As the world's key players in fifth-generation wireless technology are grappling to secure a share of the lucrative market, a new contender is fast emerging.
Samsung Electronics bagged its biggest 5G contract yet – a $6.6 billion deal with the US operator Verizon Communications – and is emerging as a strong player in the 5G market, analysts say.
The deal underscores Samsung's 5G ambitions, enabling it to fill the gaps left by the Chinese behemoth Huawei in some markets while giving tough competition to leading European players Ericsson and Nokia, according to experts.
It is already the biggest player for 5G equipment in its home market … the Verizon deal could help it secure more lucrative contracts in future
"If Huawei is not allowed in key markets then Samsung will [benefit] as operators will try to find an alternative ... it has the technology and the Verizon deal shows it is also competitive," Joao Sousa, senior partner at advisory and investment firm Delta Partners, said.
Verizon contract, which was finalised last month and is valid from June 30 through to December 2025, is one of Samsung's most significant 5G contracts outside its home country.
It comes at a time when Huawei is struggling with US trade sanctions and Washington aggressively lobbying its allies to exclude the Chinese company’s equipment from their core networks.
Samsung could pick up “some new business, given the Huawei's current predicament”, Matthew Kendall, chief telecoms analyst at the Economist Intelligence Unit, said.
“It is already the biggest player for 5G equipment in its home market … the Verizon deal could help it secure more lucrative contracts in future. It is also second only to Huawei in terms of 5G patents.”
By November last year, Samsung had more than 2,800 declared 5G patents, second only to Huawei that had 3,325 patents, according to intellectual property group IPlytics.
Besides Verizon, Samsung has won global deals with Sprint, AT&T and US Cellular in the US, KDDI in Japan, Spark in New Zealand and Telus and Videotron in Canada.
Samsung is also flexing its muscles in India – one of the biggest telecom markets in the world. It is working with Reliance Jio, the country’s biggest network, and the government-run Bharat Sanchar Nigam Limited to secure future 4G and 5G deals.
Over the past few years, the world’s largest memory chip and smartphone maker as of the end of 2019, has been looking to expand its presence in the global telecom equipment market.
Despite investing in the sector for nearly a decade, Samsung has not been able to gain much traction, said Neil Campling, co-head of Mirabaud Securities’ Global Thematic Group.
"That could all change with the Huawei ban, especially as one of the other remaining options is also Chinese [ZTE] … Samsung's leadership in smartphones, semiconductors and display technology are all complimentary in the 5G race," Mr Campling said.
Currently, five large vendors – Ericsson, Huawei, Nokia, ZTE and Samsung – are supplying 5G radio network equipment such as base stations of core networks to the telecom operators worldwide.
“If an operator wishes to have a competitive tendering process with a few vendors, then Samsung is likely to be contention if companies from China [Huawei and ZTE] are excluded,” Ian Fogg, vice president, analysis, at UK-based research group Opensignal said.
“Samsung benefits from being based in South Korea that had very early 5G launches on all three operators in April 2019, high average 5G download speeds averaging over 300Mbps as well as high 5G adoption rate,” he added.
A 5G network promises an internet speed of up to 1.2 gigabits per second, which will gradually reach 10Gbps – more than 100 times faster than 4G.
At a cost of $700bn to $900bn, the initial installations of 5G will cover only 25 per cent of the world's population by 2030, or about 2 billion people, according to McKinsey.
The consultancy predicts the coverage will be focused largely in wealthy and developed areas in the US, Europe and China.
Samsung’s total telecom equipment share has roughly doubled over the past three years, now accounting for around 3 per cent of the overall market, according to the US research firm Dell’Oro Group.
Samsung is catching up further as Huawei loses out on new mobile broadband opportunities in Japan, India, Korea and in parts of Europe, Stefan Pongratz, a 5G expert and vice president at Dell'Oro Group, told The National.
Samsung will have to work on its feature competitiveness, lack of scale and ... cost competitiveness to replace Huawei
“Some of this is already showing up in the numbers … with particularly Ericsson, Nokia, and Samsung benefitting in some markets … Huawei’s market share outside of China has stabilised and it is possible these trends might have differed without the US government interference,” he added.
