Welcome to the Real Estate Redefined Video Series. In episode #101, Dan Forsman highlights the new 5G cellular wireless technology that will dramatically change our world. Watch the video to learn the risks and opportunities for real estate!
— Transcript —
Did you know that 5G cellular wireless technology is coming with blazing speeds that will dramatically change the way we do business? Watch the rest of this video to learn more about 5G and what this means to your real estate business!
Roll RER Intro
Welcome to Real Estate Redefined. I am Dan Forsman.
5G is the 5th generation of cellular wireless technology that will bring lightning speeds of 10 to 20 “Gigabytes Per Second” to your phone, tablet or other devices. That is more than 100 to 200 times the current speeds of 4th generation cellular wireless. 5G technology has lower latency which means applications like video, virtual reality and smart home solutions will work better. 5G also allows these new networks to connect many more devices. The combination of these 3 things are a game-changer.
So when will 5G be here? First, let’s look at carriers first and then the devices that will be compatible. Verizon just launched an initial trial in parts of Chicago and Minneapolis. AT&T has rolled out hotspots in 19 cities so far. They also announced 5G Evolution which is not 5G. 5G Evolution is an enhanced version of 4G. Sprint will launch 4 cities in May and T-Mobile is expected to start later in 2019. These tests will help the carriers better understand the opportunities and challenges. Most analysts expect a broader rollout in late 2019 and 2020.
Samsung released the first true 5G phone with the Galaxy S10 5G. The Moto Z3 with an attachable 5G module is being used in the Verizon test. Apple is expected to introduce a new 5G iPhone in 2020. Assuming they keep their normal release schedule, that would be September 2020. This is important to watch as Apple has such a large share of the smartphone market.
5G technology will create new competitive environments that will benefit consumers. For example, Verizon is expected to target home internet services to compete with the cable companies. They see the opportunity to connect many new devices as smart homes continue to evolve. 5G is truly another disruptive innovation. As we look back in time, there are many examples of market leaders who lost their position. Remember the Blackberry? Blackberry had 37% market share in 2010. Then came the Apple iPhone and Samsung Galaxy devices. Blackberry no longer makes hardware devices today. 5G brings a new level of opportunity and risk for participants in this space.
Now, let’s look at how 5G may impact real estate.
With 5G, video will explode. You will be able to video conference with clients, customers and colleagues anytime, any where and with many devices. Expect larger screens on devices and video walls in our homes and businesses. Getting comfortable with video will be more important than ever before.
The way that we market properties will also evolve. All our property images can now be very high resolution. Our MLS services, websites and data feeds will need to evolve to handle bigger images. Expect more 3D Tours such as our Zillow 3D Homes. Augmented Reality and Virtual Reality will emerge to allow potential buyer to experience the home in a new way. The 5G MEGA open house may be more virtual where you are the online host providing a video tour of the home and answering live questions.
Smart Homes will become much smarter. There will be more security devices to monitor and stream video. There will be more and more sensors on everything in the home. The healthcare applications have tremendous potential to deliver home healthcare and reduce healthcare costs. Video games and virtual environments will evolve to the next level. The experience of living in a digital home will change.
5G will allow smarter cars and self-driving cars to emerge faster. 5G will allow self-driving cars the connectivity to make decisions faster. Passengers will have more access to perform work or entertain themselves. Self-driving cars will also impact residential and commercial real estate. More on this in a future episode.
These are only a few examples of the potential impact to real estate. The good news is that we are thinking about these things now – so we can be prepared when 5G becomes more common. This is one of the reasons we have been so aggressive in promoting video with our associates. Our offices have video areas, equipment and resources available to assist. We have numerous options available for hosting and delivery such as our Marketing REsource. We adopted Zoom Video Conferencing for virtual and video meetings. We want our teams to be very comfortable with video and video meetings as they become more common. Our 3D Home early adopter program with Zillow is giving us a lot of experience in 3D and augmented reality applications. We have also been an early adopter for smart home technology such as our Alexa and Google Home skills. We want our teams to understand how these voice-powered devices with new bigger screens connect to everything in the home and change the living experience. As we look into the future, we will continue to test new innovations so YOU will be ready. This is one of the reasons we moved Tony Floyd into the role of Chief Innovation Officer to lead these efforts and work with Chris Stuart, the CEO of our franchise organization.
Today was the slowest pace of change you will ever experience. Change will come faster in the next few years – and change presents opportunity! 5G will not replace the real estate agent. However, the real estate agent who learns to leverage 5G will replace those who do not.
Thank you for watching this episode of Real Estate Redefined. And Remember … every day… in every way … YOU can get better and better!