As private networks gain traction in industrial and manufacturing settings, executives and line managers have begun to look for complimentary applications that could extract unparalleled benefit from 5G. Industry 4.0 is an all-encompassing term but when deconstructed it is a strategic combination of automation, digitization and digitalization, AI and network transformation. Dissecting further, 5G adoption as part of network modernization (FWA, mMTC, mmWave, urLLC, Private network, LoRAN, etc.) supported by AI
Private 5G networks have lately come into focus mainly due to their formative impact on Industry 4.0 and on the Internet of Things (IoT).
This is evident through their growing market share: unit sales of IoT device shipments based on Private 5G non-mMTC (Massive Machine Type Communication), Private 5G mMTC and Private 4G are expected to rise from
5G, IoT, Cloud, Microservices and APIs have begun to flow together (literally). If industry findings are any indication, then by 2027, this high-tech combination will be common place in many mid-sized and some small enterprises. Large enterprises will be more focused on perfecting this quintet. Most will have achieved ‘adoption’ milestone close to 2025.
Each of these has either been in the making or in existence close to (or over) a decade.
Three main reasons why IoT acceptance across Financial Services has lagged behind other verticals can be attributed to ill-conceived use cases, security concerns and unclear cost-benefit proposition. Network Slicing, which has been around for sometime now (introduced sometime in late ‘80s), along with Software Defined Networks (SDN) might be those master strokes which bring much needed price-point clarity to Financial Services-IoT. These two capabilities can be used to bridge the gap between Telecom and Financial Services.
As financial institutions deepen omni-channel reach, they have to accept their growing reliance on telecommunications to facilitate seamless service. It’s no fluke that so many legacy financial institutions are investing in state-of-the-art IT infrastructure. Responsive, agile or ‘cognitively intelligent’ network and IT operations aren’t just buzzwords. Financial institutions are conducting serious assessment of their IT department’s functional capability, operating costs, down time due to system outage and it’s impact on customer retention, impact of speed of processing transaction on customer experience, ability to mitigate
An API is a set of routines, protocols and tools for building software applications. In other words, an API specifies how software components should interact. Financial Institutions, specifically banks, are either outsourcing their own IT staff (developers, to be precise) to either build an API or an aggregator to compile incoming data and create services to better serve customers, or, they (banks) are striking partnerships with marketplace APIs and indirectly with third party applications that these APIs support.