Huawei unveils 6 strategies to dial in 5G-A networks monetization

Telecom operators worldwide face a familiar challenge: they’ve invested billions in 5G infrastructure, but generating meaningful revenue from these networks remains elusive. Now, Huawei‘s carrier business group is pushing a new strategy centered on 5G-Advanced (5G-A)—an enhanced version of 5G that promises faster speeds, lower latency, and more sophisticated network management capabilities.

Speaking at MWC Shanghai 2025, James Chen, president of Huawei’s carrier business group, outlined how operators can finally unlock the revenue potential of their 5G investments. His message was clear: the window for 5G-A monetization is open, but success requires strategic focus on differentiated services, industry-specific solutions, and AI-powered optimization.

The stakes are particularly high given the current state of the telecom industry. As Huawei chairman Eric Xu noted at the same conference, revenue growth is stagnating in mature markets where basic consumer needs are largely satisfied and infrastructure investment has created a surplus of capacity. This makes the transition to 5G-A not just an opportunity, but a necessity for operators seeking sustainable growth.

Here are the key strategies Huawei recommends for monetizing 5G-A networks:

1. Create tiered service packages based on network performance

Rather than treating all customers equally, operators can now offer differentiated service levels based on specific performance metrics like upload speed and latency. This approach moves beyond traditional data allowances to focus on user experience quality.

Chinese carriers have already begun implementing this strategy with notable success. They’re offering tiered packages where customers pay different rates based on guaranteed performance levels—particularly valuable for applications like HD video calling and cloud-based mobile gaming where consistent performance directly impacts user satisfaction.

The business logic is straightforward: customers who need premium performance are willing to pay for it, especially when the service directly supports their work or entertainment activities. This creates natural market segmentation based on actual usage needs rather than arbitrary data limits.

2. Target content creators with specialized uplink services

One of 5G-A’s most marketable advantages is its enhanced uplink capabilities, which support faster upload speeds crucial for content creation. Operators can package these capabilities specifically for users who regularly upload large files or stream live content.

In China, telecom companies have started bundling high-speed uplink experiences specifically for short video creators and live streamers. These users represent a growing market segment that depends on reliable, fast upload speeds for their livelihood, making them ideal customers for premium services.

This strategy works because it aligns network capabilities with clear customer value. Content creators can immediately see the benefit of faster upload speeds in their daily work, creating a direct connection between the premium service and tangible business outcomes.

3. Deploy network slicing for enterprise customers

Network slicing represents perhaps the most significant monetization opportunity for 5G-A networks. This technology allows operators to create virtual, customized networks within their physical infrastructure, each optimized for specific industry requirements.

The approach enables operators to offer tailored service levels for different business applications. For example, a manufacturing company might require ultra-low latency for robotic operations, while a logistics firm might prioritize wide coverage and device connectivity for tracking shipments.

Huawei is currently working with operators on campus networks that demonstrate this concept in action. These implementations are already generating new revenue streams by providing enterprises with network performance that directly supports their operational requirements rather than generic connectivity.

4. Focus on smart factory and industrial applications

Manufacturing and logistics sectors present particularly compelling opportunities for 5G-A monetization because they have specific, measurable requirements that translate directly into business value. Features like deterministic latency and high uplink throughput support critical applications like remote inspections and smart factory operations.

These industrial use cases work well for monetization because the network performance directly impacts operational efficiency and safety. A manufacturing plant that can conduct remote equipment inspections or coordinate robotic operations with guaranteed network performance can justify premium pricing based on avoided downtime and improved productivity.

The key is aligning service-level agreements with measurable business outcomes. When network performance directly correlates with production efficiency or safety metrics, enterprises can easily calculate the return on investment for premium connectivity services.

5. Leverage AI for operational efficiency and service optimization

Artificial intelligence serves dual purposes in 5G-A monetization: reducing operational costs and improving service quality. AI-powered systems can optimize spectrum allocation, predict traffic patterns, and improve energy efficiency, which helps operators maintain profitability while delivering premium services.

From a customer perspective, AI enables more consistent service delivery by automatically adjusting network resources based on demand patterns. This capability is particularly valuable for enterprise customers who require predictable performance for mission-critical applications.

The energy efficiency benefits also create additional selling points for enterprise customers increasingly concerned about their carbon footprint. As Chen noted, energy-efficient networks not only lower operational costs but have become key differentiators for environmentally conscious business customers.

6. Integrate sustainability as a value proposition

Environmental considerations are increasingly influencing enterprise purchasing decisions, making network energy efficiency a legitimate monetization factor. 5G-A networks can be positioned as more sustainable alternatives to older technologies, particularly for enterprises with aggressive carbon reduction goals.

This approach works because it aligns with broader corporate sustainability initiatives while delivering operational benefits. Companies can justify premium connectivity costs as part of their environmental responsibility programs while gaining access to more efficient network services.

The sustainability angle also helps differentiate telecom services in increasingly commoditized markets, providing operators with a value proposition that extends beyond pure technical performance.

Practical considerations

The success of these monetization strategies depends heavily on execution quality and market timing. Operators need to invest in “experience-oriented” operations platforms that can translate network performance metrics into customer-facing service guarantees.

Additionally, the competitive landscape varies significantly by region. While Chinese carriers have successfully implemented tiered pricing based on network performance, operators in other markets may face different regulatory environments and customer expectations.

The enterprise market requires particularly careful approach, as business customers typically demand detailed service-level agreements and have sophisticated requirements for network reliability and support.

Market implications

The broader significance of Huawei’s 5G-A monetization push extends beyond the telecom industry. Success in monetizing advanced network capabilities could accelerate adoption of technologies like autonomous vehicles, remote surgery, and advanced manufacturing automation that depend on ultra-reliable connectivity.

For businesses outside the telecom sector, these developments signal an opportunity to access network services that were previously unavailable or prohibitively expensive. The ability to purchase guaranteed network performance could enable new business models and operational efficiencies across various industries.

However, the success of these strategies will ultimately depend on operators’ ability to deliver consistent service quality while managing the complexity of differentiated network services. As Chen emphasized, those who lead in innovation and monetization will likely define the competitive landscape for the next decade of telecommunications.