China is leading the race in the development of 5G, the next generation of wireless connectivity, potentially making it the “undisputed leader” in the tech area for the first time ever, according to analysts cited by CNBC.
“In the U.S., we’ve got intense competitive rivalry between the leading players which is accelerating investment in 5G,” Ben Wood, chief of research at CCS Insight, a market analysis firm, told CNBC. “And in China there is absolutely no question that they see an opportunity to innovate their own 5G, which would be the first generation of technology where they could really be the undisputed leader.”
Declan Ganley, CEO of Rivada Networks, a U.S.-based telecommunications company, said “China has the edge in 5G” because “Europe and the U.S. inherited a ‘top down’ model of all-encompassing wireless conglomerates that have become a rent seeking spectrum oligopoly.”
“‘Top down’ is what China does best and what the West does worst,” he continued, according to CNBC.
All five commissioners for the Federal Communications Commission voiced their disapproval over the prospect of nationalizing the process of creating and organizing 5G technical networks. Their opinions were prompted by an Axios report that claimed the Trump administration was considering a federal take over, or a “top down” operation, referencing a leaked powerpoint and memo.
Wood says that while the U.S. is behind China, Europe is way behind both countries.
5G, and its ultimate wide-scale implementation, is critical for countries because it will inevitably lead to a higher density of mobile broadband users without adding to the latency of computing — much like the jumps from 2G to 3G and 3G to 4G experienced. Therefore, the amount of technological possibilities, generally known as the Internet of Things (IoT), could reach fruition sooner rather than later — resulting in a continuous proliferation of amazing features that will make hospitals and homes artificially intelligent, and cultivate the development of autonomous vehicles and innovative education environments. (RELATED: Tech CEO: We May Soon Be Able To Spot ‘Cancer Several Months Before It Occurs’)
China, which has a highly paternalistic relationship with domestic quasi-private companies, has seen steady progress. The massive Chinese telecommunications equipment company ZTE is reportedly fundraising billions of dollars in an apparent attempt to speed ahead in 5G production. And, Huawei, another powerful Chinese tech corporation, is making major headway in the field by launching partnerships with countries through Asia and Europe, while also collecting substantial investments.
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