The 2G/3G switch-off: Five effects on IoT businesses and what to do now
The 2G/3G switch-off: Five effects on IoT businesses and what to do now

The 2G/3G switch-off: Five effects on IoT businesses and what to do now

The so-called sunsetting of the 2G and 3G networks will likely have implications for any business relying on mobile networks for its IoT connections. For some, substantial changes will be needed. In a new white paper, renowned analyst and research firm Transforma Insights, together with Telia and Ericsson, examine the variables – and recommends what to do next.

The process of migrating from old legacy networks, specifically 2G and 3G, to newer more capable and efficient technologies in the form of 4G and 5G is underway across the world. In some countries, such as Australia, Japan and the United States, this process has been under way for a decade or more. In Europe, by contrast, it is a relatively recent development, with the first migrations happening in just the last two years. In any case, almost all operators are now setting roadmaps for switching off in the next decade.

“The process of migrating from 2G and 3G to 4G or 5G can seem intimidating,” says Transforma Insights co-founder and white paper author Matt Hatton. “However, we’ve seen that 60 percent of enterprise have few, if any, problems with the process. With early action and a solid plan for the migration process, organizations have little to fear from 2G and 3G switch-off and potentially a lot to gain in terms of improved functionality, lower costs and more sustainable technology.”

The white paper suggests that the extent to which the switch-off will have an impact on businesses depends on several factors: How critical are the IoT connections to your operation? Have you already deployed the devices and what technology are they using? Where are your devices deployed? What is the lifespan of your devices and their natural replacement rate? How easy is it to upgrade units?

Based on the answers to these questions, the authors identify five possible implications for enterprises: no action necessary, roadmap change, accelerated roadmap change, accelerated replacement rate and proactive switch-out.

“We should emphasize though, that there are significant benefits for all IoT enterprises in migrating to these newer generations,” says Staffan Eriksson, Senior IoT Portfolio Manager at Telia. “New NB-IoT and LTE-M technologies offer benefits such as reduced power consumption, longer battery times, better penetration in buildings, improved coverage and more, and they are future-proof for decades.”

“This white paper describes your options once the decision has been made to upgrade, explains the different technologies and provides recommendations on how to take action,” he adds. 

Find the white paper here. 

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