Private 5G vs WiFi: Will Organizations Ditch WiFi to Future Proof Business?

By Damian Hanson, Co-Founder & Director of CircleLoop

 

The surge in private 5G network deployments from cloud giants such as Amazon Web Services (AWS) has promised a new era of ultra-low latency required for faster, reliable internet connectivity.

The overall high-speed nature of 5G and the increase in network efficiency will be a huge benefit for business communications from an operational perspective. Partnerships are being established to commercialize the development of private 5G within the UK market.

Savvy businesses are seeing the benefits of this technology and making the transition to revolutionise their offering. So the question is, will private 5G networks dethrone WiFi or will it be an interchangeable solution for businesses?

Damian Hanson

 

The widespread development of private 5G networks

According to research from national innovation network UK5G, 7 out of 10 UK businesses are already using or planning to deploy 5G to deliver a competitive advantage. This suggests that, despite 5G technology still being in its infancy, the huge potential of 5G in business has already been noted. Not having to work with an operator to ensure optimum connectivity is hugely appealing to business leaders.

Could this mean WiFi has finally met its match? Absolutely. Private 5G can offer businesses far greater control of how they manage and distribute their networks than WiFi can. The connectivity is more flexible and security policies are able to be designed and managed internally, allowing businesses to customise their network to how they want it.

But while Wi-Fi might finally have some competition, it’s still unlikely that the emergence of private 5G networks will replace wired connectivity for businesses. I believe this will always be the backbone of reliable communication in the UK, particularly with the amount of investment put towards it over the years.

Wired connectivity isn’t going anywhere, but private 5G networks will undoubtedly have an edge on WiFi. Businesses that have never truly felt their WiFi was providing them with exactly what they needed have an opportunity to look elsewhere, and 5G networks might be the solution.

 

The advantages and disadvantages for businesses

Private 5G networks will be particularly useful for businesses that don’t work from a dedicated office or that are based in remote locations or environments such as warehouses, factories, or larger sites where security and ultra-low latency connectivity are crucial.

A business that usually runs analytics, communications and IoT will need 5G to meet the high demands of data-hungry services and applications. Unified communications such as voice calling, chat, video and screen sharing will likely make great leaps in performance improvements thanks to 5G usage.

SMEs looking to improve their internet connectivity with 5G should also consider improving their business communication by transitioning to a cloud-based phone system. The benefits of 5G align perfectly with the requirements of cloud-based services and greatly improve their performance. Investing in Voice over

Internet Protocol (VoIP) is a flexible and cost-effective alternative to traditional phone systems that rely on a landline and will be ideal for those considering the switch to a private 5G network in the future.

Despite the numerous benefits on offer for SMEs adopting private 5G networks, there are of course risks for businesses to consider. When wider implementation of these networks gets underway, it will be essential for businesses to have the best security systems to ward off cyber criminals looking to take advantage. Firewalls, VPNs, malware software and more should all be in place and sufficient training in 5G technology will be required for technical staff.

 

Are you prepared for the 5G revolution in business?

TECHnalysis Research reported that 78% of respondents planning to deploy a private 5G network said they would like to partner with telcos. This is second to the 81% of respondents that said they would like to partner with cloud computing providers.

The data certainly suggests that private 5G networks are attracting new players at the forefront of its development. Partnerships are being put in place to ensure the right advice and guidance on implementation can help businesses prepare for emerging technologies that will rely on enhanced 5G networks.

By 2028, private 5G network sales and associated services such as installation could generate as much as $24bn in revenues. Uptake will accelerate at a higher rate compared to WiFi, and early adopters of this technology are likely to reap the benefits.

With the evolution of IoT, cloud and edge computing, connectivity will play a significant role in ensuring everything is operated without any hassle. The fifth generation of mobile internet technology will complement the usage of WiFi but will enable more businesses to leverage their connectivity on a much wider scale to improve efficiency for growth long term.

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