country understand the benefits of digital transformation and have initiatives to stimulate mobile adoption, driving the country’s digital progress.

Both mobile operators and regulatory authorities have a vital role in reducing the digital divide and making 4G and 5G accessible to consumers. As operators continue to expand their 5G networks, they are also exploring new services that can complement their existing offerings. One such service is 5G Fixed Wireless Access (FWA), which provides an excellent opportunity to cover areas too remote or expensive to deploy fiber. 5G FWA is particularly promising in rural areas, using 5G as the last-mile technology to provide broadband connectivity.

The M360 Eurasia event recently discussed how collaboration and partnership among stakeholders are crucial to unlocking a country’s digital transformation strategy. Kcell and Ericsson recently announced a seven-year partnership to deploy 5G networks in key regions, including Almaty and Shymkent. The partnership will also explore using 5G FWA as an alternative or complement to wired connections for residential and business customers, making it a valuable option for the “last mile” of connectivity.

Government and regulatory support in improving overall connectivity in Kazakhstan

According to the International Telecommunication Union (ITU), Kazakhstan has the highest internet usage rate within the Commonwealth of Independent States (CIS) region, with 95.7% of its population using the internet. The CIS region comprises 12 independent countries previously part of the Soviet Union. In contrast, the internet usage rate across the rest of the region ranges from 80.6% in Uzbekistan to 92.9% in the Russian Federation. One of the main drivers for Kazakhstan as a regional leader in internet access is the relatively low price of telecommunication services compared to other countries. Based on the 2022 Internet Accessibility Index, Kazakhstan ranked sixth among countries with the lowest mobile internet tariffs, with subscribers in Kazakhstan only paying 0.6 USD for 1 GB of mobile data.

Kazakhstan is actively modernizing its telecommunication infrastructure and is making significant efforts to develop the ICT sector. In 2017, the government of Kazakhstan launched the “Digital Kazakhstan” national program to improve the country’s digital infrastructure and bridge the digital divide. The program envisaged digitally transforming the critical sectors of the economy, including digitization of economic sectors, establishing e-government services, developing high-speed and secure communication networks and IT infrastructure across the country, increasing digital literacy, and providing an environment for technological entrepreneurship.

The country’s government has set an ambitious target of achieving 100% broadband internet coverage of regional centers and 95% home broadband adoption by 2025. This target can be challenging for a large country with a sparse population, with almost half living in rural areas. To address this, and as part of the National Digital Kazakhstan strategy, the government has launched the 250+ program, which aims to extend high-speed internet to all villages with a population of 250 or more. The project uses a collaborative approach to network and equipment sharing between the top three telecommunication operators – Beeline Kazakhstan, Kcell, and Tele2. Once connected, local communities can access any mobile provider on competitive terms.

We will continue to monitor both 4G and 5G performance in Kazakhstan, see how operators scale networks, and assess real-world performance as more consumers connect with 5G devices and use 5G FWA. If you want to learn more, subscribe to Ookla Research™ to be the first to read our analyses.


Показатели мобильной связи в Казахстане улучшаются по мере развертывания сети 5G

Мобильные операторы Казахстана вкладывают значительные средства в свою инфраструктуру, чтобы удовлетворить растущий спрос на надежные и высокоскоростные мобильные услуги. В этой статье мы более подробно рассмотрим текущее состояние мобильных сетей в Казахстане, оценим их производительность и исследуем усилия операторов по расширению своих сетей с помощью новейшей технологии 5G.

Ключевые выводы

  • Казахстан продолжает улучшать свой рейтинг в глобальном индексе Speedtest. Скорость мобильной загрузки в Казахстане улучшилась на 61% с конца 2022 года, достигнув 35,07 Мбит/с в декабре 2023 года с 21,29 Мбит/с в декабре 2022 года. Врезультате страна поднялась на 23 позиции в Глобальном индексе Speedtest™, с 95-го на 72-е место за этот период, опередив соседние страны Центральной Азии.
  • Медианная скорость загрузки 4G в Алматы опережает другие города Казахстана и соседних стран. В четвертом квартале 2023 года в Алматы медианная скорость загрузки по 4G составила 32,32 Мбит/с, что опережает скорость в Астане, столице Казахстана. Кроме того, в обоих городах скорость 4G выше, чем в соседних столицах Кыргызстана, Таджикистана и Узбекистана.
  • Казахстан стремится использовать технологию 5G для поддержки своей стратегии цифровой трансформации и преодоления цифрового разрыва. Kcellи Tele2 наращивают темпы внедрения 5G, преследуя амбициозные цели по развертыванию 5G, поставленные Министерством цифрового развития, инноваций и аэрокосмической промышленности. Данные Speedtest Intelligence® показывают, что уже существует значительная база клиентов, обладающих устройствами с поддержкой 5G, — в четвертом квартале 2023 года более 53 % тестов по всей стране было проведено на устройствах с поддержкой 5G.
  • Регулирование и правительственные инициативы стимулируют цифровую трансформацию Казахстана. Страна реализует стратегическую политику регулирования, поощряет сотрудничество между различными заинтересованными сторонами и запускает такие инициативы, как «Цифровой Казахстан», для продвижения цифровой инфраструктуры и обеспечения широкой доступности телекоммуникационных услуг.

Казахстан постепенно поднялся в рейтинге Speedtest Mobile Global Index

График Глобальный рейтинг стран Центральной Азии

Данные Speedtest Intelligence® показывают, что медианная скорость загрузки на мобильных устройствах для всех технологий в Казахстане постепенно улучшалась в течение 12 месяцев с декабря 2022 года по декабрь 2023 года. В декабре 2023 года медианная скорость загрузки в Казахстане, зафиксированная в декабре 2022 года, увеличилась с 21,29 Мбит/с до 35,07 Мбит/с. В результате этого улучшения Казахстан поднялся на 23 позиции в рейтинге Speedtest Global Index™, заняв 72-е место в декабре 2023 года по сравнению с 95-м местом в декабре 2022 года. Казахстан опережает соседние страны, такие как Узбекистан на 95-м месте, Кыргызстан на 100-м месте и Таджикистан на 141-м месте.

Показатели 4G Казахстана в Центральной Азии продолжают оставаться конкурентоспособными

График Производительность 4G LTE в странах Центральной Азии

В нашем недавнем отчете, посвященном производительности и доступности мобильных сетей в Центральной Азии, Казахстан возглавил рейтинг среди своих соседей по скорости мобильной загрузки в четвертом квартале 2022 года. Согласно последним данным Speedtest Intelligence за четвертый квартал 2023 года, Казахстан по-прежнему лидирует по средней скорости мобильной загрузки 4G с заявленной скоростью 28,26 Мбит/с, что выше, чем в Кыргызстане (26,76 Мбит/с), Узбекистане (23,09 Мбит/с) и Таджикистане (11,15 Мбит/с). Однако Казахстан немного отставал по средней скорости загрузки 4G (12,09 Мбит/с) по сравнению с Кыргызстаном (12,75 Мбит/с) и Узбекистаном (12,15 Мбит/с).

За тот же период Казахстан сообщил о несколько более низкой доступности 4G, чем Кыргызстан. Доступность 4G определяется процентом пользователей на всех устройствах, которые проводят преимущественную часть своего времени с подключением к технологии 4G, включая роуминг и работу в сети. В четвертом квартале 2023 года Кыргызстан возглавил регион с уровнем доступности 4G 91,1%, а Казахстан — с 88,9%. Уровень доступности 4G в Казахстане увеличился на 4,4 процентных пункта с 84,4%, зарегистрированных в четвертом квартале 2022 года.

