Bluetooth 5.0 has twice the data transfer speed of BT4.2 and four times the range. Importantly 5.0 has enough bandwidth to support two sets of wireless devices at the same time. Critical if you need IQbuds for everyday use AND want to hook up another Bluetooth device.
Its included in the latest Samsung Galaxy 8. Its not in the iPhone 7. BT5 is hardware. So would require BT5 enabled devices on both sides of the pairing - hence the need for an updated IQbuds.
I don't know if they are working on IQbuds v2 or not - I'm just looking forward to it as they will at some point. I see BT5 providing critical functionality for hearables.
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