To install a “captive private network” at Mahindra & Mahindra’s Chakan factory in Maharashtra, Bharti Airtel has teamed up with Tech Mahindra. The agreement, according to the two, makes it India’s first 5G-enabled auto production facility.
The action by Airtel has astonished industry watchers since it illustrates the potential level of collaboration between telecom providers and other businesses for 5G use cases. According to analysts, Airtel has also gained an advantage against the Adani Group, which had bought spectrum specifically to provide these services.
A captive non-public network (CNPN), also known as a private 5G network, is a network that is created exclusively for a company’s use. It is not accessible to external communication, unlike a public network. The network is perfect for institutions like factories, industrial plants, hospitals, universities, etc. because it uses high-frequency, low-wavelength airwaves.
Industry analysts predict that private 5G networks will generate a significant portion of the income for businesses that deploy them, given that consumer adoption of 5G will take some time and may not generate as much income given the normally low tariff rates in India.
Through the agreement, Airtel may have temporarily surpassed the Adani Group, which purchased spectrum during the auction earlier this year with the express purpose of deploying private 5G networks. Adani Group purchased 400 MHz of spectrum in the 26 GHz band during the auction through its subsidiary Adani Data Network for a total of Rs 212 crore.
The conglomerate has insisted that it was not bidding for spectrum for the consumer market, but rather to build its own private network for deployment at its business verticals, including airports, ports, and logistics, as well as for power generation, transmission, and distribution, as well as for a variety of manufacturing operations. However, the group has not ruled out the possibility of constructing private 5G networks for other businesses and has not yet made an announcement to that effect.
According to Airtel, the network will speed up software flashing, a vital procedure for all vehicular dispatches, and enable managers to run several software flashing sessions concurrently, shortening the turnaround time for an operation. Improved paint quality will emerge from the completely automated computerised vision-based inspection.
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