What Is 5G? Your Ultimate Guide
You may not have experienced it yet, but 5G has been here for awhile. Operators started launching 5G networks back in 2019, and adoption is growing steadily. By 2030, the adoption rate of 5G in North America is predicted to have reached 90%. What is 5G technology, and what is the difference between 4G and 5G? Read on for the answers to those questions and more.

What does 5G mean?
5G is the fifth generation of wireless network technology, designed to run at much higher and faster frequencies than earlier iterations. It can provide significantly faster download and upload speeds than 4G, reducing latency to enable more reliable connections.
5G networks also have massive capacity, allowing far more devices to access the mobile internet at the same time — even in spots with high network traffic.
3G vs. 4G vs. 5G: What are the differences?
Before we dive deeper into the workings and benefits of 5G, let’s see how it compares to earlier generations of mobile networks.
The first generation, 1G, came along in the late 1970s and enabled analog voice calls over cellular networks. This was upgraded to 2G in the early 1990s, bringing digital voice capabilities. In the early 2000s, 3G gave us mobile data and the ability to surf the internet on our phones.
The fourth generation, 4G (also known as LTE or “long term evolution” technology), enabled mobile broadband. The infrastructure, though, wasn’t designed to handle the surging demand for internet access and the exponential growth in generated data that ensued. That meant it was time for another upgrade: 5G.
5G uses the same radio frequencies as 4G and 3G networks, but it’s able to transcend their speed, latency, and reliability. To understand the impact it makes, let’s answer the key question: What is the difference between 5G and LTE/4G?
5G can achieve peak download speeds of up to 20 Gbps a second, compared to only 1 Gbps on 4G networks. It also has much lower latency, with a single millisecond between sending and receiving information — quite an improvement on the 200 milliseconds it takes with 4G.
It can also run on a wider range of bandwidths. Essentially, this means a higher number of connected devices can send and receive data at any one time. Combined with the fact it can manage data volumes substantially higher than 4G is capable of, and you have a connection that’s faster and more efficient than any of the generations before.
Another difference is the types of transmitters used. 4G and its predecessors needed large standalone mobile towers, which required significant power. 5G uses smaller transmitters that can be placed discreetly on buildings and other infrastructure.
It’s important to remember that 5G isn’t technically replacing 4G, as the two generations work together. Although you need a 5G-enabled phone to access a 5G network, these phones actually use both 4G and 5G technology. You can use a 5G phone on a 4G network.
5G technology: How does 5G work?
Now that we understand how 5G compares to 3G and 4G, it’s time for a little more detail on how it actually works.
5G uses cellular technology in the same way as earlier networks, with a service area divided into smaller, geographical sections called cells. Each cell site has a base station and antennae, and it transmits data between them via radio waves. Any 5G wireless devices within the boundaries of a cell can then connect to the network.
The difference is that 5G technology modifies how the data is encoded. It’s based on OFDM (orthogonal frequency-division multiplexing), which means it can modulate a digital signal across several channels to reduce interference. It encodes the high-band airwaves that were incompatible with 4G.
5G networks are built from multiple bands of wavelength spectrum (radio frequencies), including new frequency bands in the mid- and high-spectrum range. These function in combination with existing low-band frequencies to make up a 5G network.
With a wider range of bandwidths, a 5G network is able to support more connected devices, bringing faster speeds even when multiple users are on the same network. The high-band spectrum also facilitates high-performance 5G services in dedicated zones.
5G networks also have a unique air interface called 5G NR (New Radio), which was designed as the new global standard for cellular networks. It uses new radio access technology (RAT) developed by the 3rd Generation Partnership Project (3GPP) specifically for use on 5G mobile networks.
One major advantage of fifth-gen cellular technology is that it enables 5G network slicing. This is a way of creating multiple virtual networks within one physical 5G network. Each “slice” functions as an independent network, so you can use each one for a specific use case or service.
How fast is 5G?
Thanks to all the technological advancements that make up 5G, users can enjoy much faster speeds for data transfer compared with 4G. In optimum conditions, 5G can achieve a peak download rate of up to 20Gbps, and upload rates of up to 10Gbps.
5G also reduces latency to mere milliseconds, potentially cutting the time it takes for data to travel across the network to your device by a factor of five. However, these rates are dependent on your location, network provider, and the capabilities of your device.
As we mentioned, 5G significantly increases network capacity by expanding into new radio spectrums. What frequency is 5G? It covers low-band (frequency below 1 GHz), mid-range band (1 to 6 GHz), and the new high-band spectrum (24.25 to 86 GHz).
The highest frequency is millimeter-wave (mmWave), which delivers the fastest speeds. Although higher bands are able to carry more data in densely populated areas, there’s limited penetration inside buildings, and devices need to be close to a 5G node to get a signal.
At the lower band, the signal can travel farther and isn’t impeded by obstacles such as buildings, but the trade-off is that you get slower speeds. Mid-band, as you’d expect, falls in between the two.

