The fifth generation of mobile connectivity is coming. When 5g is promoted in the UK and even around the world, it will mark an important turning point for many industries, especially real estate.
Now, some might say that 5g has arrived – the fact that leading mobile networks are certainly keen to promote. However, the current connectivity is closer to the powerful 4G, but still far from the real potential of 5g.
The government has set a target to ensure that 5g will be available to the “majority” by 2027. This will require a lot of investment in infrastructure – two years ago, the government’s national infrastructure and construction pipeline launched 11 digital infrastructure projects and plans with a total value of 6.8 billion pounds to expand 5g (and ultra fast all fiber broadband) coverage in the UK and Northern Ireland.
Obviously, mobile connectivity will change significantly in the next five years. When properly established, 5g is expected to be 100 times faster than the typical 4G technology, while the speed of mobile Internet will exceed 10 gigabits per second (Gbps).
For consumers, this means browsing, downloading and streaming without delay. However, more importantly, the arrival of 5g will attract people’s attention in different industries. The most important is the development of the so-called “smart city” and the operation of property from the social and commercial perspectives.
5g, Internet of things and smart city
It is better to understand 5g as a contributing factor. Technology itself is not groundbreaking. Instead, it will provide the connectivity needed to transmit and analyze large amounts of data.
Therefore, the launch of 5g will in turn help enterprises and governments release the potential of the Internet of things (IOT), a mature field of digital innovation in which everyday objects are equipped with sensors and technologies, allowing them to communicate and share data through Internet connections. IDC, a technology analyst, predicts that by 2025, there will be more than 41 billion IOT connected devices in the world. Faster and more reliable mobile connections open many new possibilities for the IOT world, thus promoting the rapid development of smart cities.
The term “smart city” is a bit jargon and controversial. It actually refers to urban areas that use technology, data and sensors to operate in a more efficient way. From traffic lights that vary according to the traffic flow at specific intersections to street lights that automatically dim or light up according to the usage of pedestrians, real-time data transmission through 5g network can help save money, reduce waste, combat crime, reduce carbon emissions and improve people’s daily life.
How will real estate be affected?
There is no doubt that the combination of 5g and Internet of things equipment will become one of the decisive technology trends affecting the real estate industry in the next few years. Therefore, today’s real estate developers (whether residential or commercial real estate) must be aware of how to make the best use of this field of digital innovation to create modern architecture or space.
The core of 5g will make the property itself more intelligent. Through the development of built-in sensors between different rooms and functions, the building will be able to convey its state and its behavior. Some of the more common examples of residential spaces include automated processes, such as changing lighting and heating settings based on the time people spend in the room; monitoring energy use to improve efficiency; and ensuring the safety of all external doors and windows.
In the field of commercial real estate, due to the emergence of covid-19, the remote workload is growing exponentially. Therefore, in the future, many organizations may adopt a mixed mode of operation, in which the staff will spend their time in the office and at home. To help manage this flexible way of working, desks can be filled with sensors that will report when they are available, while analyzing the entire office to assess where space is used or not.
In the next few years, this combination of automated processes will enable real estate to learn and develop over time to become more efficient and user-friendly, and provide more data-based insights for building owners, users or developers who take action, which will surely become a pillar of the industry.
As with any new technology trend, the key for stakeholders in the industry is to determine the direction of the market and ensure that they are always ahead of their competitors.
Editor in charge: PJ