В Алматы зафиксирована самая быстрая медианная скорость загрузки по 4G среди определенных городов Центральной Азии

Карта Производительность мобильной связи 4G в городах Центральной Азии


В двух крупных городах Казахстана зафиксирована самая высокая медианная скорость загрузки по 4G по сравнению со столицами соседних стран. Среди избранных городов региона, которые мы рассмотрели (показаны на карте выше), Алматы, крупнейший город страны, имел медианную скорость загрузки 4G в четвертом квартале 2023 года 32,32 Мбит/с и был единственным городом, который превысил 30 Мбит/с. Астана заняла второе место среди этих соседних городов со средней скоростью загрузки 27,24 Мбит/с, опередив Бишкек, столицу Кыргызстана (26,59 Мбит/с), столицу Узбекистана Ташкент (23,91 Мбит/с) и столицу Таджикистана Душанбе (11,54 Мбит/с). В Шымкенте, третьем по численности населения городе Казахстана, за тот же период медианная скорость загрузки 4G составляла 22,47 Мбит/с.

Операторы добились прогресса в обеспечении стабильного качества обслуживания.

Хотя высокая скорость имеет большое значение, обеспечение стабильного качества обслуживания также является ключевым показателем качества сети. Если скорость нестабильна, пользователям сложно надежно транслировать видео высокой четкости, просматривать веб-страницы или играть в онлайн-игры. Показатель Consistency Score™ от Ookla — это показатель, используемый для определения сетей, обеспечивающих стабильное качество обслуживания. Consistency Score отражает процент пользователей провайдера, у которых скорость загрузки и передачи соответствовала пороговым значениям Ookla для большинства тестов или превышала их. Для мобильных устройств (все технологии) порогом стабильного обслуживания является скорость загрузки 5 Мбит/с и скорость передачи 1 Мбит/с. Достижение этих скоростей означает, что пользователи сети, скорее всего, смогут без каких-либо проблем выполнять такие действия, как потоковая передача HD-контента или играть в онлайн-игры.

График Мобильные операторы Все виды технологий Consistency ScoreTM Тенденции в Казахстане

Данные Ookla показывают, что все основные операторы в Казахстане продемонстрировали улучшение показателя Consistency Score в четвертом квартале 2023 года по сравнению с четвертым кварталом 2022 года. В четвертом квартале 2023 года компания Tele2 достигла самого высокого показателя Consistency Score — 85,3 % среди всех операторов, что на 4,6 процентного пункта больше, чем в четвертом квартале 2022 года. Компания Kcell заняла второе место с показателем Consistency Score 80,2 %, показав значительный рост на 15,1 процентного пункта по сравнению с четвертым кварталом 2022 года. Компания Beeline также улучшила свой показатель Consistency Score: он составил 78,3 %, что на 3 процентных пункта больше, чем в том же периоде.

5G набирает обороты в Казахстане

Центральноазиатский регион постепенно приближается к эпохе 5G, хотя он все еще находится на ранних стадиях по сравнению с более развитыми рынками Европы и Азии. В декабре 2022 года Министерство цифрового развития, инноваций и аэрокосмической промышленности опубликовало результаты аукциона по продаже двух блоков по 100 МГц спектра 3,6 ГГц. Консорциум мобильных операторов, в состав которого входят компании Mobile Telecom Services (бренды Tele2 и Altel) и Kcell, входящие в состав «Казахтелекома», получили два блока по 100 МГц в диапазонах спектра 3,6–3,7 ГГц и 3,7–3,8 ГГц. Первоначально условия лицензирования требовали развертывания 7000 базовых передающих станций 5G по всему Казахстану к концу 2027 года. Однако президент Касым-Жомарт Токаев объявил ускоренные сроки, призвав операторов достичь цели к концу 2025 года.

По состоянию на середину ноября 2023 года «Казахтелеком» объявил, что сеть 5G работает в 15 городах и имеет более 1000 работающих базовых станций 5G. «Теле2-Алтел» развернул более 600 базовых станций 5G, «Кселл» — 400.

Хотя ускоренное развертывание 5G обеспечит значительный охват в крупных городах, ценовая доступность и доступность смартфонов с поддержкой 5G станут решающими факторами роста числа подписчиков 5G. Поощрение пользователей перейти на устройства с поддержкой 5G является необходимым первым шагом, прежде чем потребители смогут разблокировать услуги 5G и выйти за рамки простого совершения голосовых вызовов и обмена текстовыми сообщениями.

В последние годы распространение смартфонов в Казахстане продолжает расти, что обусловлено расширением покрытия мобильной сети, увеличением располагаемых доходов потребителей и улучшением экономических условий, что приводит к увеличению числа пользователей Интернета. По данным GSMA Intelligence, распространение смартфонов в Казахстане постепенно росло за последние несколько лет. В 2023 году доля всех подписчиков смартфонов составила 83%, что более чем на десять процентных пунктов больше, чем в 2020 году.

График Уровень распространения смартфонов в Казахстане


Чтобы оценить, насколько потребители в Казахстане готовы к 5G, мы изучили процент потребителей, уже владеющих устройствами с поддержкой 5G в стране. Основываясь на данных Ookla, мы сравнили долю уникальных устройств, проводивших Speedtest по инициативе потребителя с использованием устройства с поддержкой 5G, к общему количеству устройств, выполняющих тест скорости с помощью приложения Speedtest, независимо от сетевой технологии.

График Доля устройств с поддержкой 5G и устройств без поддержки 5G, прошедших тест скорости с помощью приложения Speedtest в Казахстане

В четвертом квартале 2023 года более 53 % всех тестов, проведенных в Казахстане, были проведены на уникальных устройствах с поддержкой 5G, а остальные 46,3 % — в сетях без 5G. Эта пропорция показывает, что операторы 5G в Казахстане имеют значительную существующую адресную базу клиентов с устройствами с поддержкой 5G, на которые они могут ориентироваться, продолжая развертывать свои услуги 5G. Мотивирование оставшейся части клиентов приобретать устройства с поддержкой 5G имеет решающее значение, поскольку операторы продолжают расширять доступ к сети 5G во всех населенных пунктах по всей стране.

Пользователи устройств с поддержкой 5G уже отмечают повышение производительности по сравнению с пользователями устройств 4G.

Развертывание сетей 5G в Казахстане все еще находится на начальной стадии: Kcell и Tele2 работают над расширением покрытия 5G в крупных городах. Хотя производительности нынешней сети 4G достаточно для большинства повседневных задач пользователей, таких как просмотр веб-страниц, потоковая передача данных и онлайн-общение, пользователи устройств с поддержкой 5G уже ощущают значительное улучшение производительности в областях с покрытием как 4G, так и 5G. Развертывание сетей 5G также повысит скорость 4G благодаря модернизации базовой инфраструктуры. Кроме того, это перенесет трафик 4G в сеть 5G, улучшив общую производительность существующей сети 4G.

