4 ms·

So who will pay for it? The customers won’t directly pay more. In Germany lobbying towards subsidies is underway. I assume either that will be successful or we

by rmoriz 8y ago

So who will pay for it? The customers won’t directly pay more. In Germany lobbying towards subsidies is underway. I assume either that will be successful or we just have to wait until UTMS investments paid off...

ksec 8y ago
The users will paid for it, without noticing. Carriers don't paid the billions in one go and hoping to recoup their investment. It hasn't been working like this for long. Your Carriers basically sign agreement to rent lot of things. Rent for Datacenter, Rent For Fibre if they are not an ISP themselves ( Which is very rare now ), Rent for Outbound Network Connection, Rent for all the Cellular site ( That is why property pricing has an effect on Mobile Pricing ), Rent for the Retails Shops, Rent for Spectrum, Rent for the Services Agreement with Infrastructure provider, which today is either Huawei, Ericsson or Nokia. Along with their own staff. As you see they are all pretty much a fix cost to achieve a services level requirement by law. You have been paying for the Services agreement to Infrastructure, and as long as you continue to paid, under the accepted condition Huawei, Ericsson and Nokia will continue the hardware and software investment as well as Network tuning. So if you are paying $100 per month, and $30 had been going to Nokia / Huawei / Ericsson, as long as you paid the same, there will be money for future upgrade. And one of the reason why you see many countries has Carriers consolidated to three, becasue the nature of carriers business requires certain minimum amount of revenue to be sustainable. Note: Of coz this is an over simplified description. But it basically shows you don't need to paid a lot more to get 5G.
- petra 8y ago
  If the hardware companies already get their rent, what incentivized them to invest so much in 5G r&d ?
  - ksec 8y ago
    Because if they don't have something new, the rental will drop. And Carriers are always asking for more capacity, there are also lots of improvement for the backend which makes ( or suppose to ) things cheaper and easier to manage, most of them normal users don't get to see.
deleted 8y ago
[deleted]

by rmoriz 8y ago

ksec 8y ago

The users will paid for it, without noticing. Carriers don't paid the billions in one go and hoping to recoup their investment. It hasn't been working like this for long. Your Carriers basically sign agreement to rent lot of things. Rent for Datacenter, Rent For Fibre if they are not an ISP themselves ( Which is very rare now ), Rent for Outbound Network Connection, Rent for all the Cellular site ( That is why property pricing has an effect on Mobile Pricing ), Rent for the Retails Shops, Rent for Spectrum, Rent for the Services Agreement with Infrastructure provider, which today is either Huawei, Ericsson or Nokia. Along with their own staff. As you see they are all pretty much a fix cost to achieve a services level requirement by law. You have been paying for the Services agreement to Infrastructure, and as long as you continue to paid, under the accepted condition Huawei, Ericsson and Nokia will continue the hardware and software investment as well as Network tuning. So if you are paying $100 per month, and $30 had been going to Nokia / Huawei / Ericsson, as long as you paid the same, there will be money for future upgrade. And one of the reason why you see many countries has Carriers consolidated to three, becasue the nature of carriers business requires certain minimum amount of revenue to be sustainable. Note: Of coz this is an over simplified description. But it basically shows you don't need to paid a lot more to get 5G.

petra 8y ago
If the hardware companies already get their rent, what incentivized them to invest so much in 5G r&d ?
- ksec 8y ago
  Because if they don't have something new, the rental will drop. And Carriers are always asking for more capacity, there are also lots of improvement for the backend which makes ( or suppose to ) things cheaper and easier to manage, most of them normal users don't get to see.

deleted 8y ago

[deleted]