Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

Summary: Although 4G networks won't be blanketing the United States like 3G does for another few years, LTE investments are expected to pave the way to more jobs and up to $151 billion in GDP growth.

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U.S. wireless telecommunications companies are expected to invest $25 billion to $53 billion in the advancement of 4G between 2012 and 2016, according to a new report from Deloitte.

But even better, Deloitte argues that those investments could result in $73 billion to $151 billion in gross domestic product growth as well as potentially creating 371,000 to 771,000 new jobs.

Based on the survey, this could play out in two ways:

The $25 billion figure assumes a baseline scenario in which U.S. 4G deployment proceeds at a moderate pace and the transition from 3G to 4G extends to the middle of the decade. Under these conditions, U.S. firms are vulnerable to incursions by foreign competitors capitalizing on aggressive efforts in their home markets to deploy 4G networks and develop 4G-based devices and services.

The $53 billion figure assumes a scenario in which U.S. carriers invest more rapidly in 4G networks and start to produce popular 4G-based offerings before global competitors gain traction. In this scenario, the demand stimulated by new offerings justifies more network investment, setting off a virtuous cycle of investment and market response that positions the U.S. to retain its mobile broadband leadership.

For either of these possibilities to play out, 4G development will also depend on other factors, including the need for the top tech companies creating new 4G-enabled products and services, and even the adoption of cloud computing as it "enables the U.S. to take full advantage of 4G's potential impact" by giving much faster and possibly cheaper access to content and applications from anywhere.

Of course, when it comes to the aforementioned 4G products, mobile device manufacturers will need to address some of the aspects that are already considered roadblocks by mainstream consumers, such as exorbitant prices for both products and service plans as well as typically poor battery lives.

On the international level, Deloitte has found that over 150 carriers in 60 countries are committed to developing 4G technology and networks, with South Korea, Sweden and China as some of the leaders in this movement.

Related:

Topics: 4G, Mobility, IT Employment

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26 comments
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  • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

    On another future news: People believe they have 5G, with iPhone 5.
    Samic
    • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

      @Samic
      Lol that is funny I love they ones who thought the iphone 4 was 4G lol stupidity of the average apple user
      Fletchguy
  • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

    I'd be happy to have DSL in the rural area in which I live. My current option is a wireless hub that uses Verizon's broadband system. Hughes Net is the only other option. I had to give up dial-up when the BEST I could get was 18K. 41K was too slow, but 18K was impossible.
    mwtimpe@...
  • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

    Don't worry Obama will kill these jobs before years end and declare 4g non green and illegal.
    Fletchguy
    • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

      @Fletchguy Really. D&T must be assuming a scenario in which tax loopholes continue to exist...along with profits.
      TaxNerd
      • Apples & oranges.

        Profits = Corporate revenue after all applicable expenses (in accordance with GAAP standards) have been deducted, & are related to (but not necessarily equal to) net taxable income.

        GDP = measurement of a *nation's* productivity, including the production of raw materials (which are revenue for the producers but expenses for the companies that use them to manufacture finished goods) & employee wages (which is *always* an expense for corporations), & are *not* related to taxes collected for the nation.

        And that's not even touching on the amount of capital that corporations invest in upgrading & replacing their infrastructure, even when there's no tax "loophole" involved, simply because *they have to replace the old equipment*.
        spdragoo@...
    • Source, please?

      @Fletchguy
      Or is this just more political crap that people love to spread without thinking about it first?.
      spdragoo@...
      • Re: "Without thinking about..."

        @spdragoo@... the blessed thing about being a political creature is thinking is not among the mandatory skill sets. Hence, they'll have jobs right up until the end of...America. I believe their motto goes "Yours is not to reason why, yours is but to lie...or lie."
        ibsteve2u
      • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

        @ibsteve2u

        makes me glad I'm not a politician, LOL
        spdragoo@...
  • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

    Are the people that write this CRAP the COOLAIDE drinkers that want ODrama reElected??
    REmember, Technology is the problem NOT the solution.
    ODramas own words.
    bigidiot
    • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

      @bigidiot Yes, Obama in 2012!
      ALT351@...
  • Message has been deleted.

    Quarizma
  • Hmmmmm.......

    Having worked with Deloitte before, I will take their verbage with a lock of salt.<br>Just prior to consumption, I'll go back for a second block.<br><img border="0" src="http://www.cnet.com/i/mb/emoticons/sad.gif" alt="sad">
    rhonin
    • Frustrating Updates

      @zdnet
      [b]
      Why is it I frequently have to go back and redo several times for a simple spelling mistake correction because this bloody stupid this keeps marking my updates as spam. [/b]
      :(
      rhonin
      • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

        @rhonin Welcome to ZDNet :)
        MrElectrifyer
  • Their reasoning is not presented in the PR

    It looks a bit specious, to me. There's no, "Because of this, that, and because of that, this other" reasoning in the article or in the press release that leads to the asserted numbers of jobs.

    I can only assume that the vast majority of these jobs are projected based on indirect affects of the availability of effectively more band-width. They don't mention what sorts of jobs they expect, for instance.

    OTOH, we've already got more than enough unexpressed demand for much much more band-width just for current applications.
    Professor8
    • Try reading the full report.

      @Professor8

      Deloitte's page (http://www.deloitte.com/us/impactof4g) has a link to the 26-page PDF file explaining where their reasoning came from, including basing their multipliers (investment to GDP & investment to jobs created) on statistics from the U.S. Department of Commerce.

      The footnotes in the document even point to other groups, including Berkeley Research Group & Columbia Institute for Tele-Information, having similar projections & forecasts. So it's not like it's a witch doctor ratting finger bones in a bowl...
      spdragoo@...
  • what good does it do to have 4g speed when they limit downloads...

    yay, now you can hit your 2gb cap 4x as fast! Internet connectivity here in the USA is something that needs vast improvement. We invented it, now we have some of the poorest infrastructure in the civilized world...
    pantherfan690
  • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

    How exactly was that calculated? Also, exactly what types of jobs do you speak about? Seriously...I know lots of people looking for work that would do anything necessary to qualify for them. With a 5 year window, they can get the education necessary to qualify.
    declutterbug51
  • RE: Deloitte: 4G could produce 771,000 new jobs in U.S. by 2016

    Yadda, yadda, yadda. I want to know HOW 4G could create 771,000 jobs. I dare Deloitte to explain it to us. As a society, we have become far too complacent. We ALL should BE ASKING more HOW questions; of our politicians, the technology industrsy, etc.
    declutterbug51