График Производительность устройств с поддержкой 5G* в Казахстане

Данные Ookla показывают, что в четвертом квартале 2023 года у пользователей устройств с поддержкой 5G была зарегистрирована медианная скорость загрузки 70,05 Мбит/с по сравнению с 28,26 Мбит/с для пользователей устройств с поддержкой 4G. Эта разница в скорости приводит к тому, что скорость загрузки для пользователей устройств с поддержкой 5G более чем в 2,48 раза выше, чем для пользователей устройств с поддержкой 4G. Наблюдается небольшое увеличение медианной скорости передачи: устройства с поддержкой 5G демонстрируют медианную скорость передачи 16,54 Мбит/с, что немного больше, чем 12,09 Мбит/с для устройств с поддержкой 4G. Хотя мы должны подходить к этим первым результатам с осторожностью, пользователи, владеющие устройствами с поддержкой 5G и находящиеся в районах, где доступно покрытие 5G, могут достичь гораздо более высоких скоростей, по крайней мере, в текущих условиях сети без перегрузки сети.

Решение проблем со связью с помощью 5G

Благодаря богатым запасам минеральных ресурсов Казахстан имеет крупнейшую экономику в Центральной Азии. Страна занимает 12-е место в мире по запасам нефти и 14-е место по запасам газа. Однако он также признает, что для конкуренции в глобальной экономике необходимо нечто большее, чем просто прочная ресурсная база. Правительство и регулирующие органы страны понимают преимущества цифровой трансформации и выступают с инициативами стимулирования внедрения мобильных технологий, что способствует цифровому прогрессу страны.

И операторы мобильной связи, и регулирующие органы играют жизненно важную роль в сокращении цифрового разрыва и обеспечении доступности 4G и 5G для потребителей. Продолжая расширять свои сети 5G, операторы также изучают новые услуги, которые могут дополнить существующие предложения. Одной из таких услуг является фиксированный беспроводной доступ 5G (FWA), который предоставляет прекрасную возможность охватить районы, слишком удаленные или дорогие для развертывания оптоволокна. 5G FWA особенно перспективен в сельской местности, поскольку 5G используется в качестве технологии последней мили для обеспечения широкополосного подключения.

На мероприятии M360 Eurasia недавно обсуждалось, насколько сотрудничество и партнерство между заинтересованными сторонами имеют решающее значение для реализации стратегии цифровой трансформации страны. Kcell и Ericsson недавно объявили о семилетнем партнерстве по развертыванию сетей 5G в ключевых регионах, включая Алматы и Шымкент. Партнерство также будет изучать возможность использования 5G FWA в качестве альтернативы или дополнения к проводным соединениям для частных и корпоративных клиентов, что сделает его ценным вариантом для «последней мили» подключения.

Поддержка правительства и регулирующих органов в улучшении общей связи в Казахстане

По данным Международного союза электросвязи (ITU), Казахстан имеет самый высокий уровень использования Интернета в регионе Содружества Независимых Государств (СНГ): 95,7% его населения используют Интернет. В регион СНГ входят 12 независимых стран, ранее входивших в состав Советского Союза. Напротив, уровень использования Интернета в остальной части региона колеблется от 80,6% в Узбекистане до 92,9% в Российской Федерации. Одним из основных факторов, способствующих тому, чтобы Казахстан стал региональным лидером в сфере доступа в Интернет, является относительно низкая цена на телекоммуникационные услуги по сравнению с другими странами. Согласно Индексу доступности Интернета, Казахстан занял шестое место среди стран с самыми низкими тарифами на мобильный интернет: абоненты в Казахстане платят всего 0,6 доллара США за 1 ГБ мобильных данных.

Казахстан активно модернизирует свою телекоммуникационную инфраструктуру и прилагает значительные усилия для развития сектора ИКТ. В 2017 году правительство Казахстана запустило национальную программу «Цифровой Казахстан», направленную на улучшение цифровой инфраструктуры страны и преодоление цифрового разрыва. Программа предусматривала цифровую трансформацию важнейших секторов экономики, включая цифровизацию секторов экономики, внедрение электронных государственных услуг, развитие высокоскоростных и безопасных сетей связи и ИТ-инфраструктуры по всей стране, повышение цифровой грамотности и создание среды для технологического предпринимательства.

Правительство страны поставило амбициозную цель по достижению 100%-го охвата широкополосным Интернетом региональных центров и 95%-го внедрения широкополосной связи в домашних условиях к 2025 году. Эта цель может оказаться сложной задачей для большой страны с малочисленным населением, почти половина которого проживает в сельской местности. Для решения этой проблемы и в рамках Национальной стратегии «Цифровой Казахстан» правительство запустило программу 250+, цель которой — обеспечить высокоскоростным Интернетом все села, в которых проживает 250 или более человек. В проекте используется стратегия сотрудничества в отношении использования сети и оборудования трех крупнейших операторов связи — Beeline Казахстан, Kcell и Tele2. После подключения местные сообщества смогут получить доступ к любому оператору мобильной связи на конкурентных условиях.

Мы продолжим следить за производительностью сетей 4G и 5G в Казахстане, наблюдать, как операторы масштабируют сети, и оценивать реальную производительность по мере того, как все больше потребителей подключаются с помощью устройств с поддержкой 5G и используют 5G FWA. Если вы хотите узнать больше, подпишитесь на Ookla Research™, чтобы первыми читать наши анализы.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| December 20, 2023

Digital Transformation in the 5G Era: Key Takeaways from the Digital Transformation Leaders’ CxO Summit

Ookla® recently participated in the Digital Transformation Leaders’ CxO Summit in Kuala Lumpur, Malaysia, on November 22nd and 23rd, 2023. At the summit, leaders from multiple mobile network operators, governments, industries, and ecosystem players gathered to discuss commercial strategies, technological advancements, and industry promotion policies. The aim was to accelerate sector-wide intelligent digital transformation in the 5G era by addressing opportunities and challenges.

Key Takeaways

  • Adopting digital transformation is crucial to compete in the 5G era. Digital transformation is essential for industry players to stay competitive in the digital age. Despite challenges, the potential benefits, like better efficiency, improved customer experiences, and innovation opportunities, make it crucial for industries to undertake.
  • A collaborative effort is necessary for Open RAN’s success. Despite the global momentum of Open RAN, challenges stemming from interoperability issues among hardware and software stacks pose significant hurdles, demanding a collaborative effort within the telecom industry to ensure the success of this transformative technology.
  • Complementing terrestrial networks with Non-Terrestrial Networks (NTN) is crucial for global connectivity. Combining both networks’ strengths creates a more robust communication infrastructure that enhances connectivity, reliability, and coverage.

5G is an integral element of any country’s digital transformation strategy

Mobile connectivity stands as a driving force for digital innovation and economic growth across the Asia Pacific region. GSMA reports that mobile technologies and services contributed nearly 5% of the region’s GDP in 2022, translating to a substantial $810 billion in economic value added. This underscores the pivotal role of 5G deployment in fostering economic growth, benefiting both individuals and enterprises. As the backbone of transformative technologies, 5G has become a catalyst for innovation, propelling the Asia Pacific region into the forefront of the global digital economy. 

During his opening speech, Julian Gorman, the Head of APAC for GSMA, highlighted that the Asia Pacific region is a collection of diverse markets, each at a unique stage of growth regarding 5G adoption. Countries in the region are charting their own individual paths in deploying 5G networks. The tailored approach is essential as it accommodates varying technological landscapes, economic conditions, and regulatory frameworks and allows nations to capitalize on 5G’s potential in a manner that aligns with their specific needs and challenges. 

