5G adoption success slowing download speeds, says Ookla
A new report from tech intelligence firm Ookla, reveals Bermuda’s 5G network could be a victim of its own success.
The internet speed testing specialists said significant 5G device adoption in Bermuda is reducing the median download speed.
Ookla measured that speed at 86.27 megabytes per second, only modestly above its 4G median, 60.55 Mbps.
The news came only months after recognising Paradise Mobile for having the fastest 5G speed in Bermuda for the third and fourth quarter of last year.
The report said early 5G performance metrics reveal a recurring theme in the Caribbean: newly launched, empty networks deliver exceptional speeds (some over 400 Mbps median download speeds), while more mature markets trade some of that raw speed for much higher and more consistent network availability for users.
Ookla gained insight into the breadth of 5G deployment and the adoption of 5G-capable devices in Bermuda, by examining network technology availability from the perspective of all devices.
Researchers found that 31.2 per cent of users for all devices on the island spent their time on 5G, while 81 per cent of users of 5G devices use 5G.
“This suggests that there is very good 5G coverage deployment, and that with time and device upgrades, that first 31.2 per cent will close up the gap,” an Ookla spokesman told The Royal Gazette.
Compared to islands in the Caribbean such as Puerto Rico, Cayman and British Virgin Islands, Bermuda showed the biggest percentage point difference between these two perspectives: 51 percentage points.
This was attributed to a favourable deployment environment: a small, flat, wealthy populace, and a competitive three-player 5G market featuring One, Digicel and Paradise Mobile.
Ookla said the deployment of 5G networks in the Caribbean remains limited and fragmented, concentrated in the region’s more economically developed islands and territories.
“Unlike national-scale roll-outs in Puerto Rico and countries outside of the region, the rest of Caribbean 5G is driven by targeted return on investment,” Ookla stated. “High per-capita income, competitive pressure and dense tourist zones are the key predictors of deployment, not universal service goals.”
Researchers said the pace and strategy of 5G deployments vary dramatically.
“With the possible exception of Puerto Rico, the primary driver for deployment is not universal service but a clear path to return on investment,” Ookla said. “This has created a multi-tiered landscape defined by economic strength, strategic priorities and regulatory readiness.”
The report went on to add that a key competitive dynamic fuelling 5G deployment is when incumbents Digicel and Flow (Cayman’s 5G provider) are forced to respond to a new competitor.
“Bermuda and Cayman’s high residential incomes and demanding business sectors create strong demand for high-performance connectivity, which attracted a competitive third player in Paradise Mobile to accelerate 5G deployments,” the company stated.