ePrivate 5G and partner ecosystems: The blueprint for intelligent infrastructure

Private 5G networks and collaboration between technology partners underpin the next wave of innovation and enterprise digital transformation

Graphic showing a block of 5G amid blocks of Wi-Fi
(Image credit: Getty Images)

Private 5G adoption is on the rise. Since its introduction to the market in 2021, this technology and its corresponding partner ecosystem have matured significantly. In fact, analyst firm Gartner's research states that the market for network equipment and services for 4G and 5G private managed networks will reach $45.3 billion by 2033, up from $2.2 billion in 2023. And Omdia estimates high double-digit growth globally – up to 17.3% CAGR by 2029.

What is driving this increased demand? It stems from enterprise digital transformation strategies, AI deployments, and the rising number of smart devices being implemented. Private 5G offers reliable connections, low latency, inherent security, and the ability to handle large amounts of data. Enterprises benefit from greater operational efficiency, better employee decision-making, and improved customer experience.

This opens up new applications and use cases across the enterprise as data can easily – and securely – be transferred, analyzed, and used for real-time decision-making on factory floors, computer vision monitoring of production lines or shipping yards, and improving worker safety.

The evolution of the private 5G device ecosystem is propelling further adoption and use cases across the enterprise. With the growth of device types ranging from industrial IoT sensors to automated guided vehicles and collaborative robots (Cobots), the race is on to implement a network that can handle the needs of Industry 5.0 transformations.

Enterprises are turning to system integrators and channel partners for solutions that can address their use case needs rather than just implementing a technology solution. This focus on what the solution can do, rather than the technology itself, is pushing forward partnerships that create a dynamic and innovative ecosystem.

Private 5G ecosystem accelerates digital transformation and innovation

System integrators, traditional telecom providers, device manufacturers, and channel partners are coming together to address the needs of enterprises. It is about how to enable new implementations and use cases specific to vertical markets, including healthcare, logistics, and manufacturing. For instance, serverless infrastructure solutions are easier to deploy and less expensive for many of these industries.

Security is a key use case where partnerships between industry leaders offer enterprises a more advanced solution. Palo Alto Networks - which has partnered with NTT Data to enhance private 5G security in industrial and operational technology (OT) environments - stated in its 2024 State of OT Security report that 70% of industrial organizations experienced a cyberattack on their OT environment in the last year, with 25% of these leading to operational shutdowns and disrupting business continuity.

Edge AI and physical AI deployments are driving additional innovative use cases for digital transformation. For enterprises to fully take advantage of AI-based solutions, they may need a secure, low-latency private 5G network to transfer data and 5G-enabled devices to collect that data at the edge. Some 74% of CIOs are under pressure to implement AI strategies, according to Gartner, yet many struggle to define a clear return on investment. While data is abundant, transforming it into actionable insights remains challenging.

Manufacturing, healthcare, transportation, and other vertical industries specifically seek companies whose partnerships offer a full-stack approach to edge AI and physical AI, combining connectivity, compute, and intelligence in a seamless package. Omdia states that manufacturing, mining, and ports are among those industries with the highest deployment of private networks in 2024.

For instance, NTT Data is deploying a private 5G network throughout Hyster-Yale Group’s manufacturing operations. Hyster-Yale Group is using NTT Data’s device-as-a-service to gain visibility into assets and materials and improve communications within its facilities. This network works with Zebra Technologies’ handheld mobile computers and tablets to track assets and materials as they enter and exit manufacturing sites and connects engineers, onsite teams, production lines, and materials storage locations.

Partnerships drive forth a new level of collaboration

Adoption of private 5G is not only related to the use cases within an enterprise and the partnerships between technology firms. Channel partnerships, such as those that offer more traditional telecom services and other system integrators, are creating innovations on how enhanced connectivity is brought to market.

One instance is Eurofiber, a provider of open digital infrastructure and cloud solutions, which recently partnered with NTT Data to bring a mobile private network 5G service to businesses in the Netherlands. Partnerships such as these offer enterprises various options for finding the right network connectivity that meets their needs.

Private 5G networks are advancing enterprise digital transformation and serving as the underpinning of the next wave of innovation in Industry 5.0. Enterprises value these private networks due to improved reliability as they provide higher bandwidth, real-time communications, and support for a large number of connected devices.

As the private 5G ecosystem continues to expand, driven by IoT devices and edge computing demands, collaboration between technology partners will only continue to grow. These alliances will combine technology solutions with service offerings to deliver unparalleled enterprise support – they are driving new forms of innovation within enterprises and how connectivity can be brought to them.

Parm Sandhu
Group vice president enterprise 5G and edge compute products and services, NTT Data

As group vice president, enterprise 5G and edge compute products and services, Parm is responsible for private 5G and edge compute product management, including offerings and technologies that help companies drive transformational change.

Parm has more than 30 years of experience leading transformative initiatives, including wireless IoT connectivity services strategy and planning, edge computing, 4G and 5G products and service development, broadband and FTTH services development, private and public wireless network deployments, and telecom inside plant operations.  

Most recently, he was a senior director, strategy and planning with Sierra Wireless, an IoT pioneer, empowering businesses and industries to transform and thrive in the connected economy.