Several speakers quoted Ookla’s recent report highlighting how the Asia Pacific region has some of the world’s fastest 5G networks, with South Korea and Malaysia ranking in the top three countries for 5G network speeds globally. Malaysia has achieved impressive 5G performance, ranking third globally for 5G download speed with a reported speed of 485.25 Mbps, surpassing its Southeast Asian neighbors. This is despite launching its nationwide 5G network less than two years ago and adopting an unconventional deployment strategy.

Co-CEO of DNB, Datuk Ahmad Zaki Bin Zahid, emphasized during his speech that the journey towards 5G adoption goes beyond just speed and that a strong network infrastructure foundation is crucial. His remarks underscore the need for a strategic and thoughtful planning approach when building a solid network foundation for new 5G applications. Investing strategically in building and expanding telecommunications networks is crucial for unlocking the nation’s digital transformation and driving growth. Earlier this year, the Malaysian government announced its intention to transition to a dual network model once the current rollout under DNB has achieved 80% coverage of populated areas. How implementing a dual network will impact Malaysia’s 5G adoption and digital transformation remains to be seen. 

Embracing network digital transformation is necessary for staying competitive in the 5G era

During the session titled “Network Digital Transformation in the 5G Era,” industry experts emphasized the significance of network digital transformation in the 5G era. The speakers’  discussed how 5G technology has revolutionized the way networks operate and how it supports digital transformation for businesses. In his presentation, Ericsson’s Asia-Pacific Group CTO, Magnus Everbring, explained how a well-built 5G network and through enhanced features such as network slicing, or 5G Standalone, will be able to differentiate traffic for new services, thus utilizing the 5G network to its full potential. This will open up possibilities for new 5G services for enterprises and consumers, moving beyond broadband use cases and into various industry verticals such as healthcare, utilities, manufacturing, media and broadcast, and the public sector.

Photo of panel discussion at the GSMA Digital Transformation Leaders' Cxo Summit, 2023

Overcoming interoperability hurdles for Open RAN

Open RAN has recently been gaining traction globally. However, several single vendor operators often face technical and verification challenges in implementing Open RAN. According to our recent report that analyzed telco trends for 2024, industry experts believe that interoperability issues across hardware and software stacks are hindering Open RAN’s progress, causing delays in its implementation timelines. Resolving these challenges is crucial to the success of Open RAN and will require a concerted effort from the telecom industry. 

In a panel discussion, Dr. Sadayuki Abeta, the Global Head of Open RAN at NTT DOCOMO, discussed how the company is using its expertise to support the Open RAN efforts of operators worldwide. NTT DOCOMO has introduced its Open RAN OREX platform, designed to simplify the deployment of open RAN. Dr. Abeta mentioned that they are working with dozens of vendors to develop a verified multi-vendor Open RAN solution that addresses various challenges, such as integration issues, power consumption balancing with performance, and managing an open RAN ecosystem.

NTNs can complement 5G terrestrial networks for seamless connectivity

In one of the sessions, the topic of discussion was how complementing Non-Terrestrial Networks (NTN) with 5G terrestrial networks leverages the strengths of both network types to create a robust and efficient communication infrastructure and services. Gerhard Ott, the Customer CTO APJ Strategy at Nokia, believes that a secure, multi-layered, and sustainable network is essential for providing a comprehensive and reliable communication solution that can meet the needs of various applications and use cases. Nokia is working with AST SpaceMobile to offer direct-to-cell phone connectivity from space, eliminating coverage gaps and providing digital connectivity to remote rural communities. 

Looking ahead to 2024, we anticipate a greater integration of terrestrial and NTN. The hybrid approach provides a highly resilient, scalable, and secure communication infrastructure that can address connectivity across diverse scenarios and geographic locations. 

The GSMA CxO Forum emphasized 5G’s importance in driving positive change through digital transformation for various industries, businesses, societies, and nations. Although progress has been achieved in the Asia Pacific region, there is still a long way to go. In line with what was discussed during Ookla’s Asia Pacific Telecommunications Regulatory Summit, Government and industry players must work together to ensure that digital technologies and services are integrated into every sector of the economy to achieve sustainable and economic growth. If you’re interested in learning more about Ookla’s perspective on telco trends for 2024, you can read our report here.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| November 20, 2023

The State of Taiwan’s 5G Network With Telecom Mergers On the Horizon

Taiwan’s mobile market is fiercely competitive, driven by three major operators – Chunghwa Telecom, FarEasTone, and Taiwan Mobile, and two smaller ones, Asia Pacific Telecom (GT) and Taiwan Star (T Star). Earlier this year, two major mergers of telecom operators were approved, which is expected to alter the telecommunication competitive landscape of the country. In this article, we will examine the current state of 5G in Taiwan before the mergers take place and evaluate the potential impact these mergers will have on Taiwan’s telecommunications market.

Key Takeaways

  • Recent mergers are set to alter Taiwan’s mobile market dynamics. The number of operators will be reduced from five to three major players, each with a comparable market share. Far EasTone and Taiwan Mobile will inherit additional spectrum bandwidth as a result of the mergers, enabling both operators to enhance customer experience, introduce new services, and compete more effectively with Chunghwa Telecom, the largest operator.
  • Taiwan’s 5G network performs well compared to other countries in the region. In Q3 2023, Taiwan’s 5G network had a median download speed of 263.35 Mbps, outperforming other countries in the region, such as Vietnam, China, Hong Kong, the Philippines, and Japan.
  • Chunghwa Telecom leads the way in terms of 5G download speeds. Based on Speedtest Intelligence® data for Q2-Q3 2023, Chunghwa Telecom had the fastest median download speed with a reported speed of 361.83 Mbps. Far EasTone and Taiwan Mobile came in second and third place, respectively. GT and T Star ranked fourth and fifth, with median download speeds of 190.48 Mbps and 113.85 Mbps.
  • Chunghwa Telecom’s 5G network extends to 97.6% of locations in Taiwan with 5G coverage. Chunghwa’s 5G network reached more locations across the island than its competitors, with next-placed Far EasTone following with 88.9%, and Taiwan Mobile with 85.6%.

Change in Taiwan’s Telecom Landscape

The Asia Pacific telecommunications markets have witnessed several notable mergers and acquisitions in recent years. This trend is primarily attributed to heavy investments in 5G technology, as companies strive to stay competitive in the market and sustain their growth in the face of economic challenges. Taiwan’s market is one such example, where the National Communications Commission (NCC) approved two mobile operator mergers earlier this year, which will significantly transform Taiwan’s telecommunications market landscape.

Mergers will increase market competition with three major players

The two mergers involve the consolidation of two major operators with minor operators. The first merger involves the integration of Taiwan Mobile and Taiwan Star Telecom (T Star), while the second merger sees Far EasTone partnering with GT’s parent company Asia Pacific Telecom (APT). As a result of the mergers, the number of operators will be reduced from five to three players with comparable market share. More importantly, this will give the new entities additional scale, allowing them to directly compete with Chunghwa Telecom, the current largest operator.

Chart of Mobile Subscriptions/Connections Market Share in Taiwan

The merged operators could provide more competition to Chunghwa Telecom across all market segments, not only mobile. For instance, the newly merged entities could look at convergent offerings to compete with Chunghwa Telecom, which currently leads the fixed broadband market share and differentiates its services with value-added and bundling packages.

