Are you still waiting to go out and buy a new 4G device? Maybe the technology is still too new for you to be comfortable trusting it. Maybe you're waiting for the next big thing already. Well, 5G isn't here yet, but it may soon be.
5G technology is being planned to fill in the gaps that we will eventually see in the 4G technology. Currently, 4G has more than enough efficiencies, but according to David Goldman at CNNMoney, its abilities soon will not be enough. Industry analysts forecast that the amount of cellular data traffic will be overshadowed by the amount of data that is transmitted by everyday items such as watches, appliances, thermostats, door locks, and much more.
The new technology will not be as focused on speed enhancements, according to Alcatel-Lucent's wireless research head Tod Sizer, although, "it may be faster, but it will be more about meeting the expectation of service quality." Basically, the goal of 5G is to be able to handle billions of different devices, while still maintaining stability and connectivity.
Don't hold out on 4G in anticipation of 5G, though, because it still is not even in development. Major networks have yet to reach the limits of 4G, and have not even begun branding any products with 5G.
Business section: Investing ideas
For a closer look at stocks that may benefit from this trend, here is a list of the largest domestic wireless and telecommunication companies.
Who do you think will take the lead on this upcoming technology? (Click here to access free, interactive tools to analyze these ideas.)
2. Verizon Communications
4. Sprint Nextel
5. Windstream: Provides communications and technology solutions in the United States. Market cap at $7.04B
6. Equinix: Provides data center services for the protection and connection of information assets to enterprises, content providers, financial companies, network service providers, and cloud and IT services companies. Market cap at $6.50B
7. Frontier Communications
8. United States Cellular: Operates as a wireless telecommunications service provider in the United States. Market cap at $3.60B
9. MetroPCS: A wireless telecommunications carrier, together with its subsidiaries, provides wireless broadband mobile services in the United States. Market cap at $3.58B
10. TW Telecom: Provides managed network services to enterprise organizations and communication services companies in the United States. Market cap at $3.29B.
Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the stocks mentioned above. Analyst ratings sourced from Zacks Investment Research.
Kapitall's Daniel Guttridge does not own any of the shares mentioned above.