Despite private 5G services growing fast for enterprise use, IT managers are still learning how these services can help their operations and whether their organisations recognise the technology’s value. Currently, these service providers are targeting companies that use wired Ethernet LANs and Wi-Fi in their enterprise networks. Ethernet can be difficult to install and manage, and Wi-Fi can have coverage issues; 5G aims to solve these issues while also offering very low latency.
The 5G market has been run by just a handful of telecoms giants like Verizon, but tech giants such as AWS, Cisco, and HPE have since entered this market in the last few months which should have IT managers reviewing the offerings of 5G networks – whether it be for shipping and delivery fleets, robotic manufacturing, or tablets in factories and warehouses.
We have even seen telecoms companies partner with big tech, such as AT&T and Microsoft partnering to developing ‘Private AT&T Edge’ which allows users to roam beyond the geographical boundaries of the private network and remain connected through the AT&T public network. Qualcomm is another company partnering with Microsoft, but this time to offer pre-integrated solutions that can simplify enterprise 5G networks.
Verizon has partnered with Celona to provide 5G solutions for small and medium-sized enterprises too, in an effort to expand the target market. According to the companies, the solution will be usable with the CBRS spectrum. Another name you may not have heard of in this space is ‘Federated Wireless’ and they have so far raised $210 million. They produce spectrum access systems (SAS) that enable enterprises to use shared spectrum in the 3.5GHz band on 5G networks without any interference problems. These spectrum offerings are pivotal as the FCC finished auctioning the CBRS to utility companies, rural telcos, and large universities in August 2020. This spectrum offering expanded the 5G opportunities for private networks and supplied added inventory for carrier, enterprises, and other interested parties.
These private networks aren’t just pipe dreams either, they’re currently being trialled. Betacom launched a managed private 5G service in May of last year. They deploy the network design, deployment, and management of the service, but the customer retains ownership of the network and local control of their data through a NOC hosted on Microsoft Azure. Betacom is now in the early stages of a service trial with Dallas Forth Worth Airport, trialling the network to help higher baggage handling accuracy and efficiency. This ‘5G-as-a-service’ helps the airport with mission-critical applications and reduce baggage costs.
Finance is another industry where 5G is currently being implemented, with Verizon announcing it has taken on BlackRock as its first commercial customer in their new headquarters in NYC. Verizon explains this service offering provides high speeds and low latency for their customer’s trading floor, auditorium, conference centre, and meeting rooms.
As a large influx of investment and funding enters the 5G space, the entrance of big tech companies, and companies already trialling 5G private networks – we are not too far from commercial implementations of 5G as service providers compete for customers and settle on monetisation strategies so companies can determine how 5G can affect their operations. From this year onwards, 5G offerings will continue to grow as this space becomes much more competitive.
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