Additional spectrum for 5G use for merged entities

The merging of these operators will bring about significant benefits through synergies. Far EasTone and Taiwan Mobile will inherit the spectrum bandwidth previously held by the two dissolved entities, increasing their competitive edge in the market. The availability of increased resources will enable more efficient use of 5G spectrum, optimize network infrastructure, and reduce energy usage by decommissioning redundant base stations, resulting in a more cost-effective network.

Chart of Awarded 5G Spectrum ?Holding Pre- and Post-merger

After the consolidation, Far EasTone will see an increase of its 28 GHz spectrum holding from 400 MHz to 800 MHz, in addition to the 80 MHz of the 3.5 GHz band it initially acquired. Taiwan Mobile will now have a block of 100 MHz of the 3.5 GHz band, making it the operator with the most medium frequency bandwidth capacity in the market. When it comes to the high band of 28 GHz, Taiwan Mobile only holds 200 MHz, much less than Far EasTone’s 800 MHz, and Chunghwa Telecom, which holds 600 MHz. The additional spectrum bandwidths will come in very handy to enhance customer experience and introduce new enterprise offerings post-merger.

While the additional spectrum is welcome, in compliance with regulations, operators may only own up to one-third of the available spectrum. After merging with Taiwan Star, Taiwan Mobile will have 60MHz of sub-1GHz spectrum, exceeding one-third of the total available. They will need to divest 10MHz of their frequencies. Similarly, following its merger with GT, FET will be required to surrender any excess spectrum in bands below 3GHz, bands between 3GHz and 6GHz, and bands above 24GHz. How these operators will divest the excess spectrum remains to be seen.

Close scrutiny by the NCC on coverage and service enhancements

As the Taiwanese market undergoes a significant shift, it will naturally require thorough regulatory scrutiny to ensure a smooth transition. Apart from the disposal of excess bandwidth as mentioned earlier, the NCC also imposed additional conditions, including coverage targets, and ensuring uninterrupted subscriber services during the transition period.

 Both Taiwan Mobile and Far EasTone will be required to increase 4G coverage across the island to 99% of the population, while 5G coverage must be at least 98% by 2027. The operators will also need to explore ways to reduce carbon emissions and implement effective energy-saving systems to achieve an annual energy saving of approximately 160 million kWh.

Taiwan’s 5G performs well compared to its regional counterparts

Taiwan rolled out its 5G network in 2020, with Chunghwa Telecom being the first operator to introduce 5G services in July of that year. Since then, Taiwan has experienced significant growth in mobile performance, particularly in 5G performance, compared to other countries across the globe.

Chart of Taiwan's 5G Performance and Its Regional Peers

In Q3 2023, Speedtest Intelligence® data revealed that Taiwan’s 5G network had achieved a median download speed of 263.35 Mbps, outperforming its regional counterparts, including Vietnam (257.95 Mbps) and China (245.94 Mbps). Furthermore, Taiwan’s 5G network was notably faster than those of Hong Kong (136.51 Mbps), the Philippines (124.58 Mbps), and Japan (102.72 Mbps).

Chunghwa Telecom tops 5G performance in Taiwan

Chart of 5G Performance Among Operators in Taiwan

Based on Speedtest Intelligence data, Chunghwa Telecom reported Taiwan’s fastest median 5G download speed during Q2-Q3 of 2023. It recorded a median download speed of 361.83 Mbps and a median upload speed of 34.22 Mbps. Far EasTone and Taiwan Mobile came second and third, respectively. The smaller operators, GT, and T Star, had median download speeds of 190.48 Mbps and 113.85 Mbps, placing them fourth and fifth in the rankings.

5G Coverage in Taiwan

Taiwan’s terrain consists of rugged mountains dominating the length of the island, while the western part where most of the population lives is relatively flat. This contrast poses significant challenges in providing nationwide 5G coverage. In order to assess the reach of operator 5G networks, we examined Speedtest Intelligence data to plot locations with access to 5G across the island, with the results shown in the following maps.

Chunghwa Telecom’s 5G network extended furthest across Taiwan, at 97.6% of locations with 5G coverage during Q2-Q3 2023. Far EasTone followed with 88.9%, and Taiwan Mobile with 85.6%. GT and T Star have an almost equal 5G footprint, reporting 49.7% and 49.0% respectively.

Chart of 5G Network Reach as a Share of Total 5G Coverage Locations in Taiwan

The full impact of the mergers will become apparent over time

It may take a while before we witness the effects of the two mergers. In fact, it may take years before consumers can benefit from the newly combined entities. However, one thing is sure – the market’s competitive landscape will change due to the reduction of major operators from five to three in Taiwan. We will continue to keep a close eye on the progress of these mergers and how they affect mobile performance in Taiwan. If you are interested in benchmarking your performance or want to learn more about internet speeds and performance in other markets around the world, visit the Speedtest Global Index™.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| October 30, 2023

5G Performance Shines in Malaysia, but There Is Room for Greater Adoption

Malaysia launched its nationwide 5G network less than two years ago, adopting a distinctive 5G deployment approach. Ookla® data shows that the country’s 5G performance has been impressive, ranking as one of the top performers globally. In this article, we will compare Malaysia’s 5G performance with 5G in select countries, and we will also look at Malaysia’s 5G utilization based on the devices running Ookla Speedtest®.  

Key takeaways

  • Malaysia continues to improve its Speedtest Global Index ranking. Malaysia’s overall mobile speed performance has steadily increased since the introduction of 5G at the end of 2021. In September 2023, the country’s median download speed was 61.50 Mbps, 2.9 times faster than its pre-5G speeds in September 2021. This led to a 45-place climb on the Speedtest Global Index™, from 86th place in September 2021 to 41st place in September 2023 after 5G had been deployed in Malaysia.
  • Malaysia is one of the top performing 5G markets globally. Malaysia ranks third globally for 5G download speed, with a reported speed of 485.25 Mbps, according to Speedtest Intelligence® data for Q3 2023. This puts Malaysia not only ahead of its Southeast Asian neighbors but also some developed markets, including the United Kingdom, Japan, and Germany.
  • A proportion of 5G-capable devices have yet to utilize the 5G network. Over 55% of all nationwide tests were conducted on 5G-capable devices in Q3 2023. However, only 25.1% of those tests were conducted on a 5G network. Operators with a lower subscriber base in the country reported a better percentage of Speedtests conducted on Malaysia’s 5G network.
  • 4G LTE performance sees continued improvement alongside 5G rollout. Median download speeds on 4G have increased from 24.04 Mbps to 36.95 Mbps from Q3 2022 to Q3 2023. 5G network offers much stronger performance than 4G, with 5G providing thirteen times faster download speeds and five times faster upload speeds than 4G. 

Unique deployment strategy utilizing a Single Wholesale Network

In 2021, the government of Malaysia established Digital Nasional Berhad (DNB), responsible for rolling out a nationwide single wholesale network (SWN) to deliver 5G coverage. According to DNB, the 5G SWN model aimed to centralize infrastructure rollout, promoting efficient resource use, cost savings, and equitable 5G access across urban and rural landscapes. 

The Malaysian Communications and Multimedia Commission (MCMC) assigned 5G spectrum to DNB in the 700 MHz, 3.5 GHz, and 26-28 GHz bands. DNB is currently utilizing 3.5 GHz spectrum across selected deployment areas. As discussed in our recent spectrum analysis, the upper mid-band (otherwise known as C-band) offers the best of both worlds in terms of coverage and capacity, which is important for DNB as they aim to reach 80% of populated areas by 2024. As of the end of September 2023, DNB has achieved 70.2% coverage of populated areas (COPA), with more than 5,800 sites deployed.

