The 5G sector is looking forward to a revolutionary “iPhone moment” as new technologies allow companies in various sectors to pay less, earn more and gain more autonomy.
Until mid-2023, many Taiwanese manufacturers were frustrated by customers’ tendency to order in small batches. For example, one Tainan-based cable factory required a complete reorganization of its production process for each new order, resulting in up to two weeks of downtime. The main reason for the delay was that all the equipment had to be physically connected through a complex wiring network.
However, thanks to some significant technology upgrades, the average factory downtime for such reconditioning has now been reduced to just two days. The combination of private 5G networks and artificial intelligence-driven Internet of Things (IoT) applications has replaced the previous “wiring spaghetti” and simplified production line changes.
Private 5G networks offer high security by strictly restricting access. It also provides the speed, bandwidth, and availability that many enterprises need to maintain large amounts of data processing and device connectivity within their data architectures.
To provide this complex connectivity, companies use digital twin technology to create virtual replicas of physical systems that are updated in near real-time. This technology helps quickly identify potential critical areas, giving businesses more control over their risk mitigation efforts. As a result, processes are simplified, made accessible to less technically savvy operators, and facilitated learning and decision-making at all levels of the connected enterprise.
“When it comes to controlling sophisticated equipment like autonomous mobile robots, there are many problems that Wi-Fi cannot solve, as it is imprecise and prone to interruptions, especially when equipment is spread over large areas of a factory floor. ,” said Vicky Sun, business development manager at Saviah Technologies, a Taipei-based 5G core network software provider.
Savia has been involved in many private 5G network cases (including the cable companies mentioned above), and Sun sees significant benefits in deploying these networks. “Once a private 5G network is set up, it can be easily monitored with OAM (operations, administration, and maintenance) systems, so businesses don’t have to hire additional IT professionals or spend large amounts of money on training. .”
Alex Chow, a special assistant in the CEO office of New Taipei-based network communications and electronics manufacturer ASCII Computer, said that private 5G networks are the perfect way to increase autonomy while reducing costs for enterprises. “I’m trying to enjoy it,” he says. “They directly address manufacturers’ most pressing challenges, including rising energy and labor costs, increasing demand for customized and personalized products, minimizing business interruption, and the emergence of more complex operating models and business cases. To do.”
At a recent seminar held by the Taipei Computer Association, Chou announced the Askey private 5G network project for tunnel monitoring along a 2.4-kilometer section of Taipei MRT. He pointed out that MRT train travel is very safety-sensitive, and tunnel surveillance cameras struggle to transmit data in real-time using Wi-Fi or public 5G bandwidth. Utilizing private 5G networks for these processes ensures rapid data transmission and allows carriers to avoid sharing frequency resources with the thousands of smartphones that passengers use during their travels.
At the same seminar, Chunghwa Telecom presented another example of the usefulness of private 5G networks. The Chunghwa case concerns a steel mill that uses a private network to control special vehicles transporting steel slag, a potentially dangerous operation.
“While improving employee and vehicle safety, this network also enables AI-powered foreign object tracking, thereby reducing labor costs,” said Jeff Mo, Product Manager for Sinicization Technology, in a presentation. I mentioned it in “This network also solves the problem of high heat waste areas being too hot for traditional wiring.”
Will Huang, vice president of Taipei-based systems integrator Wave-In Communication, said his company is installing commercial low-earth orbit (LEO) communications satellites (satcoms) on cargo ships owned by Taiwanese shipping company Yang Ming Marine. ) said it has introduced a private 5G network with .
Traditionally, ship crews relied on voice communications to communicate with decision-makers ashore, but this method was often disrupted by long distances and bad weather. Other challenges include the large size of many ships, with crews spread out over vast areas of floor space spanning up to 12 decks, and large engine rooms below. Masu. To make matters worse, the ship’s complex metal structure prevents effective transmission.
“Linking private 5G networks with LEO satellite communications will solve these problems and help with equipment troubleshooting and telemedicine for sick crew members. It will also help crew members stay connected to their families ashore. , you can also enjoy video streaming,” said Huang. “Improving the quality of life for seafarers is a critical issue for shipping companies, as it helps them cope at a time when seafarer recruitment is more difficult than ever.”
Taiwan, the world’s sixth-largest textile exporter, could also benefit from using private networks to streamline processes in the textile industry. One company that has blazed a trail in this regard is Taipei-based Taiwan Taffeta Fabric. The company installed a private 5G network to address issues with operating and coordinating hundreds of looms amidst labor shortages. Taiwan Taffeta Fabric also uses a private 5G network to conduct immersive simulation-based fabric inspection training to reduce schedule delays.
Saviah Technologies’ portfolio also includes examples that demonstrate the benefits of private 5G networks in new business models. One such model is the Argo Yacht Club in Kaohsiung’s Asia New Bay Area, which uses private 5G for real-time yacht tracking, berth availability updates, and automatic charging. Argo has also adopted this technology to enhance security features such as intrusion detection and drone patrol for personal safety and facility security.
