5G is about to debut in the Indian market. It means there will be a significant demand for 5G stocks.
5G is the fifth generation of mobile networks. It will be able to connect everything and is expected to revolutionise mobile connectivity and user experience. The Department of Telecommunications (DoT) in India approved on May 4, 2022, to trial the 5G readiness of the country for the next six months.
What is 5G Technology?
It is better to get an idea about the industry before you invest in a stock. 5G is the new global wireless standard. It is designed to connect everyone and everything virtually, including machines, devices, and objects.
Expected 5G market size
According to a report by the Global Mobile Suppliers Association, 5G is active in 61 countries. Australia, China, Canada, the USA, South Korea and European countries have activated 5G. The current market size for 5G is USD 53 billion, which is expected to reach USD 249.2 billion globally by 2026.
There were several investments in 5G recently in India and other countries.
Best 5G stocks to invest in India
The introduction of 5G technology in India will boost the businesses of telecommunication service providers and telecommunication equipment companies. Let’s check out the best 5G stocks in India.
Telecommunication service providers (TSPs)
The TSP category includes local exchange carriers and mobile wireless communication companies.
The following are the best 5G stocks from TSPs.
VI is an Indian telecommunication service provider formed after the merger of Vodafone India and Idea Cellular. It is the largest TSP in India and the 10th largest in the world.
It has deployed several technologies, like massive MIMO, DSR, and cloudification of core, necessary for deploying 5G services. They have already started a 5G trial with their major network partners, Nokia and Ericsson, in two cities.
Buy Vodafone Idea shares on Angel One. Get a live update on the Vodafone Idea share price.
Airtel is another Indian telecommunication service provider. They have successfully conducted a 5G trial in Kolkata in collaboration with Nokia. They have recently announced plans to launch their 5G service within one month. Airtel 5G service will become available in all major Indian cities by 2023 and critical rural areas by March 2024.
Track the live Airtel share price update on Angel One.
Though Reliance Jio is not a listed company, it is a part of The RIL Group. Reliance will venture into the 5G domain with Reliance Jio. Reliance Jio launched its mobile networking service in 2016, causing major disruption. The cost of their services is 95% lower than competitors. Reliance Jio plans to become a leader in the 5G spectrum.
Reliance Jio will home deliver 5G SIMs in India.
Follow Reliance Industries share price on Angel One before investing.
Mahanagar Telephone Nigam Ltd.
MTNL is a wholly-owned subsidiary of BSNL. The company is the largest in Mumbai and Delhi regarding market size and is the third-largest ISP despite only being present in two cities. DoT has allotted a 5G spectrum to MTNL.
Buy its shares. Follow live MTNL stock price updates on Angel One.
The following are the best 5G stocks in the telecommunication equipment segment. The equipment manufacturing companies will play a key role in building 5G infrastructure and facilitating the service providers in ensuring uninterrupted services across the country.
The Indian Telephone Industries Ltd. is a government-owned company under the ownership of DoT. The company provides 50 percent of the current telecommunication network in the country, providing infrastructure services to MTNL, BSNL, and the defence sector.
Invest in ITI Limited stocks. Follow ITI stock price live updates on Angel One.
Himachal Futuristic Ltd. serves sectors like security, railways, telecommunications, cable fibre, and textiles. They are also involved in building portfolios in 5G products, including 5G Radio Access Network (RAN), 5G transport network in India and foreign markets.
Buy HFCL stocks. Follow HFCL Ltd share price on Angel One.
Sterlite Technologies Ltd. is an Indian multinational company specialising in optical fibre, cables, deployment, network software, and hyper-scale network design.
Track STL’s share price on Angel One’s website.
Indus Towers, formerly Bharti Infratel, is a merged entity between Vodafone PLC and Bharti Airtel. The company will also deploy infrastructure for TSPs, which is critical for 5G installation.
Follow Indus Towers share price on Angel One mobile app.
Tejas Network is an optical, data networking, and broadband company. The company has built many IPs and emerged as a primary exporter to other developing countries in Africa and south-east Asia. Tata Group has acquired a 43.35 percent stake in the company.
Only thirteen cities are in the 5G testing cities in India list. When the service launches, the share price of companies in the segment will increase significantly. Start your investor’s journey with Angel One. Open a Demat account for free.
Disclaimer: This blog is exclusively for educational purposes. The securities quoted are exemplary and are not recommendatory.