Yes was the first operator to enter into the Access Agreement with DNB and launch 5G services in Malaysia in Q4 2021. Following Yes, other operators such as Celcom, Digi, Unifi (Telekom Malaysia), and U Mobile launched their 5G services in early November 2022. In August 2023, Maxis became the latest operator to launch 5G services in Malaysia.

5G helped Malaysia climb 45 places in Speedtest’s mobile rankings

Ookla’s Speedtest Intelligence® data reveals that Malaysia has experienced a noteworthy increase in mobile median download speeds for all technologies since the launch of Malaysia’s first 5G network. In September 2023, Malaysia’s median mobile download speed increased to 61.50 Mbps, 2.9 times faster than the country’s 21.27 Mbps median download speed recorded in September 2021, before the launch of 5G in the country. As a result, Malaysia has improved its position on the Speedtest Global Index™, climbing 45 places from 86th in September 2021 to 41st in September 2023. This development places Malaysia ahead of some of its Southeast Asia neighboring countries, such as Indonesia, Thailand, Philippines, and Vietnam, as well as some developed markets, including the United Kingdom, Japan, and Germany.

Global Index Ranking Among Select Countries

Malaysia leads on 5G performance in Southeast Asia

In our recent report discussing 5G in the Asia Pacific region, we discussed how the region is on track to become the largest 5G market globally, with some markets in the region outpacing major European markets in terms of 5G performance. Comparing global 5G performance, Malaysia has emerged as one of the top performers in 5G connectivity. According to Speedtest Intelligence data in Q3 2023, Malaysia ranked third globally for 5G download speed, with a reported speed of 485.25 Mbps. This puts Malaysia ahead of its Southeast Asian neighbors, such as Singapore (338.36 Mbps), Thailand (141.65 Mbps), and the Philippines (124.58 Mbps).

4G performance continues to see improvements in the 5G era

4G Performance in Malaysia

5G rollout has also propelled an increase in 4G LTE speeds thanks to the modernization of the underlying infrastructure. Improvements in 4G LTE speeds are also partly from offloading 4G traffic to the 5G network, reducing 4G network congestion. 

Speedtest Intelligence data shows that, at a country level, the median download speeds for 4G between Q3 2022 and Q3 2023 have increased from 24.04 Mbps to 36.95 Mbps. Upload speeds on 4G also continued to improve over the same period, albeit slightly. 

As part of the 12th Malaysia Plan (2021–2025), the government is implementing the Jalinan Digital Negara (Jendela) initiative to address the need and demand for better quality fixed and mobile broadband coverage. Operators across Malaysia continue to roll out 4G to adhere to Jendela rollout targets. According to Jendela’s Phase 1 concluding report, 4G Coverage in Populated Areas achieved its target of providing 96.9% coverage by the end of 2022.

While current 4G network performance may meet the needs of most users for everyday tasks, such as browsing, streaming, and online communication, it is still far from the uplift in performance offered by 5G.

Chart of 4G and 5G Performance Comparison in Malaysia

When we compare 5G and 4G performance in Malaysia for Q3 2023, Ookla’s data show that the median 5G download speed (485.25 Mbps) was 13 times faster than that of 4G (36.95 Mbps), while the country’s median 5G upload speed (54.62 Mbps) was 5 times faster than that of 4G LTE (10.61 Mbps).

Customers residing in areas outside of urban areas or in lower-income states may be reluctant to adopt 5G technology, as it may lead to higher subscription and upfront costs compared to previous mobile technologies. To that end, convincing consumers of the transformative advantages offered by 5G becomes pivotal in this context. 

Potential to increase the adoption and usage of 5G technology

Apart from looking at the 5G performance in Malaysia, we also examined the percentage of devices utilizing the 5G network. This was done to gauge consumer uptake of 5G in the country. Using Speedtest Intelligence Q3 2023 data, we compared the proportion of unique devices that conducted consumer-initiated Speedtest using a 5G network to the total number of devices running Speedtest, regardless of network technology.

Chart of Proportion of 5G Connected Devices in Selected Countries

According to our analysis, in Q3 2023, out of all the mobile tests initiated by consumers in Malaysia across all technologies, 30.1% of them were carried out on the 5G network. This suggests that the adoption and usage of 5G technology among the general population in Malaysia still needs to improve. Although Malaysia launched its 5G network later than most neighboring countries in the region, its percentage of 5G users, while lower, is still noteworthy. In comparison, early 5G adopters such as Thailand and Taiwan, which launched their 5G network almost two years ahead of Malaysia, have a slightly higher percentage of devices connected to 5G, at less than 10 percentage points more.

Single wholesale network model levels the playing field 

Unlike Malaysia’s previous 4G era, which followed a conventional approach to network rollout where individual operators owned the spectrum and were responsible for establishing their networks separately, Malaysia’s 5G SWN initiative takes a different approach from the traditional method adopted by most countries.

As stated by DNB, adopting the 5G SWN model can bring about several benefits, one of which is eliminating the duplication of infrastructure. Other advantages include ensuring uniform national coverage and encouraging operators to move towards a more service-oriented business model. While the long-term benefits remain to be seen, upon launch, operators with smaller 4G network footprints can immediately benefit from 5G coverage areas similar to those of larger and more established operators.

Proportion of 5G Connected Devices in Malaysia

Ookla’s data shows that operators with smaller subscriber bases in the country reported a higher percentage of Speedtests performed on 5G-capable devices on the 5G network. Yes, the first operator to enter into an Access Agreement with DNB and the first to launch 5G in Malaysia in Q4 2021 reported the highest percentage at 53.3% in Q3 2023. U Mobile and Unifi, which launched their 5G networks in Q4 2022, reported 40.7% and 38.9% respectively. 

Maxis, one of the larger mobile operators in Malaysia, had 33.0% of tests carried out on 5G. This is a notable uptake considering that Maxis only launched its 5G services in August 2023 after delays in its decision to enter into the Access Agreement with DNB. Both Celcom and Digi reported percentages below 22%.

One of the reasons for the variation in the number of 5G users is that the implementation of the 5G SWN model has enabled relatively smaller mobile players to offer more competitive plans, creating a more equitable playing field in the market. At the time of this report, Yes, U Mobile, and Unifi automatically included 5G services to their current and new customers. In contrast, Maxis, Digi, and Celcom, depending on which current plan their customers are on, imposed an additional surcharge between MYR 10 to MYR 20 (USD 2.20 to USD 4.40) per month for customers on lower-tiered plans to upgrade to a 5G plan.

Proportion of 5G-capable devices shows opportunities for better adoption

As DNB continues to expand its 5G network access to all populated areas across the country, motivating consumers to subscribe to the newer technology is critical. Operators already have a base of consumers who own 5G-capable devices, and we expect to see more consumers investing in 5G-capable devices going forward.

Proportion of Devices taking Speedtest in Malaysia

According to Speedtest Intelligence data, in Q3 2023, over 55% of all tests conducted in Malaysia were carried out on unique 5G-capable devices. Of these devices, 30.1% of the tests were conducted on 5G networks, while the remaining 21.5% were on non-5G networks.

