If you think 5G will disrupt only the world of telecom, think again.
The fifth-generation technology will transform India’s automobile industry like no other technology ever did and affect it in ways more than just vehicular movement, said experts and industry insiders.
With high-speed data transfer and low latency, the technology will unlock many more possibilities in the world’s fourth-largest automobile market. One of the most important areas where 5G will make a difference is vehicle-to-everything (V2X), which means communication between a vehicle and any other entity.
The technology, which is touted to be 100 times faster than its predecessor 4G in some cases, will enable everything including smart highways, fleet management, smart parking and immersive reality-based in-car entertainment, said Shaju S – vice president and head of Tata Elxsi’s transportation business arm.
“Most importantly, 5G technology would pave the way for faster implementation of V2X, resulting in safer transportation and less traffic congestion,” Shaju added.
Others agreed.
In a country where the penetration of connected vehicles is just 10%, as against the global average of 30%, this technology presents a lot of scope albeit at a slower pace, said Sunil David, co-chair of the digital communications working group at the Institution of Engineering and Technology (IET). “With V2X, the vehicles will be able to connect with traffic management systems and know in real-time if vehicles are coming from the other roads even before they are visible to the driver,” David said.
5G could also help in tackling other issues. “5G (will) not only help enhance car-to-car communication, relay real-time information of road, traffic and vehicle conditions, but also help ease congestion and avoid safety incidents,” said HARMAN India Managing Director Prathab Deivanayagham.
Traffic authorities could also leverage 5G to make mobility safer.
“When an RFID-enabled (Radio-frequency identification) vehicle is moving on a road with a fixed speed limit, the cameras on the traffic infrastructure (will be able to) recognise these vehicles and automatically lock the top speed for the vehicle. This reduces accident possibilities and improves safety,” said consulting firm Arthur D. Little’s India President Brajesh Singh. In addition, features such as vehicle location services, emergency assist, pedestrian alert, and collision and lane-departure warnings will also improve safety, Deivanayagham said.
Key differentiator
Besides safety, 5G will also help in shifting automakers’ focus to user experience.
In a price-sensitive market like India, which was largely considered a small-car market, the rising sales of feature-packed SUVs and 5G capabilities will turn the premiumisation of cars into a key selling point, David pointed out.
“The OEMs (original equipment manufacturers) will have to package it (5G-enabled features) well. The challenge will be to get the incremental cost right to show value to their customers,” he said.
Others agreed.
“With the 5G technology being implemented, we would see a new business model being rolled out by OEMs where vehicle users will have the freedom to choose the features he or she wants and will pay only for features that they want, ‘’ Elxsi’s Shaju said.
The Covid-19 pandemic changed the buying process drastically. 5G and virtual reality will transform it even further, David said.
“It will cut down the steps involved in buying a car although customers might still want to do the test drive. Brands will use this as a differentiator,” he said.