Are 5G Phones Ahead Of Infrastructure In 2020?


In the telecommunications world, 5G is already here. The quicker technology is seen as changing the smartphone industry. Stocks in the major players, such as Apple, Inc.  (NASDAQ: AAPL), Samsung Electronics (NASDAQ: SSNLF) and unlisted Huawei, may be a savvy 5G phones investment, but it may also be too early in North America. It makes 5G phones investment vital, but complicated by global market share competition.

The competition is so fierce that Samsung yesterday replaced the leader of its smartphone business because competitor Huawei Technologies has closed in on their marketshare, according to a report by Reuters.  5G smartphones and their underlying infrastructure are key factors.

Currently, Samsung is the smartphone global market leader with a 21% share in Q3 2019, but Huawei has edged up to 18%. In 2020, Hauwei is seen boosting its 5G-capable smartphones and technology equipment this year. Analysts on the site pointed out to Hauwei’s large home market business.

40% Share Of Chinese Market

One benefit to Samsung in this battle is that in May 2019 Huawei was banned from doing business with most United States business. Despite that, Hauwei’s share of the smartphone business has been growing to an almost 40% share of the domestic market..  All of this makes 5G phones investment even more complicated for the investor.

Despite a global sales drop, the company recorded a 24% jump in sales of its smartphones to 118 million units in the domestic Chinese market in the first half of 2019., according to a report by Reuters.

The 5G phones are already here. According to website Gizchina, some 5 million 5G smartphones were sold in China in December 2019. It is estimated by the article that this included 5.414 5G mobile phones were shipped. In China, in full year 2019 13.7 million units were shipped. Statistics project that 20% of all commercial smartphones by 2021 will be connected via 5G, it said.

5G Phones Investment

While the telecommunications industry is already working on infrastructure for 5G, site whatsag believes that the phones may be ready faster than support towers. As a result, some consumers and businesses in North America may be left behind in the 4G world. A paradigm shift in phones and beyond — think cars, cable to homes — could be impacted, according to the site.

Speed will initially be the selling appeal of 5G technology, but 5G phones investment to Wall Street is only part of a larger infrastructure. 5G technology will impact TV signals and disrupt cable TV and internet packages. It will be a very fluid marketplace for 5G phones investment.

4G Staying Power

Due to less new infrastructure, especially in rural and less populated areas, the site believes that some consumers may be using 4G and even 3G towers into the future. They are slower towers, but they push their signal out further. The result is that telecommunications marketers may be selling 4G phones into the 5G timeline until infrastructure catches up to the newest technology. From the standpoint of 5G phones investment, investors will have to determine how the 4G staying power in certain markets restrains the growth of 5G phone publicly held suppliers.