Around 50% of Celcom’s and Digi’s customer bases own 5G-capable devices, but only 16.7% of Celcom’s and 21.6% of Digi’s customers conducted tests on 5G in Q3 2023. Maxis, which has the highest percentage of 5G-capable devices (62.8%), saw only 33% of its customers perform tests on 5G. For these operators, approximately 30% of their customer base that own 5G-capable devices have yet to initiate a Speedtest on the 5G network. There is an opportunity to transition these customers to adopt 5G as they likely have not yet subscribed or reside in areas without 5G coverage. Again, it is important to note that Maxis launched 5G services in August.

Unifi and U Mobile had 18.9% and 12.5%, respectively, of users that own 5G-capable devices yet to take advantage of the 5G network. On the other hand, Yes customers with 5G-capable devices are already benefiting from 5G, with less than 8% of them yet to subscribe to 5G or reside in areas without 5G coverage.

The government’s active participation is instrumental in achieving the national 5G connectivity agenda 

Over the years, Malaysia has consistently invested in enhancing its digital infrastructure. With its National Fiberisation and Connectivity Plan (NFCP) and the MyDIGITAL initiative, it is already ahead of some of its neighbors in terms of connectivity. This groundwork creates a conducive environment for 5G and the readiness to embrace next-gen technology into its digital infrastructure.

Malaysia has adopted a distinctive strategy by implementing a single wholesale 5G model. DNB serves as a neutral party responsible for deploying 5G infrastructure and network across the country. By the end of 2022, the country has achieved its target of providing 40% coverage of populated areas. The performance of 5G technology has been impressive so far, making Malaysia one of the top performers globally. However, DNB has an obligation to expand its coverage to 80% of populated areas by 2024. 5G performance is also expected to decrease over time as network traffic grows and more and more users switch to 5Gs. 

A few pieces of the puzzle still need to fall into place before 5G can be widely adopted in Malaysia. Apart from encouraging users with 5G-capable devices to adopt 5G services, around 45% of tests were carried out on non-5G devices, leaving a significant portion of users in the country still reliant on 4G. To further encourage the adoption of 5G, The Communications and Digital Ministry recently kicked off the 5G Rahmah initiative, where participating operators will now offer more affordable 5G data and device bundle plans to Malaysians, with additional incentives for low-income groups and civil servants.

It is evident that the government and regulatory authorities have a vital role in making 5G accessible to consumers. Now that all operators have agreed to provide 5G services, they also have the responsibility to keep the service’s cost affordable and educate consumers about its benefits. Earlier this year, the Malaysian government announced its plan to transition to a dual network model once the current rollout under DNB has reached the targeted 80% coverage of populated areas. However, the impact of this transition and factors such as the speed of the rollout, 5G adoption, and infrastructure management by operators remains to be determined and requires further assessment.

We will keep a close eye on the progress and effectiveness of 5G implementation in Malaysia. If you are interested in benchmarking your performance or if you’d like to learn more about internet speeds and performance in other markets around the world, visit the Speedtest Global IndexTM.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.

| October 12, 2023

Transforming Connectivity with 5G in The Greater Bay Area

The Greater Bay Area (GBA) in China refers to the integrated city cluster in the Pearl River Delta of South China. Sometimes considered China’s Silicon Valley, it has emerged as one of the most economically developed regions in China, and as such has been at the forefront of its 5G rollout plans.

In this report, we will examine the 5G performance across the Greater Bay Area. We benchmark the results among the eleven cities in the area, focusing in particular on the four major cities of Guangzhou, Hong Kong, Macau, and Shenzhen. 

Key takeaways

  • The Greater Bay Area’s 5G growth is supported by policies and initiatives promoting 5G technology. The Greater Bay Area 5G Industry Alliance and network-sharing agreements are initiatives that foster collaboration among industry stakeholders, while also boosting deployment efficiency. Additionally, subsidy programs further encourage 5G expansion in the GBA. 
  • It is still early days for Macau, but the city’s 5G network has the fastest median download speed in the Greater Bay Area at 383.59 Mbps, while early adopter Hong Kong lags behind with a median download speed of 136.65 Mbps.
  • Improved integration between cities in the Greater Bay Area. Efforts to improve 5G infrastructure and connectivity between cities in the Greater Bay Area result in better coverage in highly populated areas and increased coverage along major connecting roads. Coverage plots show significantly more SS-RSRP samples of better than -92 dBm in Q2 2023 as compared to the previous year.
  • Operators have made strides in expanding 5G coverage within indoor settings. In under a year, over half (51.8%) of Macau’s buildings have reported indoor 5G coverage. Shenzhen (81.5%), Guangzhou (68.2%), and Hong Kong (63.2%) have also seen an increase in the number of buildings with 5G coverage in Q2 2023 compared to the previous year.

Coordinated initiatives and policies driving 5G deployment

The Greater Bay Area encompasses nine cities, including Guangzhou, Shenzhen, Zhuhai, Foshan, Dongguan, Huizhou, Zhongshan, Jiangmen, and Zhaoqing, as well as two Special Administrative Regions, Hong Kong, and Macau. With a population of 87 million, the region’s combined gross domestic product (GDP) was nearly US$2 trillion in 2022, accounting for almost 11% of China’s GDP.

5G technology is integral to China’s government vision and technology policies. The technology is a big part of the country’s development policy and goals for 2021 – 2025, as detailed in its 14th Five-Year Plan for National Plan. Benefiting from the central government policy, the Greater Bay Area has emerged as a thriving hub for established and emerging tech companies and startups. 

Given this dynamic, federal, and local governments are actively promoting 5G technology within the Greater Bay Area. One example is the establishment of the Greater Bay Area 5G Industry Alliance in 2019 by China Mobile Hong Kong, China Mobile Guangdong, CTM, and the Guangdong Communication Industry Association. The alliance members consist of operators, leading companies in the industry, social organizations, academic researchers, and enterprises involved in 5G technology. Their primary goal is to enhance and encourage the development of 5G industries among stakeholders and operators in the GBA region.

The Ministry of Industry and Information Technology (MIIT) in China also facilitated sharing of 5G networks and encouraged commercial partnerships among 5G operators. As a result, China Unicom and China Telecom have signed a cooperation agreement to share their 5G infrastructure. Providing subsidies is also a common tactic regulators and governments use to encourage 5G deployment. In Hong Kong, for example, from May 2020 till the end of December 2022, the Office of the Communications Authority (OFCA) ran a subsidy scheme to encourage various sectors, through financial incentives, to deploy 5G technology.

As a result, the GBA has witnessed significant investments and a rapid rollout of 5G infrastructure. By 2021, all cities in the region have launched 5G networks, with Guangzhou, Shenzhen, and Hong Kong leading the way.

Macau’s early 5G performance impresses

Chart of 5G Performance for All Operators Combined for Greater Bay Area

According to Speedtest Intelligence® Q2 2023 data, Macau outpaced all the other cities in the Greater Bay Area on median download speed, being the only city that topped 300 Mbps at 383.59 Mbps. Despite being the most recent city in GBA to launch its 5G network, operators in Macau began deploying as early as 2020, ahead of being granted their 5G licenses in November of 2022. CTM, one of the providers, stated that their 5G network has been fully operational since June 2021. Macau’s regulatory body, the Macau Post and Telecommunications Bureau (CTT), also mandated as part of the 5G license award that operators must cover 50% of the territory within the first year and provide full coverage within 18 months.