If banned, Huawei will leave a "big gap in key markets" that will have to be bridged by its competitors, Neil Shah, vice president of research at Counterpoint Research, said.
“This has somewhat benefited Samsung in those 5G markets that are less cost competitive such as the US,” Mr Shah said. “However, in other markets Samsung will have to work on its feature competitiveness, lack of scale and ... cost competitiveness to replace Huawei.”
Although Huawei is losing some ground, “it will not be easier to fill its shoes”, Mr Pongratz said.
“Huawei is a technology leader with a very deep and broad mobile infrastructure equipment and services portfolio addressing not just the use cases of today but also of tomorrow,” he said.
Given the length of time that Nokia and Ericsson have been involved in equipment manufacturing, and for the purposes of continuity and compatibility, some operators may be cautious when choosing the European manufacturers, analysts said.
Huawei and Ericsson - which have long focused on 5G networks - have also devoted billions of dollars towards research and development. But it is not clear whether Samsung can plough in similar resources to effectively substitute Huawei and its competitors, Mr Kendall said.
“Samsung has a major challenge in terms of capabilities to support operators in network roll-out and operations … operators that are likely to adopt Samsung are the ones that [already] have in-house network deployment and operational capabilities,” said Mr Sousa.
Samsung will have a strong opportunity in South Korea, US, Canada, Australia and in some European markets. However, it could struggle in China, Africa and in some Middle East markets, according to Delta Partners.
Telecom operators in at least 14 countries are currently reassessing their reliance on Huawei’s RAN (radio access networks) portfolio, according to Dell’Oro. These markets include Australia, Brazil, Germany and the UK, that constitute nearly one-third of the global RAN market.
We are still at the beginning of the 5G era, which will likely last for at least ten years, Mr Fogg said, adding that the vendors like Samsung, should focus on meeting long-term market challenges.
“The 5G services we see today are based on early versions and users’ experience will leap forward in the coming years.”
“The race to 5G is a marathon that will last for years to come … vendors must ensure they are ahead in enabling fantastic experiences throughout the 5G era,” he added.
UAE currency: the story behind the money in your pockets
Read more about the coronavirus
WOMAN AND CHILD
Director: Saeed Roustaee
Starring: Parinaz Izadyar, Payman Maadi
Rating: 4/5
TECH%20SPECS%3A%20APPLE%20IPHONE%2014%20PLUS
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How to help
Donate towards food and a flight by transferring money to this registered charity's account.
Account name: Dar Al Ber Society
Account Number: 11 530 734
IBAN: AE 9805 000 000 000 11 530 734
Bank Name: Abu Dhabi Islamic Bank
To ensure that your contribution reaches these people, please send the copy of deposit/transfer receipt to: juhi.khan@daralber.ae
2024%20Dubai%20Marathon%20Results
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Yuki Means Happiness
Alison Jean Lester
John Murray
The essentials
What: Emirates Airline Festival of Literature
When: Friday until March 9
Where: All main sessions are held in the InterContinental Dubai Festival City
Price: Sessions range from free entry to Dh125 tickets, with the exception of special events.
Hot Tip: If waiting for your book to be signed looks like it will be timeconsuming, ask the festival’s bookstore if they have pre-signed copies of the book you’re looking for. They should have a bunch from some of the festival’s biggest guest authors.
Information: www.emirateslitfest.com
BUNDESLIGA FIXTURES
Friday (all kick-offs UAE time)
Hertha Berlin v Union Berlin (10.30pm)
Saturday
Freiburg v Werder Bremen (5.30pm)
Paderborn v Hoffenheim (5.30pm)
Wolfsburg v Borussia Dortmund (5.30pm)
Borussia Monchengladbach v Bayer Leverkusen (5.30pm)
Bayern Munich v Eintracht Frankfurt (5.30pm)
Sunday
Schalke v Augsburg (3.30pm)
Mainz v RB Leipzig (5.30pm)
Cologne v Fortuna Dusseldorf (8pm)
ESSENTIALS
The flights
Emirates flies from Dubai to Phnom Penh via Yangon from Dh2,700 return including taxes. Cambodia Bayon Airlines and Cambodia Angkor Air offer return flights from Phnom Penh to Siem Reap from Dh250 return including taxes. The flight takes about 45 minutes.
