UNLOCKING ENTERPRISE POTENTIAL WITH PRIVATE 5G/LTE NETWORKS

By Hema Kadia, TeckNexus Last Updated: June 13, 2024

Collected at: https://tecknexus.com/5g-network/unlocking-enterprise-potential-with-private-5g-lte-networks/

As industrial enterprises navigate the complexities of digital transformation, the demand for robust, reliable, and scalable connectivity solutions has never been greater. Private 5G/LTE networks are emerging as a critical component, offering unprecedented levels of performance, security, and flexibility. This article explores the strategic importance of Private 5G/LTE networks, the innovative solutions driving their adoption, and how industrial enterprises can leverage these technologies to achieve significant operational advantages.

The Strategic Importance of Private 5G/LTE Networks for Industrial Enterprises

Private 5G/LTE networks are revolutionizing operations in the industrial sector by providing dedicated connectivity solutions tailored to specific business needs.

Key benefits include:

Enhanced Security and Privacy: Operating on a private spectrum, these networks offer superior security and data protection, essential for industries handling sensitive information.
Improved Connectivity and Coverage: Private networks ensure reliable, high-quality coverage, especially in challenging outdoor environments where Wi-Fi networks may falter.
Network Customization and Control: Enterprises gain full control over their network infrastructure, allowing customization to meet unique operational requirements.
Total Cost & ROI of Digitization: While initial investments can be significant, long-term operational savings and efficiency gains often outweigh the costs.
Innovation Enablement: High bandwidth and low latency, combined with IoT, AI, and machine learning technologies, empower enterprises to implement advanced use cases, driving innovation and operational efficiency.

Current State of Private 5G/LTE Networks

In 2023, there were nearly 3,000 private 5G and LTE network deployments, with some already in production, others in the Proof of Concept (PoC) phase, and some in trial phases. Looking ahead to 2028, this number is expected to skyrocket to 60,000 networks. From a revenue projection standpoint, nearly $1 billion was invested in these networks in 2023. By 2028, the Total Addressable Market is anticipated to reach approximately $21 billion.

Regarding connectivity technologies in 2023, 54% of deployments leveraged private LTE, 24% utilized private 5G, and 22% employed a blend of private 5G and LTE. By 2028, private 5G deployments are expected to nearly double, though many will continue to rely on private LTE.

Key sectors benefiting from private networks include manufacturing, mining, transport and logistics, energy and utilities, and education. The largest deployments are currently seen in the US and Europe, but the Asia-Pacific region is gaining significant momentum.

This information is based on research from TeckNexus and corroborated by external research reports from GXC, Analysys Mason, Berg Insight, and STL Partners.

GXC Onyx: Tackling Industrial Connectivity Challenges

GXC’s Onyx solution exemplifies the transformative potential of private 5G/LTE networks. Onyx provides a comprehensive, end-to-end approach to deploying and managing private networks, ensuring seamless and efficient operation from initial design to ongoing optimization.

Consultative Approach: GXC begins by understanding clients’ specific goals and challenges, ensuring that solutions align perfectly with operational needs and strategic objectives.

Seamless Deployment: Onyx‘s deployment process includes:

Day Zero: Initial design consultation to map out the network infrastructure. Our experts discuss your deployment specifics to truly understand the situation you face today & create a design & a plan for installation with you.
Day One: On-site installation and configuration for immediate network operation. A team of efficient installers can deploy the Onyx solution (APs and other nodes) and have it up and running in a few hours.
Day Two: Ongoing management and optimization, including KPI monitoring and network expansion.

Innovative Technology: GXC’s Onyx is the only solution in the market that comes with all required elements (APs, Antennas, Core, SIMs, software & hardware) to connect any type of industrial environment, including the remotest possible areas.

Onyx features an industry-first Cellular Mesh Technology, enabling a completely wireless deployment without extensive cabling. The Mesh node, patented by GXC’s office of the CTO and co-founder Hardik Jain, enables reliable connectivity in remote or hard-to-access areas due to terrain or other limitations. When laying cables and obtaining permits is typically impossible due to safety and security concerns, the GXC Mesh Node (shown near the water in the image below) simplifies coverage with its wireless-in and wireless-out capabilities, eliminating the need for cables. This capability is especially beneficial for locations such as construction sites, oil rigs, or temporary event venues, where rapid deployment and flexibility are crucial. The GXC Mesh Node not only overcomes logistical challenges but also enhances safety by reducing the need for extensive physical infrastructure in hazardous environments

Heat Map of GXC deployment w/ Mesh node

Case Study: Transforming a Manufacturing Campus with Onyx

A compelling example of Onyx’s impact is its deployment in a large manufacturing campus, which faced significant coverage and connectivity challenges.

By implementing GXC’s private network solution, the enterprise achieved annual operational savings of $6.5 million, underscoring the tangible benefits of private 5G/LTE networks.

Challenges

Coverage gaps across large areas, including production floors, warehouses, and outdoor storage yards.
Pen & paper-based methods leading to delays and other operational inefficiencies due to lack of connectivity.
Need for a cost-effective solution delivering high ROI.

Solution

Installation of a combination of indoor and outdoor access points (7 APs total) for comprehensive coverage.
Use of mesh nodes to extend coverage without extensive cabling.
Centralized management system for real-time monitoring and adjustments for all network components, including SIM cards.

Results

Annual savings of $6.5 million by enhancing operational efficiency.
Seamless coverage ensures reliable connectivity for all devices and applications.
Real-time data transmission enables quicker decision-making and streamlined workflows.
Scalable infrastructure accommodating future growth and new technologies.

Download the webinar slides here to get more info on the above case study.

Key Factors for Successful Private Network Deployment

Industrial enterprises must consider several critical factors to ensure optimal performance and ROI when deploying private 5G/LTE networks:

Security: Robust measures to protect sensitive data and ensure compliance.
Performance: High bandwidth and low latency are essential for industrial use cases.
Reliability: Continuous, dependable service for mission-critical applications.
Scalability: Capacity to grow with the business, supporting increased demand and new use cases.
Cost Effectiveness: Evaluation of ROI and operational benefits to justify the investment.

Collaboration in the Private 5G/LTE Ecosystem

Successful deployment and operation of private 5G/LTE networks often require collaboration across a broad ecosystem of technology partners. Companies like Intel and Dejero contribute scalable, flexible network solutions and multi-transport connectivity, ensuring seamless integration with existing enterprise infrastructure.

Looking Ahead: The Future of Private 5G/LTE Networks

The adoption of private 5G/LTE networks is set to accelerate significantly, with a compound annual growth rate (CAGR) of 33% in deployments projected by 2028, according to Berg Insight. Additionally, Analysys Mason reports that network spending will increase at a CAGR of 48%, rising from USD 1 billion in 2022 to USD 9 billion by 2028.

Industrial enterprises that invest in their digitization efforts today will be well-positioned to harness the full potential of their investment, driving innovation efficiency and gaining a competitive edge.

Final Thoughts on Private 5G/LTE Networks

Private 5G/LTE networks are more than just a technological upgrade; they represent a transformative shift in enterprise connectivity and operational efficiency. Solutions like GXC’s Onyx showcase the significant benefits these networks can provide, from cost savings to enhanced performance. As industrial enterprises recognize the value of private networks, widespread adoption, and continued innovation in this space are anticipated.

Investing in private 5G/LTE networks is a strategic imperative for industrial enterprises aiming to stay ahead. Leveraging the expertise of industry leaders like GXC, Intel, and Dejero, businesses can unlock new levels of productivity, security, and scalability, paving the way for a more connected and efficient future.