The telecommunications industry is undergoing a major transformation with the gradual discontinuation of 2G and 3G networks, a process known as the "2G/3G sunset." This transition is reshaping global connectivity as operators globally phase out these legacy networks to reallocate spectrum resources for more advanced 4G, 5G, and Low Power Wide Area Network (LPWAN) technologies. The timeline varies by region - some countries have already completed the transition, while others are in the process. For industries reliant on these networks, such as the energy sector, this shift presents both challenges and opportunities.
Impact on the Energy Sector and Preparations
The energy sector relies on connected devices for smart metering, grid management, and remote monitoring – functions that will be directly affected by the 2G/3G sunset. To maintain operational continuity, energy businesses must assess their infrastructure and develop a migration strategy for alternative technologies
As Europe phases out these networks, the energy sector faces a critical transition.
Many European energy companies still depend on 2G/3G for IoT devices, requiring a shift to 4G, 5G, or LPWAN to ensure reliable connectivity and data handling. Reports indicate that despite network shutdowns, legacy technologies remain in use across various industries, highlighting the urgency for businesses to modernize their infrastructure.
Upgrading or replacing millions of devices is a significant challenge, requiring investment and strategic planning. Despite the complexities, this transition also brings opportunities - driving innovation, enhancing efficiency, and strengthening energy systems of the future.
4G, 5G and LPWAN, which is better for the European energy sector?
Choosing between 4G, 5G, and LPWAN depends on the specific needs of energy companies:
- 5G offers high-speed connectivity and low latency, making it ideal for real-time applications such as smart grids and remote monitoring.
- 4G is a stable option for existing infrastructure but may not support high data volumes as efficiently as 5G.
- LPWAN is best suited for low-power, long-range applications like smart metering, where devices transmit small amounts of data intermittently.
Selecting the right technology depends on an organization’s operational requirements and existing infrastructure.
The Case for LPWAN in Energy Connectivity
Amidst the 2G/3G sunset, LPWAN technology offers several advantages, including low power consumption, extended coverage capabilities, and cost-efficiency. These benefits align well with energy sector needs, particularly devices operating in remote locations requiring long battery life.
NB-IoT vs LTE-M: Finding the right fit
Among LPWAN technologies, Narrowband IoT (NB-IoT) and LTE-M stand out as strong candidates for energy sector applications:
- NB-IoT is ideal for low data-rate applications that require deep indoor coverage, such as smart meters and environmental sensors.
- LTE-M provides higher data throughput and mobility support, making it better suited for mobile assets and applications that require firmware updates over the air.
The choice between the two depends on specific connectivity needs and deployment environments.
Velos IoT: A Trusted Partner for the 2G/3G Transition
As the 2G/3G sunset approaches, European energy businesses need reliable connectivity solutions to ensure a seamless transition. Velos IoT provides robust Low-Power Wide-Area Network (LPWAN) coverage, supporting businesses in maintaining connectivity and operational efficiency.
Our LPWAN solutions include LTE-M (CAT-M1) and NB-IoT, available across 77 networks in 40 countries and 47 networks in 34 countries, respectively. This extensive coverage ensures reliable communication even as older networks phase out.
Beyond LPWAN, Velos IoT offers 4G and 5G connectivity to help businesses stay ahead in a rapidly evolving landscape. Our Connect LPWA solution enhances coverage and reliability - critical for managing distributed energy resources and smart grid applications. By leveraging our dynamic network capabilities, energy companies can ensure uninterrupted, secure, and efficient operations.
Check out our interactive IoT coverage map
Staying Informed: Monitoring the 2G/3G Sunset Shutdown
To navigate the transition successfully, businesses must stay informed about 2G and 3G sunset timelines and emerging connectivity options. Regularly consulting dedicated resources, like Velos 2G/3G sunset tracker, can provide valuable insights, helping organizations adapt to changes in the telecommunications landscape.
Follow our 2G/3G sunset tracker to stay ahead of network phase-outs and explore the best connectivity solutions for your business.
The 2G/3G sunset presents both challenges and opportunities for Europe's energy sector. While the transition requires careful planning and investment, it also opens the door to more advanced, efficient, and sustainable connectivity solutions. By embracing next-generation technologies and working with trusted partners like Velos IoT, energy companies can future-proof their operations and ensure seamless connectivity in an evolving digital landscape.
Speak to a Velos IoT expert
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