The hotels
Rooms at the Raffles Le Royal in Phnom Penh cost from $225 (Dh826) per night including taxes. Rooms at the Grand Hotel d'Angkor cost from $261 (Dh960) per night including taxes.
The tours
A cyclo architecture tour of Phnom Penh costs from $20 (Dh75) per person for about three hours, with Khmer Architecture Tours. Tailor-made tours of all of Cambodia, or sites like Angkor alone, can be arranged by About Asia Travel. Emirates Holidays also offers packages.
UK's plans to cut net migration
Under the UK government’s proposals, migrants will have to spend 10 years in the UK before being able to apply for citizenship.
Skilled worker visas will require a university degree, and there will be tighter restrictions on recruitment for jobs with skills shortages.
But what are described as "high-contributing" individuals such as doctors and nurses could be fast-tracked through the system.
Language requirements will be increased for all immigration routes to ensure a higher level of English.
Rules will also be laid out for adult dependants, meaning they will have to demonstrate a basic understanding of the language.
The plans also call for stricter tests for colleges and universities offering places to foreign students and a reduction in the time graduates can remain in the UK after their studies from two years to 18 months.
COMPANY PROFILE
Name: Lamsa
Founder: Badr Ward
Launched: 2014
Employees: 60
Based: Abu Dhabi
Sector: EdTech
Funding to date: $15 million
Sole survivors
- Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
- George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
- Bahia Bakari, then 12, survived when a Yemenia Airways flight crashed near the Comoros in 2009, killing 152. She was found clinging to wreckage after floating in the ocean for 13 hours.
- Jim Polehinke was the co-pilot and sole survivor of a 2006 Comair flight that crashed in Lexington, Kentucky, killing 49.
Kill%20
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Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
if you go
'HIJRAH%3A%20IN%20THE%20FOOTSTEPS%20OF%20THE%20PROPHET'
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More from Rashmee Roshan Lall
Brief scores:
Toss: Northern Warriors, elected to field first
Bengal Tigers 130-1 (10 ov)
Roy 60 not out, Rutherford 47 not out
Northern Warriors 94-7 (10 ov)
Simmons 44; Yamin 4-4
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
CONFIRMED%20LINE-UP
%3Cp%3EElena%20Rybakina%20(Kazakhstan)%0D%3Cbr%3EOns%20Jabeur%20(Tunisia)%0D%3Cbr%3EMaria%20Sakkari%20(Greece)%0D%3Cbr%3EBarbora%20Krej%C4%8D%C3%ADkov%C3%A1%20(Czech%20Republic)%0D%3Cbr%3EBeatriz%20Haddad%20Maia%20(Brazil)%0D%3Cbr%3EJe%C4%BCena%20Ostapenko%20(Latvia)%0D%3Cbr%3ELiudmila%20Samsonova%0D%3Cbr%3EDaria%20Kasatkina%E2%80%AF%0D%3Cbr%3EVeronika%20Kudermetova%E2%80%AF%0D%3Cbr%3ECaroline%20Garcia%20(France)%E2%80%AF%0D%3Cbr%3EMagda%20Linette%20(Poland)%E2%80%AF%0D%3Cbr%3ESorana%20C%C3%AErstea%20(Romania)%E2%80%AF%0D%3Cbr%3EAnastasia%20Potapova%E2%80%AF%0D%3Cbr%3EAnhelina%20Kalinina%20(Ukraine)%E2%80%AF%E2%80%AF%0D%3Cbr%3EJasmine%20Paolini%20(Italy)%E2%80%AF%0D%3Cbr%3EEmma%20Navarro%20(USA)%E2%80%AF%0D%3Cbr%3ELesia%20Tsurenko%20(Ukraine)%0D%3Cbr%3ENaomi%20Osaka%20(Japan)%20-%20wildcard%0D%3Cbr%3EEmma%20Raducanu%20(Great%20Britain)%20-%20wildcard%3Cbr%3EAlexandra%20Eala%20(Philippines)%20-%20wildcard%3C%2Fp%3E%0A
Essentials
The flights
Etihad and Emirates fly direct from the UAE to Delhi from about Dh950 return including taxes.
