SUMMARY
Private 5G networks will be crucial to the development of technology infrastructure in the years to come
Though large startups have their part to play in the adoption of private 5G networks, the early adopters of this technology are expected to be manufacturing and logistics companies
As opposed to the present LTE networks, private 5G networks, being the potential cutting edge technology, can revolutionize how businesses operate
Private 5G networks are the next generation of wireless radio antennas and other transmission devices that are allocated for a particular company. Multinational companies are beginning to understand the potential of private 5G networks and have started adopting them.
According to Deloitte’s predictions, more than 100 companies across the globe have started testing 5G deployments in late 2020. Companies that are already using private LTE networks will soon make a shift towards adopting private 5G networks.
Though large startups have their part to play in the adoption of private 5G networks, the early adopters of this technology are expected to be manufacturing and logistics companies. According to a study, the private 5G network market is estimated to generate around $1375.63 Mn by the end of 2021. This value is predicted to reach around $14,284.96 Mn by 2028 with a CAGR of 39.7% between 2021 and 2028.
One of the noticeable features of wireless private 5G networks is that they can still offer fiber-like connectivity without the need for cabling infrastructure. However, the transition to 5G private networks will require investing in the right network connectivity solution across the company or industry to succeed.
Private 5G networks can be broadly classified into three categories as mentioned below.
Private Campus Networks
Private campus networks are local networks that are designed to serve a particular area exclusively. The area of the network can range anywhere between a few square meters to a few square kilometers. A campus network is limited to persons or devices that are associated within the campus region. This type of restriction provides further privacy and an added level of security. Private Campus networks can utilize either the public Radio Access Network (RAN) or a Private RAN, which adds another layer of security and privacy, and ensures high throughput without external interference.
Nationwide Private Networks
These are networks that typically manage and control devices that are distributed across a given country; in this case, the solution comprises private network and management functions that are private to the organization while utilizing the existing radio access network (RAN) of the public mobile operators in that country. The most popular use cases for such networks are utility providers (e.g. National Electricity companies managing smart meters) and national logistics companies; the main drivers for these networks are security (mainly cybersecurity protection) and control (refers to the ability of these organizations to integrate these networks with their corporate IT, monitoring and control systems).
Global Private Networks
Global private networks are a new and quite unique approach, targeted mainly for truly global startups, such as large logistics companies, car manufacturers and large corporations with multiple facilities in different countries and regions.
The concept behind these private networks is that each of these enterprises will have its own private slice in every country, therefore will ensure the same quality of service, configuration and security all over the world.
One such startup, floLIVE has built a global connectivity management service, comprising an array of globally distributed core networks, each supporting cellular technologies ranging from 2G to 5G; serving as the basis of their global international mobile subscriber identity (IMSI) library – the largest of its kind.
Through this platform, the company serves global enterprises, mobile operators and IoT service providers who can either use the entire platform-as-a-service or complement their existing assets.
All 5G solutions are based on Software-defined Connectivity (SDC) infrastructure – a modern framework that abstracts the complexities and legacy protocols associated with the telecom industry and exposes them in a modern, automation-driven platform that exposes a rich REST API suite that seamlessly integrates with customers’ existing corporate policies and is compliant with necessary regulatory requirements.
Benefits of adopting a private 5G network
Reliability
5G private networks are said to be 10 times faster than LTE networks and offer 3 times LTE’s spectrum efficiency. By deploying private mobile networks on such available spectrum ranges, enterprises can experience much more reliable means of connectivity. Additionally, cellular networks are synchronized between the source and destination points, ensuring the device stays connected even if it moves from one place to another. Security systems and fire alarms depend on continuous connectivity. For cases like this, private 5G networks are the best option.
Latency
Latency is the time taken for the data to travel to the source and the destination. At present, the approximate latency of the LTE network is 50-70ms. With 5G networks, this latency is said to be reduced down to 2-5ms. For time-sensitive applications like virtual reality (VR), augmented reality (AR) and Smart Manufacturing – latency is a critical aspect!
With private 5G networks and 5G Edge computing technologies, product development companies can explore new business opportunities to develop latency-sensitive applications that can help in the field of telemedicine, public safety etc.
Device Density
Industries are widely adopting IoT infrastructure. As the number of devices keeps increasing, the existing networks tend to show some latency. Hence it will soon become mandatory for enterprises to adopt private 5G networks in offices, industries, storage areas among others, as the 5G network is said to support around 1 Mn devices per square kilometer. This makes a private 5G network a perfect option for busy wireless environments.
Reducing manufacturing costs with the help of automation being the goal of industrial 4.0, private 5G networks will for sure have a positive impact on the adoption of IIoT in manufacturing industries.
Security
Offering security and maintaining the integrity of your business data should be the top priority for a private network. 5G networks are pretty self-sufficient in providing security measures such as resilience, secure communication, identity management, privacy and more.
Startups are always the early adopters of any new emerging technologies in the IT industry. This is the same when it comes to private 5G networks as well. As opposed to the present LTE networks, private 5G networks, being the potential cutting edge technology, can revolutionize how businesses operate and help in exploring various business opportunities.
