Techno-Economic analysis of 5G in case of Addis Ababa, Ethiopia

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Addis Ababa University


In wireless networks, data consumption is increasing exponentially because new applications demand high-quality and high data rates. 5G was created to have more capacity and faster data speeds than Long-Term Evolution (LTE) technology. The ultra-low latency and ultra-high reliability that 5G technology promises will enable cutting-edge services in a variety of business sectors. However, given the fact that the transition period from the adoption of 4G to the introduction of 5G is short relative to industry standards, this introduction of new technology comes with its own challenges in terms of cost, awareness, and compatibility with existing systems. The techno-economic analysis method refers to techniques that are used to evaluate the technical and financial performance of a service or a product. The analysis includes market forecasting, network dimensioning, cost and revenue modeling, and economic feasibility analysis for a five-year study period with in ethio telecom case uses a modified TERA model. The nature of 5G application services offered, and the operating frequency bands all play a significant role in determining network capacity, coverage, and the number of sites required. This nature of 5G network have a great impact on network capacity, coverage, and the number of sites in the area, which influence the NPV value 1,812,120,611.60 and payback period 3 months.



5G, Techno-economic analysis, Deployment options, NSA, eMBB, TERA model