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Caspian Energy Journal Caspian European Club
Monday, 15 April 2019 13:00

Fitch: 5G is a strategic priority for global telecom

Fitch: 5G is a strategic priority for global telecom

5G investments will persist in global telecom over the intermediate term, even though revenue may materialize gradually, Caspian Energy News (www.caspianenergy.net) reports with reference to Fitch Ratings.

Fitch anticipates 5G spending will continue even in a downturn due to fairly resilient top lines and the flexibility to reduce operating costs, or even dividends before capex, if necessary. This should not have negative credit implications due to substantial cash flow and balanced capital allocation for most issuers.

Wireless investment, particularly related to the densification of the network, continues to be an area of emphasis for telecom companies due to the strong demand for 4G LTE capacity for rapidly growing data services and to position networks for 5G's arrival. 5G is a strategic priority for the sector due to the internet of things growth and the highly competitive and evolving competitor landscape.

Upgrades to networks are required to support increased speed and connectivity, and to maintain and grow market share.

More details: https://www.fitchratings.com/site/pr/10069593

Person in charge of the newsline: Olga Nagiyeva 

 

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