Encouraging Early Deployment of 5G

The Government launched the Subsidy Scheme for Encouraging Early Deployment of 5G under the second round of Anti-epidemic Fund on 5 May 2020. Administered by OFCA, the scheme aimed to encourage various sectors, through the provision of financial incentives, to deploy 5G technology early to foster innovation and smart city applications, and to improve efficiency of their operations and quality of their services that would contribute to enhancing Hong Kong's overall competitiveness.

Under the scheme, the Government would subsidise 50% of the actual cost directly relevant to the deployment of 5G technology in an approved project, subject to a cap of $500,000.

Since the launch of the scheme, the response had been enthusiastic. The application deadline of the scheme had been extended several times and was eventually closed on 31 December 2022. OFCA has approved applications covering various sectors including construction, building facilities management, environmental protection, education, e-sports, entertainment and recreation, transport, etc. Upon completion of their projects, subsidised organisations and corporations are required to share and exchange their experiences with their industry in enhancing operational efficiency and services through the deployment of 5G technology so as to benefit their related sectors.

Hong Kong’s economy has benefited from the investment in 5G applications and infrastructure since the commercial launch of 5G service in April 2020. The adoption of 5G by consumers and in business operations continues to bring positive impacts to the overall economy of Hong Kong in terms of gain in Gross Domestic Product and new job creation. The transportation and logistics industry and construction industry are expected to benefit the most from the adoption of 5G by 2027. Examples of the relevant applications include Remote passengers counting system, Remote-controlled rubber-tyred gantry cranes and Augmented reality based building information modelling (BIM) for construction sites, etc.

For more information on the 5G’s contribution to the economy of Hong Kong, please visit the relevant webpage of OFCA.

Details of the scheme are available at www.ofca.gov.hk/5g-subsidy.