Forecasts into 2019/2020 technology trends have revealed that blockchain technology and fifth-generation (5G) networks are edging closer to the center stage. Interestingly, Chinese Internet companies are leading the charge.
Forbes: 5G and blockchain will dominate 2020
Seeing this shift, Forbes released the “Top 10 Digital Transformation Trends for 2020.” The Forbes’ report indicated that blockchain and 5G network would continue to receive unprecedented attention in 2020.
While the market prospects for 5G and blockchain may be hard to predict, it’s anticipated that the two will bring profound changes to peoples’ lives within the next 5 years.
Consequently, major Chinese companies have started aligning themselves with the change and already feeling the impact. One such company is Alibaba, the parent company of Alipay. who have been trendsetters in the blockchain space. Alibaba’s Artificial Intelligence Institute, in 2019 pointed to the impact of 5G and blockchain, saying:
“The fifth generation of mobile communication technology will greatly enhance the mobile bandwidth, providing nearly 100 times the peak rate of 4G, … The blockchain technology will promote the reorganization of trusted data on the circulation path, and optimization to improve the efficiency of circulation and collaboration. In many scenarios, such as cross-border remittances, supply chain finance, electronic bills, and judicial deposits, blockchain will begin to integrate into our daily lives.”
Blockchain brings true sharing
Thunder Group, a Chinese technology-focused company, reported revenue growth of 40 percent from its cloud computing and value-added internet services. Notably, in 2019, Thunder is deepening its involvement in the shared computing and blockchain fields by cooperating with Netcore Technology.
According to Thunder’s CEO, Chen Lei:
“Unlike the trend of centralized technology represented by artificial intelligence and big data, the purpose of social and technological innovations such as cloud computing, blockchain and sharing economy is to empower each individual…. Blockchain helps to achieve a true sharing economy so that users’ data ownership is respected and protected, and a new business model will be built.”
Notably, the cooperation of Thunder and Netcore Technology will contribute to the development of 5G edge computing. Additionally, Thunder’s blockchain technology has made strides in the copyright space with the blockchain+5G mode case landing direction. Thunder employs a zero identity blockchain. This has led NetScience to launch “Thunderbolt Chain,” a blockchain platform aiming to, among other things, comprehensively address the privacy and security issues of 5G networks.
Tencent bets on 5G and blockchain
Apart from Thunder, Tencent’s Q2 unaudited financial report of 2019 recorded an 18 percent increase. Notably, revenue from financial technology and corporate services recording a 37 percent increase. According to Tencent, 5G and blockchain will help “usher in another strategic opportunity period of development in 2019.” Interestingly, Tencent already has a research team focusing on the application of 5G technology.
“Tencent blockchain has been actively exploring the construction of high-availability and scalable blockchain application infrastructure products to help enterprises quickly realize application scenarios. Currently, Tencent’s blockchain focusses on medical care, supply chain, digital assets, among other fields.”
However, when discussing 5G technologies and China, Huawei is on the frontline. Since 2009, Huawei has invested heavily in 5G technology research. But, in 2016, the technology giant accelerated its R&D to include end-to-end 5G commercial products. This was followed by an additional investment of $1.4 billion.
Huawei has invested more than US and European firms combined
Notably, Huawei’s investments into 5G research and development exceed the combined expenditures of major European and US-based companies. Therefore, its entry into the blockchain sector should cause tremendous vibrations. Through its “Huawei Blockchain White Paper” released in 2018, the technology company noted that blockchain technology and related fields are driving development.
Zhang Xiaojun, Huawei’s blockchain project director, said that “Huawei is willing to work with the industry to accelerate the blockchain business structure and help transform the digital economy.”