NTT:
Over 80% of CIOs and Senior Leaders Plan to Deploy Private 5G Networks Within
the Next 24 Months
Research of over 200 CIOs and top executives shows the acceleration of
private 5G networks as organizations look to improve security, reliability, and
speed
NTT Ltd., a global technology and business solutions
provider, is releasing a new report developed by Economist Impact. The report,
‘Private 5G here and now’, reveals insights from a survey of 216 CIOs and
senior decision-makers from the UK, US, Japan, and Germany, examining the
industry challenges around the implementation and adoption of private 5G. The
report shows a significant interest in private 5G networks, with 90% of
executives expecting that private 5G will become the standard network choice.
Where is private 5G being deployed?
The research shows that just over
half of companies (51%) planning to deploy a private 5G network will do so
within the next six to 24 months to improve security, reliability, and speed,
with 30% of these respondents already deploying or being in the process of
deploying a private 5G network. The most significant interest is from German
organizations, with 40% of German businesses deploying private 5G networks.
This is followed by 28% of UK firms, 26% of Japanese firms and 24% of American
firms.
The majority (80%) of executives
agree that Covid-19 has made it easier to secure the budget needed for 5G
deployment. This attitude is strongest in Germany (93%), followed by the US
(83%), the UK (77%) and Japan (65%).
Security concerns are accelerating
private 5G adoption
With ransomware on the rise, the CIO
and CISO are looking for ways to shore up their defences against increasingly
sophisticated attacks. The report finds that 69% of executives agree that the
security of their current infrastructure is not strong enough. Other pain
points include the control of enterprise data (48%), coverage and speed (43%)
and the response time (latency) of their current service provider (40%). When
compared with technologies such as Wi-Fi and Public 5G, private 5G networks
provide significantly more security capabilities.
83% of executives rate improved data
privacy and security as a very important outcome they expect to achieve with
the implementation of private 5G networks. It is clear that CIOs want security
and control while also enabling digitalization – and believe a local private 5G
network will enable these critical business requirements. This is encouraging
enterprises to build and run their own private 5G networks.
Challenges and successful deployment
strategies for private 5G
The report identifies that the most
common (44%) barrier to deploying private 5G networks is integrating the
technology with legacy systems and networks. The complexity surrounding the
deployment and management of private 5G networks is also cited as another
significant barrier by 37% of respondents. Employees lacking the technical
skills and expertise to manage 5G networks is the third most common barrier
facing 30% of firms.
This is one of the reasons why outsourcing
to a managed service provider is the preferred approach by 38% of CIOs when it
comes to implementing private 5G networks. Buying private 5G network
‘as-a-service’ can accelerate time to adoption and offer a better end-user
experience and return on investment.
Private 5G powers digital
transformation across industries
“The research highlights that the
adoption of private 5G is happening now. The companies leveraging private 5G
will have an unprecedented competitive advantage. Whether a company owns a
factory floor, distribution centers, storefront or office space, private 5G can
dramatically help digitize their businesses securely”, said Shahid Ahmed, Group
EVP, New Ventures and Innovation at NTT Ltd.
Source: NTT Ltd. media announcement
