Stay ahead of the game with our insights on how private networks shaped up in the first half of 2022, providing secure connectivity for businesses.

In the first half of 2022, the LTE and 5G private networks space witnessed significant developments. Large and small companies entered the field as vendors and system integrators. Collaborations among various vendors increased and regulatory changes were also introduced. During this time, the number of enterprises utilizing a private network increased from 656 in February to 794 in June, indicating a 21% climb in just four months. Here is a recap of some of the top developments in private networks in the first half of 2022.

Tech Leaders Bet on Private Networks

In Q1 2022, we saw some major companies enter the private networks market using MWC 2022 as a launch pad.

• Cisco announced a new network-as-a-service (NaaS) private 5G offering that aims to reduce Capex and operational challenges for enterprises. Cisco’s private network offering is intended to integrate easily with Ethernet, Wi-Fi, and Cisco’s IoT Control Center
• ZTE launched an all-in-one private 5G network-as-a-service offering
• Hewlett Packard Enterprise (HPE) announced they were diving into the private networks market with a private 5G and Wi-Fi offering on a pay-as-you-go basis
• HTC partnered with Supermicro to showcase a network-in-a-box solution combining a 5G core, remote radio unit and baseband, and an L3 switch

Recently, Google announced its entry into the private network space with a distributed edge cloud infrastructure to host private 5G solutions. Notably, Google is among the few companies that can provide the required ESC (Environmental Sensing Capability) and SAS (Spectrum Access System) on the US CBRS front, which is essential for utilizing the shared spectrum.

Collaborations Gain Momentum

As the number of private networks rises, we see that most deployments are done using multiple vendors. No single supplier has all the necessary components, such as core, RAN, access points, spectrum access, and user devices, to offer a complete end-to-end private network solution. Therefore, vendors are building partnerships, sometimes for long-term collaborations, sometimes for specific deployments, and occasionally to focus on specific verticals, to deliver end-to-end private network solutions. For instance, Nokia has teamed up with Cellnex, Kyndryl, and Comcast. Ericsson works with Ambra Solutions on private network opportunities in the mining sector and BT in the UK. Samsung has joined forces with Amdocs and NTT East to bring private networks to enterprises.

Other collaborations include:

• Verizon Business will offer a turn-key private networks solution with Celona products under the Verizon brand. Tami Erwin, CEO of Verizon Business, said, “We believe that private networks, public edge compute, and business application/solutions will be a huge revenue generator for Verizon.”
• AT&T is working with Microsoft to develop an integrated platform for private LTE and 5G wireless networks called AT&T Private 5G Edge. This platform will allow subscribers to switch seamlessly between a private network and AT&T’s public network Microsoft and Qualcomm are collaborating on a new private 5G solution for enterprises that utilizes Qualcomm Private Networks RAN Automation Platform, with Microsoft’s Azure offering. Additionally, Qualcomm has launched its 5G Private Networks Partner Ecosystem Program
• Multi-carrier IoT connectivity provider Kajeet is working with the Open Networking Foundation (ONF) to bring private networks and edge cloud as a cloud-managed Network-as-a-Service

Regulatory Changes Could Open New Markets

India, the world’s second-largest wireless market and a promising potential market for private networks, recently decided to reserve bandwidth for private networks, called ‘captive networks’ in India. Furthermore, non-telecom companies will be able to bid for the spectrum in an auction scheduled for later this year. However, the Cellular Operators Association of India, representing the country’s three largest mobile carriers, has opposed the idea of enterprises being granted access without them, claiming that it would threaten their future revenues.

The Communications Regulatory Authority (CRA) in Qatar is seeking public input on the potential implementation of private 5G networks, and the various options that could be explored. These options include enabling existing operators to offer private networks, allowing enterprises to directly access the spectrum, or establishing a new public entity that would be dedicated solely to granting private wireless networks to enterprises.

Private Network Deployments are Happening in a Variety of Sectors

Private wireless networks have extended their reach beyond just schools and factories, and are no longer limited to usage in mines and on farms. Nowadays, private LTE and 5G networks are being utilized by a wide variety of organizations, including utility companies, seaports, smart cities, and warehouses. These networks are being deployed to facilitate high-speed, low-latency, and massive machine-to-machine communications, among other applications.

One use case, long discussed but still met with heavy skepticism, is remote surgery, which will need not only high speed and low latency but incredible reliability, is finally on track. A surgical simulation was held recently in France and Greece using a private 5G network operating in the 26 GHz band. The hospital used ultrasound images and X-rays in an augmented reality application. The trial successfully demonstrated the advantages of a lack of cables in the operating room and highlighted the benefits of using multiple imaging devices.

Conclusion

The first half of 2022 has seen many partnerships and collaborations, and the number of publicly announced private networks has increased significantly. With the “as-you-go” model gaining traction, several vendors are turning their attention to small and mid-size companies. Additionally, there is a possibility that India may open up to private networks. Based on these developments, we anticipate that the second half of 2022 will witness a higher rate of growth in private networks than what was seen in the first half of the year

Read this report to learn more about the State of Private Networks over the First Half of 2022.