Spirent Communications has released its "Accelerating
Private Networking Value Creation" survey, providing insights on key
trends and requirements around the adoption of 5G private mobile
networks (PMNs). The survey identified technical and commercial drivers,
challenges, service level management (SLM), delivery ecosystems, and
buying centers for private 5G networks. The report is available to download here.
"Private networks are emerging as a viable alternative to traditional
enterprise networks, offering a wide range of benefits," said Spirent's
principal strategist for private networks, Marc Cohn. "But the
disaggregated private networking ecosystem, wide range of domains,
technologies and diversity of user cases result in much greater
complexity than the traditional wide area networks (WANs) enterprises
have previously relied on."
The market survey of prospective enterprises reveals that security and
network resiliency are key drivers motivating enterprises to consider
private networking, fuelling a market that is forecast to reach $7.7
billion (USD) by 2027. As the survey reveals, service level management
is especially critical because private networking directly enables
enterprise business outcomes which are impacted by network performance
and service-level agreement (SLA) compliance.
"Spirent has observed firsthand how private network resiliency
requirements, complexity and risk thresholds are introducing new
dynamics. To ensure success, rigorous testing is essential at every step
of the private network lifecycle - from network design and validation
testing, field and acceptance testing, to live network operations and
maintenance. Test automation and simplification are also essential for
deploying and managing diverse private networks and reduce operational
costs," said Cohn.
The new report was compiled by STL Partners and surveyed 200 enterprises
in the manufacturing, financial services, transport and logistics, and
oil, gas and mining sectors.
Key findings included:
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Service level management is becoming critical because private
networking directly enables enterprise business outcomes which are
impacted by network performance and service level agreement (SLA)
compliance.
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Increased security and network reliability are the top two
business values enterprises are requiring to achieve from their private
network. This is due to sensitivity requirements around data sovereignty
and IP, security and reliability being viewed as "table-stakes" to
enable mission-critical user cases and the current costs and complexity
of trying to implement security and reliability across "best-effort"
networks.
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Automation and continuous testing across the lifecycle from
network/device design through to site acceptance testing and into live
operational assurance and SLA management is essential for deploying and
managing diverse private networks, and to reduce operational costs.
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Enterprises appear willing to pay a premium for an increase in
service level requirements. But stringent SLAs are viewed as difficult
to achieve on current public networks.
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Global systems integrators (GSIs) and cloud service providers (SPs) could have advantages
as future lead suppliers. Manufacturers favor GSIs due to complex
environments and use cases, and cloud SPs have a strong position due to
their IT buyer relationships.
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Enterprises are trying to shift from CAPEX to OPEX models, as private networks are typically financed with IT budgets. Many enterprises favor consumption based as-a-Service models.
Private networks must support diverse applications, environments and
commercial models, which drives up complexity, and while PMNs offer
previously unobtainable capabilities, and significantly lower total cost
of ownership, unprecedented complexity necessitates a new approach to
service level management.
"Comprehensive and robust private network service level management is an
essential tool to ensure business outcomes as planned. With this in
place, a significant opportunity exists for MNOs and CSPs to monetize
their investments in 5G," says Cohn. "However, as the survey shows, none
of this is possible without a mature testing strategy in place and
employed in the planning, development, and throughout the lifecycle of
the solution."
Spirent's "Accelerating Private Networking Value Creation" report is available for download at: https://www.spirent.com/assets/report-accelerating-private-networking-value-creation.