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ARTICLE · 01 AUGUST 2019

5G Technology Driving M&A Activity In The Telecommunications Sector

Accordingly, telecommunications companies should pursue technology and talent thoughtfully, ensuring that integration plans are in place beforehand.

CanadaMedia, Telecoms, IT, Entertainment

The much anticipated rollout of fifth-generation wireless ("5G") technology and changing consumer habits are expected to drive M&A transactions in the telecommunications sector over the next year. According to EY's May 2019 Global Capital Confidence Barometer (the "EY Report") 55% of telecommunications executives expect to actively pursue acquisitions in the next year, a significant increase from the long-term average of 45% for the telecommunications sector.

As consumption patterns for video and gaming continue to change telecommunications executives are anticipating the impact that future 5G speeds and capacity will have on adjacent industries like mobile streaming services and mobile gaming. Increased speeds will also facilitate further developments and consumer demands in the Internet of Things, such as digital home accessories, in-flight cellular, in-vehicle cellular, and in-vehicle infotainment systems. Accordingly, telecommunications executives ranked expansion

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