Edge computing is the key to unlocking 5G’s true potential

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The hype for 5G has been an increasingly loud drumbeat for years, and across industries, the value it can bring is clear. Retailers and grocery stores are using connected robots within warehouses to move and stack supplies. The energy industry has field vehicles, with extraction engines managed by control centers and cameras providing clear video to operators via 5G. In healthcare, 5G provides real-time delivery of patient data that analyzes imaging test results and provides detailed analysis of their condition.

But even with this innovative capability, 5G adoption remains surprisingly low. A recent report from the Capgeini Research Institute, which surveyed 1,000 executives, revealed that 70% of organizations are still not in the trial or actual implementation phase of 5G. Only 37% expect to expand 5G to multiple locations within the next three years.

What’s slowing adoption? Several challenges are proving to be huge barriers to progress. First is the difficulty of integrating 5G with existing networks and IT systems. There’s also a lack of access to the 5G and edge application ecosystem. And, given recent high-profile data breaches, there’s one area of ​​intense focus for all executives: managing the cybersecurity of 5G networks.

Introducing 5G networks in the enterprise brings with it the complexity of the technology and how to manage the ecosystem. What is the right model? Should you build or buy? Do you partner with a telco or equipment vendor?

However, companies that do find ways to break out and implement 5G in their businesses are reaping significant value. Of the respondents who have successfully scaled 5G initiatives, 60% are experiencing improved operational efficiency. 45% say they can launch new products faster, and 44% have increased their workforce productivity.

Clearly, there is a gap. Crossing the threshold from the 5G planning and concept phase to reaping the true benefits of 5G infused throughout the organization requires resources, support, and the right technology.

Use cases and business models

The key question for businesses is: What are the right use cases? With the emergence of smart industries, businesses are looking to leverage data to generate new revenue, increase productivity, and provide new experiences for customers. This requires connecting products and platforms so that data can be collected through trusted and secure methods. 5G may be the answer to creating a cost-effective, connected ecosystem for smart products and services. But businesses need the right business model to ensure ROI and localized computing to govern and analyze the collected data.

Close to the edge

Perhaps the biggest opportunity to close this gap and capture the true potential of 5G will come from edge computing. While 5G adoption is relatively low, 98% of organizations surveyed said they already offer or plan to offer 5G-based edge computing services within the next three years. 50% said they expect it to improve performance and reliability, and 46% expect it to help them improve data security and privacy — two major barriers preventing many from adopting 5G.

For organizations looking to use edge computing as a catalyst to support their 5G journey and ambitions, there are three areas to focus on in order to make it successful:

Data analysis

With edge computing, organizations can analyze large amounts of data in near real time — and it’s driving decision making. Manufacturers use the analytics they get from the edge to increase productivity through automation and activate new use cases like remote robotics, assisted maintenance, and digital twins. The automotive industry is also leveraging the data analytics enabled by 5G and edge technology to enable new innovations — including remote software updates, collision avoidance, and high-definition mapping. It’s helping automakers move toward the promise of connected and autonomous vehicles.

Connectivity

When it comes to connectivity, businesses require complex and extensive IT systems to support their digital applications and overall technology ecosystem. To do this, they need reliable connections. 5G can make complex network frameworks easier to understand, which is beneficial to IT organizations. Combined with the edge, these connectivity benefits are huge - and can drive major digital transformation initiatives.

cloud

More and more businesses are moving to the cloud, and the edge is now more distributed, but also more local. It gives organizations more confidence in their security and privacy through a cloud-to-edge service model that is critical to the success of 5G. Combining telecommunications infrastructure in a simplified way in the public cloud is just another example of the benefits of edge computing in strengthening 5G adoption.

5G as a technology is a long-term effort that will occur over the next few years, but organizations should start their journey or risk being left behind. The use cases and benefits are clear, and enterprises can overcome barriers to entry. By using edge computing as a core catalyst to scale 5G across the enterprise by fusing fast, reliable connectivity and data, companies will realize the full potential of all the value 5G has to offer.