Marelli, a global automotive technology supplier, has launched its innovative Affordable 5G RedCap technology, designed to enhance vehicle telematics. This new solution offers a significant upgrade over 4G, providing a 50% increase in data rates and reducing latency by 2.5 times, all while maintaining a comparable price point to current 4G modules. This development is poised to be crucial as 4G networks begin to phase out, with projections indicating this could start as early as 2030 in some regions.
Key Takeaways
- Offers a 50% higher data rate and 2.5 times lower latency than 4G.
- Provides an affordable alternative to traditional 5G for automotive applications.
- Ensures compliance with U.S. Hardware and Software Ban and USMCA requirements.
- Seamlessly switches between 4G and 5G networks for uninterrupted connectivity.
- Integrates dual-frequency GNSS, next-generation Wi-Fi, and Bluetooth.
Bridging the Connectivity Gap
Affordable 5G RedCap is a simplified version of 5G technology, tailored for the automotive sector. It addresses key industry pain points such as the upcoming 4G sunset, obsolescence, and the need for cost-effective, compliant solutions. Marelli’s offering boasts reduced hardware complexity and minimal power consumption, making it particularly beneficial for electric and connected vehicles. The technology is designed to seamlessly transition between 4G and 5G networks, guaranteeing continuous connectivity even in areas with limited 5G coverage.
Enhanced Features for a Connected Experience
Beyond its core connectivity improvements, Marelli’s solution integrates advanced features to enrich the user experience. This includes dual-frequency GNSS for more precise navigation, alongside next-generation Wi-Fi and Bluetooth capabilities. These enhancements support a range of applications, from seamless media streaming and real-time navigation updates to efficient over-the-air (OTA) software updates for vehicles.
A Game-Changer for Automotive Telematics
Nate Sladek, Vice President of Strategy and Product Management for Marelli’s Electronics business, highlighted the significance of this innovation. "Affordable 5G RedCap is a game-changer in automotive telematics," Sladek stated. "It solves for all the pain points we hear from vehicle makers today – 4G sunset, obsolescence, affordability, U.S. Ban and USMCA compliance." He emphasized that by delivering advanced connectivity at a price point close to 4G, Marelli is setting a new standard for accessible automotive connectivity, especially for vehicles that do not require the full capabilities of traditional 5G.
Marelli is actively partnering with a leading telematics module supplier to ensure this next-generation solution meets stringent U.S. regulatory requirements, including the U.S. Hardware and Software Ban and USMCA compliance for in-region manufactured content. The company is ready to demonstrate the technology, with production samples expected in early 2026 and the first global start of production targeted for 2028.
Performance Comparison
| Feature | Traditional 5G | Affordable 5G RedCap | 4G Cat. 4 |
|---|---|---|---|
| Bandwidth | Up to 100 MHz | Up to 20 MHz | Up to 20 MHz* |
| Latency | As low as 1 ms | ~20 ms | ~50 ms |
| Data Rate | Up to 2 Gbps | Up to 220 Mbps | Up to 150 Mbps |
| Device Cost | High | Lower than 5G | Moderate |
| Power Consumption | High | Moderate | Moderate |
*Note: Today up to 20 MHz – this will reduce significantly once phase-out of 4G networks starts.
Marelli, with approximately 40,000 employees and over 150 sites globally, is committed to transforming mobility through innovation, aiming for a safer, greener, and better-connected world.
Sources
Founder Dinis Guarda
IntelligentHQ Your New Business Network.
IntelligentHQ is a Business network and an expert source for finance, capital markets and intelligence for thousands of global business professionals, startups, and companies.
We exist at the point of intersection between technology, social media, finance and innovation.
IntelligentHQ leverages innovation and scale of social digital technology, analytics, news, and distribution to create an unparalleled, full digital medium and social business networks spectrum.
IntelligentHQ is working hard, to become a trusted, and indispensable source of business news and analytics, within financial services and its associated supply chains and ecosystems
