Phones that use 5G technology should be switched off during flights, a French regulator says. AFP
Phones that use 5G technology should be switched off during flights, a French regulator says. AFP
Phones that use 5G technology should be switched off during flights, a French regulator says. AFP
Phones that use 5G technology should be switched off during flights, a French regulator says. AFP

Warning: 5G phones could interfere with aircraft signals


Neil Murphy
  • English
  • Arabic

New 5G phone technology could interfere with aircraft signals and affect altitude instruments that are critical for landing.

Phones that use the technology should be switched off during flights, the French Civil Aviation Authority said on Tuesday.
"The utilisation of 5G devices onboard aircraft could lead to risks of interference that could potentially result in errors in altitude readings," a spokesman said.

The potential danger is because of "signal interference from a close frequency source of a strength that is similar or even superior to that of altimeters."

This interference can cause errors "in instruments that are extremely critical during landing," said the agency, known by its French acronym DGAC.

It sent a bulletin on the issue to airlines last week, recommending that 5G phones should either be turned off completely or switched to "airplane mode" during flights.

Most countries have long required that mobile phones be turned off or placed in flight mode because of concerns that previous generations of mobile telecommunications networks can interfere with a plane's navigation and communication equipment.

The DGAC also recommended in cases of disruption to aircraft equipment that the flight crew immediately notify air traffic controllers who can then alert airport authorities.

DGAC said that it had laid out conditions for the positioning of 5G base stations in order to limit the risks of interference during landing at French airports.

Technicians are roped up as they install 5G technology, which could interfere with aircraft signals according the French Civil Aviation Authority. Reuters
Technicians are roped up as they install 5G technology, which could interfere with aircraft signals according the French Civil Aviation Authority. Reuters

The strength of signals from 5G base stations placed near France's main airports has been restricted, said the DGAC, which has been conducting additional testing since November when French telecommunications operators were given approval for 5G services.

It is continuing to monitor 5G base stations around all French airports in co-operation with the agency responsible for radio frequencies.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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