Canadian firms see reliable 5G as vital for innovation & growth

Ericsson has released its annual State of Enterprise Connectivity Report for Canada, revealing that cost and infrastructure challenges are affecting business progress despite widespread acknowledgement of the essential role of connectivity.

The report, which is based on a Censuswide survey of over 500 Canadian business leaders, found that 90% of businesses agree that secure, reliable and high-performing networks, such as 5G, are necessary to support Canada's position as an industrial and technology leader on the global stage.

Key findings indicate that unreliable connectivity has resulted in higher operational costs for 46% of companies, operational inefficiencies for 45%, and increased waste for 31% over the past year. The companies cite weather-related issues, carrier or provider problems, and networking configuration errors as common causes of downtime, with a widespread impact on organisations that depend on digital tools and services.

With the business environment described as unpredictable, the majority of Canadian respondents see investment in technologies such as artificial intelligence and Internet of Things devices as vital to improving both productivity and processes. However, organisations emphasised the requirement for strong and reliable connectivity to ensure these technologies can deliver benefits.

Office trends

Survey data indicates that more than half of Canadian companies (56%) plan to require employees to be present in the office more frequently in 2025. Currently, 42% of those surveyed are already fully office-based, while just 19% are operating fully remotely. For those seeking to encourage in-office attendance, 56% identified improved office connectivity as the key incentive for staff to return.

Investment priorities

According to the report, 90% of businesses believe that networks with higher performance, such as 5G, are fundamental for future competitiveness. Respondents outlined several specific expected benefits from 5G: 46% anticipate improved bandwidth, 44% see it as enabling technology for IoT, AI, and related applications, while 43% believe it will enhance network security.

Sixty percent of respondents stressed that affordable connectivity nationwide is important for Canadians to realise the potential of digital transformation. Over half (52%) emphasised the need for private sector investment in advanced wireless and wireline infrastructure, and 49% highlighted the importance of ensuring universal access to connectivity for all Canadians.

Key areas where private and public organisations should increase investment were identified: 48% listed improved reliability of communication networks (up 21% from 2024), 47% called for faster deployment of 5G and advanced wireless networks in rural areas (a 24% increase), and 45% prioritised stronger network security.

5G, AI and IoT integration

Respondents reported that 5G is already being leveraged in several business functions: production efficiency (68%), customer experience (62%), scalability (57%), and reliability and resilience (56%). A further finding indicates a close relationship between 5G and AI, with nearly 85%% of businesses stating that AI helps improve network performance by automating analysis and reducing manual workload for IT teams. Eighty-seven percent said 5G is critical for optimising workplace AI usage.

Internet of Things solutions also emerged as a priority for the coming year. The connected IoT devices most frequently planned for implementation include predictive maintenance (46%), sensors (41%), digital signage (41%), and cameras (39%), with the aim of boosting productivity, alleviating worker burnout, and enhancing safety.

Barriers to progress

The report reveals business leaders' concerns about connectivity progression in Canada. Cost of wireless services was cited as the primary obstacle by 47% of respondents. Other barriers included complex and lengthy permitting processes for deploying network infrastructure (43%), and regulatory issues such as strict data protection laws, including Quebec's Law 25 and Ontario's Bill 194 (38%).

"The 2025 State of Enterprise Connectivity report for Canada highlights the need for investment in infrastructure, and the importance of 5G in particular, to increase innovation and enhance productivity across the country. Canadian businesses cited improved reliability of communication networks as the top area of investment required to advance connectivity — a 21 percent increase compared to last year's report. As organisations look to take advantage of IoT and AI applications to improve efficiencies during these unpredictable times, they must find the right solutions — and knowledgeable technology partners — to help plan for the future."

The full report includes further detailed data and insights on business connectivity trends in Canada.