Mobile Private Networks – Going beyond the POCs

It is quite refreshing to see the commentary around Mobile Private Networks (MPNs) now moving beyond POCs to strong, large, concrete projects. I have given several examples of these in previous editions of this newsletter. Recent discussions, articles and panels have confirmed this trend. The enterprise world now goes towards real MPN implementation. We are a momentum industry, so I see this trend only accelerating from now on.

A French survey of major MPN deployments

At the recent AGURRE’s (French association of large users of radio networks) yearly event, the first panel presented and discussed the outcomes of a survey whose respondents had actually implemented such Mobile Private Networks (MPNs) “in real life”.

Airbus’s Jacques Marsili underscored that the potential for operational simplification is huge after an MPN deployment. Often, several legacy networks using various technologies (e.g. PMR, DECT) are replaced by one cellular private network (being 4G or 5G). 56% of respondents test 4G first with the goal to go to 5G, while 25% go directly to 5G. The main reasons for going to 5G as soon as possible are the following: large UpLink needs; high-speed robots, low latency needs and high number of IOT devices.

There are of course some challenges identified by the survey, mainly around the availability of user equipment adapted to industrial needs (but improving lately) and internal budget allocation. On this latter point, the key finding (81% of respondents) is that once the MPN is implemented, a flurry of new use cases is identified and can be swiftly implemented because the MPN platform is operational.

Reliability is key for MPNs as they are now part of the critical IT infrastructure of the enterprises which have been surveyed. The guaranteed resolution time for an incident is set below 4 hours for 44% of respondents and the availability of the MPN is over 99.99% for 56% of respondents.

In summary, 61% of the respondents who have launched their MPN consider that it has exceeded the expected gains, mainly productivity gains and enhanced safety for both employees and goods. In France, this trend is recent, so the gains are estimated at 10-15% for now, but Philippe Herbert underscores that it has now reached 20-25% for example in the U.S. He also mentions a study by EY which shows that 56% of French enterprises declare having investment plans based on 5G MPN in the next 3 years.

Karim El Naggar, MD Broadcast and Networks at TDF, summarized the panel and the next steps. He noted that we have now passed the POC period. We now go towards commercial deployments, which will in turn address the remaining challenges for the next wave of enterprises. He segmented the French MPN market around 4 pillars: critical networks (transport, grids, etc.), large infrastructures (ports, airports, etc.), industrial companies (today greenfield sites, tomorrow brownfield sites which will require relevant expertise) and finally mid-market (medium-sized enterprise) which will require packaged solutions. In France alone, the market for MPNs is poised to grow at a 40% yearly rate reaching 1.5Bil. € by 2030!

Speaking of mid-market, an impressive demonstration was presented “live” just after the panel during which Obvios and RED Technologies set up a full Mobile Private Network (Core + RAN) targeted at SMEs in less than 10 minutes!

The bigger picture

Now when we adjust the lens and look at the global environment, we must acknowledge that Enterprise spending is affected by external factors. During their latest “Predictions 2025” live event in London, Bola Rotibi at CCS Insight highlighted a few of them, including geopolitical environment (elections, war), inflation, supply chain constraints, changing work practices and skills gap.

When considering the homeworking trends (33% in the office full-time in 2024, down from 56% in 2023), Bola acknowledges that WiFi is the primary means for connectivity, whether at the office, at home or on-the-go (e.g. hotels, airports). Unreliable WiFi is the biggest connectivity frustration for employees, and it needs to be addressed, e.g. with robust cellular connectivity.

Looking at these trends worldwide, it is worth noting that more and more mega-sized Mobile Private Networks are being or have now been deployed. The list that RCR Wireless has recently provided here is split between multi-campus networks (such as Airbus or John Deere) and wide-area private networks (such as smart cities or Private Transport Authority in Western Australia). In such wide-area cases, it is extremely important for the MPN to benefit from low-band spectrum such as 450MHz. Here, the best example is set by Aramco and its affiliate Aramco Digital which paves the way to develop the 450MHz ecosystem with Qualcomm.

The possible allocation of the 450MHz band in Europe and in France was actually the last theme of the AGURRE workshop in Paris, featuring among others Patrick Lagrange at the French regulator Arcep. No promises were made, and it will likely take some time, but it was important to put a stick in the ground and open the discussion at all levels. The example of the 450Connect in Germany was shown as a best practice, with 1700 LTE450 sites deployed all over Germany for critical utilities networks.