Costs, risks and limitations of 5G in business

5G offers many opportunities, but adoption is not straightforward and the benefits will not be the same for every business. At a minimum, you should consider costs, coverage, and capability before deciding when and how to invest in 5G.

Costs of 5G adoption

Moving to 5G often means upgrading devices, updating software and potentially investing in network infrastructure. For small and medium-sized businesses, these costs can be a barrier. The return on investment can also be hard to predict. It will depend on how your business uses technology. For example, a construction business using sensors to monitor equipment safety across multiple sites may see quicker gains than an office using mainly email and cloud documents. 

Before committing to a 5G project, you should carry out a technology needs assessment for your business.

Uneven coverage and 5G rollout

National rollout of 5G is underway but not complete. Coverage is expanding in many urban areas, but rural and remote areas may still have limited access. Indoor connectivity can also be weaker than outdoor. Before investing in 5G, you should check provider coverage at your sites, both outdoor and indoor, and compare the performance of different providers in your area.

5G compatibility issues

Older smartphones, machines, and systems may not support 5G. Businesses with mixed or legacy equipment may face extra costs replacing or adapting hardware. This makes staged upgrades or hybrid solutions worth considering, rather than switching everything at once.

Cyber security and data risks with 5G networks

More connected devices increase the potential entry points for cyber attacks. Poorly secured sensors and other connected objects can become targets for hackers. Strong cyber security practices are essential, including device and identity management, network segmentation, encryption of data in transit and rest, and active monitoring and incident response. For some businesses, working with specialist providers may be the safest route.

Skills and technical complexity needed for 5G adoption

Advanced uses of 5G, such as private 5G networks, network slicing and edge computing, require specialist expertise. Smaller businesses may not have these skills in-house. Larger organisations may need time to build them. For this reason, external support and staff training will often be needed to support 5G adoption.

Dependence on providers

Relying heavily on 5G can increase dependence on mobile network operators or other suppliers. Outages, rising costs or regulatory changes could have a larger impact if operations are tightly linked to one provider. Some businesses may explore private 5G networks or multi-vendor solutions to reduce risk, but these carry their own complexities.

Support with managing 5G risks 

Organisations like Digital Catapult and UK Telecoms Innovation Network can help you understand risks associated with 5G adoption. They offer guidance on topics such as coverage, compatibility, security and supplier options, and can signpost testbeds and programmes where you can trial 5G-enabled solutions before committing to a full rollout.

Through its five-step framework, the Belfast 5G Innovation Region programme can also help businesses balance risk and plan sustainable 5G adoption.

While 5G can generate real value, adoption is not risk-free. For some, early adoption makes sense. For others, waiting until networks and use cases mature may be the better choice.

If you are prepared to take advantage of 5G now, see practical steps for implementation and learn how to mitigate some of the risks.