Within Guangdong Province, the nine cities have reported median download speeds ranging from 188 Mbps to 255 Mbps in Q2 2023. The cities of Zhaoqing and Zhongshan are the only cities in the province to report speeds of over 250 Mbps. Zhaoqing has a speed of 254.17 Mbps, while Zhongshan reports a speed of 251.13 Mbps.

Despite being an early adopter of 5G, Hong Kong’s median download speed of 136.65 Mbps in Q2 2023 falls behind the other cities in the GBA. One factor contributing to the lower median download speed is a preference for low bands to fulfill coverage obligations. CMHK, for example, has been deploying its 700 MHz 5G spectrum, enabling better indoor penetration and broader 5G coverage at the expense of median download speed.

Macau operators rank highest for 5G performance in the Greater Bay Area

Chart of 5G Performance Among Providers in Guangzhou, Hong Kong, Macau, and Shenzhen

In this section, we drill down into the operators’ 5G performance in the major cities of Guangzhou, Shenzhen, Hong Kong, and Macau to understand which operators are driving 5G performance in these cities. Speedtest Intelligence data shows considerable variation in the median 5G download speeds across these four cities.

As with any new launches, it is not surprising that the operators in Macau rank higher in terms of performance than those in the other three cities. During Q2 2023, China Telecom in Macau reported a median download performance of 418.13 Mbps, while CTM Macau achieved 374.51 Mbps during the same period. While operators in Macau continue to invest in 5G solutions, it’s worth noting that users could see 5G speeds decline after more and more users join and congestion ticks up.

On the other end of the chart, SmarTone, csl, and Hutchinson in Hong Kong reported speeds of 153.62 Mbps, 122.15 Mbps, and 105.34 Mbps respectively. CMHK tops the 5G operators in Hong Kong with a recorded median download speed of 166.41 Mbps in Q2 2023. Although reporting comparatively slower speeds than its neighboring cities, the number of 5G users in Hong Kong exceeded four million in April 2023, representing over 60% of the population. 

Low latency comes to the fore with 5G

China remains one of the biggest gaming markets globally, with three in ten (29%) Chinese consumers claiming to spend most of their time gaming each week. 5G technology is expected to revolutionize how gamers connect to the internet by providing a much more reliable connection as more casual and serious gamers adopt mobile gaming. This has created a demand for low-latency network connections so gamers can enjoy seamless and lag-free mobile gameplay. Latency, or the reaction time of a connection, is a crucial metric for achieving optimal performance in technologies like gaming, video conferencing, and AR/VR. Aiming for a latency of 59 ms or less is recommended for the best gaming experience.

Chart of 5G Multi-server Latency in the Greater Bay Area

During Q2 2023, gamers in Macau and Hong Kong experienced significantly lower median latency on 5G, with both cities registering latency below 30 ms. Macau emerged ahead with a median latency of 18.22 ms, whereas Hong Kong reported a median latency of 25.97 ms. 

On the other hand, GBA cities in Guangdong Province reported a 5G median latency of over 60 ms during the same time frame. It’s worth noting that approximately 80% of tests conducted in Guangdong Province utilized servers based in Hong Kong and Macau, which influenced the higher latency results in these cities.

While gaming is usually top of mind when we talk about latency, having a low-latency network also plays a crucial role in driving digital transformation and achieving high levels of automation and responsiveness in key industries, such as manufacturing, logistics, and healthcare. The Chinese University of Hong Kong Hospital (CUHK) has partnered with Huawei Hong Kong to establish a 5G smart hospital. CUHKMC is utilizing the high throughput and low latency capabilities of 5G technology to facilitate innovative medical digital transformation. These include remote consultations and collaboration, telemedicine, and other applications to enhance patient treatment experience.

Boosting Cross-Border Connectivity

The Chinese government has implemented several measures to enhance the integration of Hong Kong, Guangzhou, Shenzhen, and Macau, along with the seven other cities in Guangdong Province. To encourage greater mobility across the Greater Bay Area, operators in the region are enhancing infrastructure by building more 5G sites and creating data plans that can be used while roaming within the GBA, reducing cross-border roaming expenses.

Comparing the 5G signal strength using the SS-RSRP metric from Ookla® Cell Analytics™ between Q2 2022 and Q2 2023, shows improvements in terms of 5G coverage in heavily populated areas of the region. The plot indicates significantly more samples along arterial routes connecting the main cities in Q2 2023, with more recorded samples with SS-RSRP of more than -92 dBm.

Similar effort on expanding 5G indoor coverage

With 70 to 80 percent of data traffic projected to be generated indoors, improving indoor coverage and user experience has become a priority, especially in highly dense cities such as those within the Greater Bay Area. China’s Ministry of Industry and Information Technology (MIIT) issued a 5G spectrum license to China Unicom, China Telecom, and China Broadnet to share the 3.3–3.4 GHz band as part of an effort to prioritize 5G indoor coverage. There has also been a significant drive by mobile operators in the GBA to extend 5G coverage to be readily available in public transport infrastructures. In Hong Kong, csl provides 5G network coverage along the MTR lines, with dedicated 5G spectrum on some routes.

Chart of Percentage of Buildings with 5G Coverage in Greater Bay Area

We analyzed data from Ookla® Cell Analytics™ to compare the percentage of buildings in Hong Kong, Macau, Shenzhen, and Guangzhou with reported 5G coverage in Q2 2022 and Q2 2023. Deployment of 5G primarily uses high-frequency spectrums, which poses challenges for indoor penetration. In this analysis, we have only considered buildings taller than 10 meters as they are more likely to be high-rise buildings with in-building solutions such as distributed antenna systems (DAS) or served by sites nearby.

Macau, which did not have any commercial 5G network a year prior, undeniably has the most significant increase in the percentage of buildings with 5G coverage over the past year. The operators in the city have managed to provide 5G coverage to more than 50% (51.8%) of the city’s buildings in less than a year.

Shenzhen, Guangzhou, and Hong Kong also saw increased buildings with reported 5G coverage. Shenzhen and Guangzhou had 81.5% and 68.2% of buildings with reported 5G coverage in Q2 2023, respectively, equating to an 18.2% and 17.4% increase from the previous year. Hong Kong, one of the most densely populated cities in the world, reported a total of 63.2 % of buildings with 5G indoor coverage in Q 2023, an increase from 55.5 % a year before. Operators’ use of sub-1 GHz frequencies in 5G deployment is one of the contributing factors to the reported increase in in-building 5G coverage. 

The outlook for the Greater Bay Area

The Greater Bay Area has embraced 5G technology, unlocking its potential to revolutionize various industries and drive automation and digitalization, and will continue to be a key driver of China’s economic growth. The region’s 5G network infrastructure has brought transformative opportunities across diverse sectors. However, there are still improvements to be made in terms of in-building coverage and implementation of more advanced 5G use cases. We will closely monitor the progress and implementation of 5G technology within the Greater Bay Area. If you are interested in benchmarking your performance or want to learn more about internet speeds and performance in other markets worldwide, visit the Speedtest Intelligence®.

Ookla retains ownership of this article including all of the intellectual property rights, data, content graphs and analysis. This article may not be quoted, reproduced, distributed or published for any commercial purpose without prior consent. Members of the press and others using the findings in this article for non-commercial purposes are welcome to publicly share and link to report information with attribution to Ookla.