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Within five years, 39% of mobile users in India will be using 5G, according to an Ericsson report.

Ericsson expects 500 million 5G mobile users in India by 2027, accounting for 39 percent of the total customer base.

This insight is part of a mobility report released by the Swedish telecoms equipment maker on Tuesday.

“It is estimated that the total mobile data traffic in the Indian region will grow by a factor of 4 between 2021 and 2027. This is due to the high growth in the number of smartphone users and the increase in average usage per smartphone. Average data traffic per smartphone in the region Hindi is the second highest globally.It is expected to grow from 20GB in 2021 to around 50GB per month in 2027 – a compound annual growth rate of 16 percent,” said Thiaw Sing Ng, Head of Network Development at Ericsson, Southeast Asia Oceania and India.

While 4G contributes around 68 percent of total mobile subscriptions in India, its contribution is expected to decline to 55 percent in 2027. Annual 4G subscriptions are also expected to drop to an estimated 700 million in 2027 as subscribers migrate to 5G after the introduction of 5G in India, she said.

Globally, 5G will account for nearly half of mobile phone subscriptions by 2027 accounting for 4.4 billion subscriptions. Eighty percent of this growth will come from shifting from 5G-enabled devices to 5G, while a smaller contribution will be made by fixed wireless access and restricted private networks. Interest among companies to use 5G services remains high, and a study by Ericsson and research consultancy Omdia found that 52 percent of companies want to start using 5G within the next 12 months.

Commercial 5G services are expected to be rolled out in India in August. A spectrum auction will take place on July 26 with companies bidding for airwaves in multiple bands.