“Deployment of 5G wireless will produce over a half trillion in near term economic benefit to the GDP and much more long term. That is according to a new paper from the American Consumer Institute Center for Citizen Research, which also says government needs to better help that process along.”
Deployment of next-generation or “5G” networks in the United States is expected to generate $533 billion in U.S. gross domestic product (GDP) and $1.2 trillion in long-run consumer benefits according to a new analysis released today by the American Consumer Institute (ACI).
The data serves as the inaugural report for the new “Lost EconomyTM” series, an independent research program sponsored by ACI that identifies regulations and policies that impede private enterprise, delay investment and deter market entry, thereby impacting national and state economic output and jobs.
“This new analysis confirms that, under the right regulatory and policy frameworks, there will be a spur in next-generation network infrastructure investment, resulting in economic growth, job creation and increased consumer welfare,” said Steve Pociask, President and CEO of ACI.
The analysis, “The Economic and Consumer Benefits from 5G Broadband Service Investment,” confirms that explosions in U.S. wireless subscriber connections (400 million in 2016) and data traffic are driving increased consumer demands for faster and more robust wireless networks. Separate studies cited in the ACI analysis also confirm 5G technology could produce $1.8 trillion in savings over seven years, while self-driving cars and connected devices for health applications could produce annual economic benefits of $447 billion and $305 billion, respectively.
However, the ACI report observes multiple impediments that remain ahead of successfully upgrading the nation’s wireless infrastructure in all 50 states, 3,000 counties and 20,000 incorporated places, including recognition of timely approvals of applications and permits from state and local governments.
“Many states have already begun modernizing their rules to encourage 5G investment. Those states will likely be the first to experience the benefits talked about in this report. Those who are behind could see less investment and not get all the benefits, which is not in the public’s interest,” added Pociask.
To view the full analysis, click here.
To learn more about the “Lost Economy” project, click here.
Regulatory impediments can substantially hinder opportunities for private enterprise to invest and compete, thereby reducing economic output, impeding private investment, slowing job creation, and raising consumer prices.
These hurdles contribute to a stagnating economy, which has been a $2 trillion drag on the U.S. economy.
The Lost Economy™ – a new project by the American Consumer Institute – aims to measure the burden of overregulation and recommend ways to streamline state and federal regulations.
Stay tuned for our first project – Next Generation Wireless Networks for 5G – coming later this month.
To Learn More about the Methodology and upcoming projects, click here.
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Read the full article here.
For the first time ever, incumbent telephone companies have sustained back-to-back quarterly declines in the absolute number of wireline-based broadband subscribers. A new study from our organization, the American Consumer Institute, shows that regulations are a contributing factor to this drop — and also helped to cause the re-concentration of the wireline broadband market in recent years.
Read the full story here.
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Read the full story here.