The hotels
Double rooms at Tijara Fort-Palace cost from 6,670 rupees (Dh377), including breakfast.
Doubles at Fort Bishangarh cost from 29,030 rupees (Dh1,641), including breakfast. Doubles at Narendra Bhawan cost from 15,360 rupees (Dh869). Doubles at Chanoud Garh cost from 19,840 rupees (Dh1,122), full board. Doubles at Fort Begu cost from 10,000 rupees (Dh565), including breakfast.
The tours
Amar Grover travelled with Wild Frontiers. A tailor-made, nine-day itinerary via New Delhi, with one night in Tijara and two nights in each of the remaining properties, including car/driver, costs from £1,445 (Dh6,968) per person.
Ferrari 12Cilindri specs
Engine: naturally aspirated 6.5-liter V12
Power: 819hp
Torque: 678Nm at 7,250rpm
Price: From Dh1,700,000
Available: Now
MATCH INFO
Qalandars 112-4 (10 ovs)
Banton 53 no
Northern Warriors 46 all out (9 ovs)
Kumara 3-10, Garton 3-10, Jordan 2-2, Prasanna 2-7
Qalandars win by six wickets
Specs
Engine: Duel electric motors
Power: 659hp
Torque: 1075Nm
On sale: Available for pre-order now
Price: On request
In-demand jobs and monthly salaries
- Technology expert in robotics and automation: Dh20,000 to Dh40,000
- Energy engineer: Dh25,000 to Dh30,000
- Production engineer: Dh30,000 to Dh40,000
- Data-driven supply chain management professional: Dh30,000 to Dh50,000
- HR leader: Dh40,000 to Dh60,000
- Engineering leader: Dh30,000 to Dh55,000
- Project manager: Dh55,000 to Dh65,000
- Senior reservoir engineer: Dh40,000 to Dh55,000
- Senior drilling engineer: Dh38,000 to Dh46,000
- Senior process engineer: Dh28,000 to Dh38,000
- Senior maintenance engineer: Dh22,000 to Dh34,000
- Field engineer: Dh6,500 to Dh7,500
- Field supervisor: Dh9,000 to Dh12,000
- Field operator: Dh5,000 to Dh7,000
The biog
Hobby: "It is not really a hobby but I am very curious person. I love reading and spend hours on research."
Favourite author: Malcom Gladwell
Favourite travel destination: "Antigua in the Caribbean because I have emotional attachment to it. It is where I got married."
SPECS
Nissan 370z Nismo
Engine: 3.7-litre V6
Transmission: seven-speed automatic
Power: 363hp
Torque: 560Nm
Price: Dh184,500
Favourite things
Luxury: Enjoys window shopping for high-end bags and jewellery
Discount: She works in luxury retail, but is careful about spending, waits for sales, festivals and only buys on discount
University: The only person in her family to go to college, Jiang secured a bachelor’s degree in business management in China
Masters: Studying part-time for a master’s degree in international business marketing in Dubai
Vacation: Heads back home to see family in China
Community work: Member of the Chinese Business Women’s Association of the UAE to encourage other women entrepreneurs
MATCH INFO
Sheffield United 3
Fleck 19, Mousset 52, McBurnie 90
Manchester United 3
Williams 72, Greenwood 77, Rashford 79
The Equaliser 2
Director Antoine Fuqua
Starring: Denzel Washington, Bill Pullman, Melissa Leo, Ashton Sanders
Three stars
BABYLON
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UAE currency: the story behind the money in your pockets
Key 2013/14 UAE Motorsport dates
October 4: Round One of Rotax Max Challenge, Al Ain (karting)
October 1: 1 Round One of the inaugural UAE Desert Championship (rally)
November 1-3: Abu Dhabi Grand Prix (Formula One)
November 28-30: Dubai International Rally
January 9-11: 24Hrs of Dubai (Touring Cars / Endurance)
March 21: Round 11 of Rotax Max Challenge, Muscat, Oman (karting)
April 4-10: Abu Dhabi Desert Challenge (Endurance)