Why is 5G important? The benefits of 5G for businesses and society
5G isn’t a case of “don’t believe the hype.” It can be a game-changer for society as a whole, whether you enjoy the faster download speeds for streaming music and movies or use 5G to develop a smarter business. In this section, we’ll explore some of the key 5G benefits:
High-speed data connections
The speed of 5G for data transfer makes our lives easier in many ways. This includes improved leisure activities, such as multiplayer cloud gaming and live streaming music. Using 5G in sports and entertainment can deliver a front-row experience for major events — whether you’re in the back of the stadium or watching from home.
What about 5G for business? Those high-speed connections contribute to general efficiency, as it takes less than a second to download large files or back up data. 5G also provides near-instant access to cloud services, and allows for things like real-time video translation.
Wider accessibility
With a 5G network, remote employees get the same level of performance as those in the office, with no delays in connectivity. Remote collaboration is much easier for dispersed teams, even those in different parts of the world.
For rural areas, which have historically been underserved by internet access, 5G fixed wireless access (FWA) should improve connectivity and provide a real alternative to traditional fixed broadband services. This makes it possible to extend remote learning and telehealth services into remote areas.
Greater mobility
5G also enables seamless open roaming capabilities between cellular and Wi-Fi access, offering extra convenience for mobile users.
Let’s say you’ve been using your phone on a wireless network inside a building. When you move outside, it will automatically pick up an outdoor wireless connection — without you needing to re-authenticate the device. Same thing if you’ve been using an outdoor connection and you head indoors.
Support for emerging technologies
5G opens up new possibilities for developing technologies such as virtual reality (VR) and augmented reality (AR), the IoT (Internet of Things), and artificial intelligence (AI). This has many applications for personal and business use, from shoppers “trying on” clothing in an online store to manufacturers monitoring product use with sensors.
Healthier living
With this support for emerging technologies comes the capability to develop smart cities. By collecting real-time information from IoT devices to monitor traffic and find out how people use infrastructure, city planners can make informed decisions on how to manage traffic and improve air quality, as well as public services.
In the field of healthcare, 5G connectivity enables real-time monitoring of patients via wearable technology, helping doctors to diagnose conditions earlier. The ultra-low latency of 5G also makes it safer to perform remote and robotic surgery.
Energy efficiency
5G is more energy-efficient than previous mobile generations, as it reduces network power consumption and improves device battery lifetime. It also replaces expensive wired cables with cellular 5G business routers.
Thanks to integration with IoT technology, businesses can easily monitor their carbon footprint, helping them to meet their Environmental, Social, and Governance (ESG) goals.
Privacy and security
5G is the most secure mobile network yet, but those who want extra privacy can take that a step further by setting up their own private 5G network. This option gives you all the benefits of 5G technology but in a closed setting, such as an office building, a factory, or a college campus. Organizations can then manage all their devices, services, and applications more securely and efficiently than they could on a public network.
5G use cases: How is 5G being used to the advantage of businesses?
5G is unlocking a raft of business capabilities that simply weren’t possible with 4G and its predecessors. Let’s turn our attention to some of the many use cases of 5G for business:
Edge computing
Edge computing is a decentralized computing infrastructure that puts computing power at the “edge” of the network, much closer to the sources that generate data (such as mobile devices and IoT sensors). The data doesn’t need to travel so far to be processed, which enables faster response times and real-time analysis.
Processing and storing data locally also minimizes network congestion, and reduces the dependence on distant data centers — leading to better overall security and privacy. It’s necessary to have a high-speed network to perform edge computing, which is made possible by 5G’s superb connectivity and low latency.
Smart factories and warehouses
Because 5G supports IoT technology, factories can connect multiple cameras, sensors, and drones to automatically collect real-time data from equipment and employees. As well as checking safety, managers can easily analyze and process this data to optimize operations and make predictions about maintenance and equipment life cycles.
5G also supports VR and AR, which is ideal for workplace training and guided maintenance and repairs. In smart warehouses, sensors and trackers can help to manage inventory and coordinate supply chain and logistics operations with real-time visibility. Amazon is already using drones for last-mile delivery.
Smart agriculture
Smart agriculture systems require fast, reliable connectivity, but many farms are in remote and rural locations. Luckily, the increasing availability of 5G means that more farms can adopt emerging technology. They can use sensors and devices to collect real-time data about soil conditions and weather patterns, and quickly analyze it to predict crop yields, identify optimal planting times, and reduce the use of chemicals.
5G features also facilitate the use of drones and autonomous vehicles on farms. Drones carrying cameras and sensors will monitor crop health and detect problems, while tractors and other farm equipment can save on human labor by performing tasks such as planting and harvesting. Drones can also be programmed to spray pesticides or fertilizers.
Make the most of 5G capabilities in your business
With its high-speed connectivity, ultra-low latency, and reliability, 5G greatly surpasses the capabilities of previous mobile network generations. It brings myriad advantages for businesses as well as for personal use, including wider accessibility and energy efficiency, and greater security.
5G’s support for emerging technologies like IoT, VR and AR, and edge computing opens up a world of new possibilities for businesses. Wondering how to get started? Vonage Network APIs can help your business make the most of 5G networks, unlocking enhanced applications and services and providing global access to 5G capabilities and communications.
Learn more about harnessing the power of Vonage Network APIs and 5G networks.
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