In the era of globalization when the world has become a small village following the advent of science and technology that in turn bears prompt mobile system, socio-economic and business networking has become as important as breathing oxygen.
Prior to seeking viable information from experts and professionals about the significances of the fastest networking through mobile phones and other indispensible gadgets, this writer would like to jot down the practical experience he has recently had.
The other day I wanted to purchase a small refrigerator and went to the bank nearby at around quarter past six. As it was too late to garner bank service, I had to check the Automatic Telling Machine (ATM), but it was dysfunctional unfortunately for unknown reason. I tried to use mobile banking which I have never tested before that specific incidence following the consultation with which I was provided by the seller how to apply.
Amazingly, the 18,000 Birr was transferred to the seller’s account in no time without any touch of cash. This was done at the time when the country has been entertaining 4G mobile networking. From this, one can easily imagine the economic significance of 5G as its connection and application is much faster and reliable than the former.
This idea is absolutely supported by Ethio Telecom CEO, Frehiwot Tamru as she recently stated during the launching ceremony of the 5G network. As to her, 5G is of paramount importance in reinvigorating the socio-economic development of the country. She said, “5G network is currently the fastest and most robust technology the world has ever seen as the network provides data speeds up to 100 times faster than 4G. This helps key sectors of the economy, including health, education, agriculture, manufacturing; mining, construction, smart city, transportation and tourism enjoy transforming.”
This writer had a short stay with a software engineer, Daniel Kiros and posed questions on him related to the modern technology especially the very recent 5G advent. He said, “The latest technological employment has provided diverse sectors with an opportunity to enhance their competitiveness and contribution to regional economies powered by both established and emerging technologies, including the internet, artificial intelligence, advanced data analytics and process automation.”
According to Daniel, industrial revolutions have been characterized by the transformation of physical infrastructure networks. The contemporary industrial revolution’s full potential will be fully realized through the wide-scale deployment of 5G communication networks.
He said, “5G will be critical because it will enable unprecedented levels of connectivity, upgrading 4G networks with five key serviceable movers: superfast broadband, ultra-reliable low latency communication, massive machine-type communications, high reliability and efficient energy usage. These defining features will thus transform many sectors, such as manufacturing, transportation, public services, health and other related spheres.”
Yes, 5G will lead to the creation of industries not yet imagined. There are tangible and realizable acceleration opportunities to speed up the deployment, economic progress, socio-cultural and other related viable processes and maximize the benefits with which citizens can be provided, Daniel said.
Citing findings of researches, Daniel explained that 5G is the world’s next technological breakthrough and hugely significant upon the countries’ economy. The economic benefit driven by 5G is worth citing. The 5G has the potential to create or transform millions across all sectors of the economy as using 5G, he said, countries’ economy will drive to additional gross output (sales) growth, add GDP and multiplier effects to every industry.
“Over the past decade, as 5G was first imagined, then developed, and then launched, those of us in the tech and telecommunications industries became increasingly excited by its potential. We knew from an early stage that 5G would make digitalization more accessible, allowing small businesses, public services and even individual households to reap the benefits of smart products and services. But what we didn’t know was exactly what those products and services would look like. Now we know that 5G’s speed, reliability and scale are already unlocking huge social and economic gains. This is the future – and Nokia is delighted to play its part,” said Rajeev Suri President and Chief executive officer of Nokia.
Speaking to BBC, an Ethiopian economist and Global Chairman, Fairfax Africa Fund, Zemedeneh Nigatu stated that 5G has the capacity to handle 1 million devices per square kilometer. It is widely useful in benefiting insurance companies’ stock markets in many countries including Ethiopia. It is also of beneficial to business community from a viable connection.
As to him, the government has embarked on the digital technology to assist the economic progress of the country. Today only three countries of the African continent do have 5G network namely: Kenya, Nigeria and South Africa. Ethiopia has joined this group to have a comparative advantage at the head of curve. The introduction of the 5G can be a game changer in the industrial sector centering the telecom industry.
Networking is an essential part of our everyday lives as it increases working productivity, represents a central means of social interchange and enables financial transactions to foster, Zemedeneh added.
He said, “The global impact of 4G brought about increases in mobile usage and network performance. 5G will build on this momentum, bringing substantial network improvements, including higher connection speeds as well as mobility and capacity. Hence, 5G’s full socio-economic impact is dependent on access to a variety of spectrum resources.”
As to Zemedeneh, it is widely accepted that technology is the key driver of economic growth of countries as it allows them to come up with more efficient production of more and better goods and services on which prosperity and change depends.
“Potential contributions of 5G may impact higher education, job creation and economic growth. Clearly, there are links between education, research and development, innovation and economic activity that are part of the process countries aim to uncover,” he added.
Undeniably, he said, technology encompasses a huge body of knowledge and tools that ease the use of economic resources as a way to efficiently and innovatively produce goods and services. Yes, technological process is of paramount importance in beefing up growth and development, and the more advanced technologies available, the quicker the improvement of local, regional as well as global economy. In simple terms, one is tired of listing merits of technology for economic advancement.
All the above significances of technology for economic advancement is highly supported by Elena Kvochko, a Manager of Information Technology Industry at the World Economic Forum citing five major and common economic effects of ICT. These are:
Direct job creation—The ICT sector is, and is expected to remain, one of the largest employers. In many countries computer and information technology jobs are growing as building and running the new super-fast broadband networks supports a number of jobs seekers. Contribution to GDP growth—increase in broadband penetration is associated with rise in GDP growth in emerging markets. The doubling of mobile data use caused by the increase in G connections boosts GDP per capita growth rate. Emergence of new services and industries—numerous public services have become available online and through mobile phones. The transition to cloud computing is one of the key trends for modernization. ICT has enabled the emergence of a completely new sector like Facebook apps, which are creating numerous jobs contributing to the economy of countries. Workforce transformation—new “micro-work” platforms, developed by companies like Amazon and Samasource, help divide tasks into small components that can then be outsourced to contract workers. The contractors are often based in emerging economies. Micro-work platforms allow entrepreneurs to significantly cut costs and get access to qualified workers. ICT has also contributed to the rise of entrepreneurship, making it much easier for self-starters to access best practices, legal and regulatory information, marketing and investment resources and business innovation—The Internet provides companies and businesses with new ways of reaching out to customers and competing for market share. Over the past few years, for instance, social media has established itself as a powerful marketing tool. ICT tools employed within companies help streamline business processes and improve efficiency.
In sum, though new technology is instrumental in making communication easier, faster and more effective, helping manufacturing techniques record scores, minifying wastage, developing new, innovative approaches, fostering effective marketing and promotion as well as paving new sales avenues, it is important to note that it is not with zero drawbacks as technology itself has, among others, caused increased dependency, increased risk of job cuts, closure of high street stores in favor of online business, security risk in relation to data and fraud.
BY MENGESHA AMARE
THE ETHIOPIAN HERALD WEDNESDAY 18 MAY 2022