Saviah’s Sun cites “network slicing” as another major development in the field of private 5G networks. This technology allows a single network to be divided into different slices tailored to specific customer needs and demands.
The flexibility of network slicing allows carriers to efficiently allocate resources to each slice, ensuring optimal speed, throughput, and latency, significantly reducing both operational costs and capital expenditures for network operators. will be done. More importantly, it will ensure that critical public services such as first responders and medical emergency teams have enhanced coverage, capacity and connectivity.
Remarkably, Network Slice can be quickly launched and deployed for use in temporary events such as concerts, providing a versatile and responsive networking solution. The “Extreme 5G Cyberpunk Flying Competition Night” held in Kaohsiung in December is one such event. Using Taiwanese technology solutions, the world’s leading drone pilots from France, Thailand, and Taiwan competed to control a drone while wearing 5G mixed reality (MR) glasses. Meanwhile, multiple of his 4K resolution cameras were used to relay the event from the pilot’s perspective to viewers on site.
“The Kaohsiung Drone Race shows that the direction of 5G technology development is toward ever-more time-sensitive and lower latency, with data transmission sufficient to support devices such as drones, XR, and self-driving cars. “We showed that it’s becoming a reality,” Sun said.
vast ecosystem
The use of private 5G networks is a new trend, and the rollout of Taiwan’s unique and powerful technology began less than a year ago. According to the Ministry of Digital, around 150 private 5G networks are already operational on the island, with the agile manufacturing sector accounting for the majority of applications.
Taiwan’s public 5G network frequencies are controlled by three major telecommunications providers: Chunghwa Telecom, Taiwan Mobile, and Far East Yuan, and access is granted through subscription fees, but private 5G networks operate differently . These are typically owned by you, completely isolated from the rest of your network, and only work within your specific local environment.
Still, the two types of networks are highly interconnected, and some wonder whether Taiwan will be able to quickly roll out private 5G, given the relatively slow uptake of public 5G in this market.
Despite Taiwan’s pioneering role in public 5G networks in the Asia-Pacific region, adoption of the high-speed technology has not met expectations, according to the Economist Intelligence Unit (EIU). As of the end of 2023, the 5G mobile penetration rate among major telecom providers in Taiwan will remain below 30%, lower than nearly 40% in South Korea and more than 60% in Hong Kong.
“As in most countries where 5G was launched after 2019, business performance was expected to improve, but this trend has not yet made much progress in Taiwan,” said a technology and communications analyst at EIU. Raveen Iyer says: . He cited the 2023 merger of telecom providers Taiwan Mobile and Taiwan Star, as well as Far EasTone and Asia Pacific Telecom, as the reason for the delay.
“Telcos spent much of 2023 planning for ongoing market consolidation,” Iyer said. “He said it may take a quarter or even longer for companies to consolidate all spectrum and infrastructure assets before they can begin much of the effort to harden their private 5G networks. think.”
However, once this process gains momentum, Taiwan’s growth prospects are bright, Iyer added. “Announcements from carriers in 2023 indicate that they are interested in developing demand for private 5G and other enterprise solutions in overseas markets as well.”
A private network also allows for more supplier involvement. According to the Taipei-based, government-backed Market Intelligence and Consulting Institute (MIC), most products from Taiwanese suppliers support the use of open radio access networks (O-RAN), which is used by service providers means that it can use its own subcomponents. From various vendors.
The Ministry of Internal Affairs and Communications cites the main challenges for the widespread deployment of private 5G networks as the integration of communications and equipment, the maturity of the network and end equipment ecosystem, and the degree of cost-effectiveness.
“As the private network market matures, equipment and technology challenges are expected to be resolved,” said Cheng Chih-kang, industry analyst at MIC. On the other hand, “Issues in terms of operational strategy, such as cost effectiveness and adjustment of operational models, require ongoing efforts by relevant industry participants to accumulate more benchmark cases and establish a richer reference model.” A further investigation is required.”
Cheng cited the Taiwanese government’s subsidies for application cases and technology development as factors encouraging further adoption of private 5G. Additionally, the government will consider ways to lower barriers to entry, including high costs, with the aim of stimulating market development, he said.
Meanwhile, the Taiwan Sheet Metal Management Association (TSMMA) said it expects a surge in implementations next year. With a broad membership of manufacturers, the association has been closely monitoring developments in private 5G. TSMMA expects the rent-to-buy scheme and low-interest loans from the government to make this technology affordable to more members, a TSMMA spokesperson said. .
“Less than 3% of our members have set up private 5G networks in some of our processing plants, but with our success stories, we hope to see a 20% annual increase in the number of projects over the next five years,” the spokesperson said. I am.
