Vodafone UK has revealed an “alarming” ‘connectivity chasm’ is opening between Europe and competing regions that could jeopardise the economic wellbeing of EU citizens and businesses, resulting in further decline.

According to a report by the telecoms giant titled Why Telecoms Matters, digitalisation of industry through 5G technologies represents the ‘fourth wave’ of the industrial revolution, with an estimated annual value of $2 trillion for the manufacturing sector alone.

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As a result, the move connects machines and applications with cloud-based intelligent services in a bid to revolutionise the industrial process.

The report also stated there is a lack of private investment in 5GSA (5G Standalone) infrastructures.

The lack of funds which amounts to billions of euros risks the widening of the lead of the US and China in crucial growth areas such as AI and cyber security.

Despite Europe facing challenges in hitting its 5G targets, the report also calls for the prioritisation of  5GSA deployment, which includes encompassing both core infrastructure and radio antennas in a bid to bridge the “connectivity chasm”.

“5GSA can herald an industrial internet age and restore Europe to growth,” Vodafone Chief External & Corporate Affairs Officer, Joakim Reiter said.

“Europe is on the cusp of a major innovation and productivity boost through next-generation 5GSA and the digitalisation it enables for businesses and the economy.”

He added: “Europe has a trillion-euro opportunity to digitalise its industry and compete globally, but this prize depends entirely on the speed of adoption.

“The five-year mandate of the next European Parliament and Commission must allow Europe to course correct, rebooting legacy telecoms regulation and creating a single market framework that attracts the investments needed to roll out 5GSA at pace.