Boom year for private 5G?

28. 08. 2021 Saturday / By: Robert Denes / Industrial / Exact time: BST / Print this page

A nalysts at ABI Research report that the traditional telecommunications community is transforming its corporate operations, including creating brand new business units to deliver custom 5G networks for private industrial use and making 2021 a “blessing year” for “5G and cutting edge networks”. Carriers AT&T, Telefonica, Verizon and Vodafone, as well as distributors from Ericsson and Nokia, have reorganized their battles in industrial markets.

Together, hyper-scaling cloud providers Amazon, Google and Microsoft are stepping up their efforts to provide carbon-based storage and, most importantly, computing solutions in enterprise locations and multi-access edge (MEC) infrastructure on operating networks. In addition, the entire ecosystem of service providers is pinched for the position. “All of these players are investing heavily in cutting-edge locations, 5G infrastructure and backbone networks.”

The company ran its forecast a year ago that revenue from private 5G networks would grow from $ 1.6 billion in 2021 to $ 65 billion by 2030, at a compound annual growth rate of 60 percent. The broader technology ecosystem is beginning to spread in the sector, he said, referring to the activities of “data center companies, enterprise terminals, public cloud providers and content network providers”. They are all making money from the private 5G wave.

Don Alusha, senior analyst at ABI Research 5G Core and Edge Networks, said: “With 5G edge networks, every corporate commitment is a unique task. Consequently, communication service providers (CSPs) and suppliers want to create business models driven by different technical and commercial performance indicators. This is in contrast to product-driven solutions that fit well with mass market, country, and region-specific subscriber models.

“The introduction of 5G cutting-edge networks is the first time the industry has focused on business development and integration with vertical industries. To this end, first-tier CSPs [for example] AT&T, Telefonica, Verizon and Vodafone, as well as manufacturers Ericsson and Nokia, will create new corporate business units. In addition, hyperscalers such as Amazon, Google, and Microsoft are taking a strategic approach with new solutions to leverage the value of 5G and edge."

“CSPs have their own extreme infrastructure that has potential for local computing and low latency connections, but has limited cloud-based experience. Cloud providers are agile and innovative. With the right collaboration agreements, there is no reason why 5G-led computing should not reach all parties involved. Currently, however, no one can predict where this will lead. It will be an immersive journey."

According to the company, there are a number of obstacles. business affairs require more work and hardware and software need to be redesigned for distributed and restricted habitats. “Building a 5G edge network is the first step. The second is to figure out how to integrate these technologies into business processes - which may not be a matter of technology, but an effort to initiate a change in marketing, sales, and product design. This is still the subject of much debate in the industry."

Via Link




Canning Town, Barking Road
London E13 8EQ
United Kingdom