Audi and other impatient businesses are taking 5G’s future into their own hands

Audi and other fast-moving companies are building out their own private 5G networks to take advantage of the faster connectivity before it’s available to the average iPhone.


November 29, 2018

Some of the world’s fastest-moving companies are sick of waiting for 5G networks to go live — so they’re building their own, according to the MIT Technology Review.

Anxious automakers, energy companies, and freight companies are investing in private networks at their production sites to capitalize on the higher speeds of the newest network.

The future isn’t getting here fast enough

It may seem like these network nerds are jumping the gun, but 5G could provide a competitive advantage to businesses in crowded industries. 

5G is expected to reduce data transmission delays from 30 milliseconds to less than 1 millisecond, enabling comprehensive wireless connectivity that will help producers create smarter, more flexible factories.

The German automaker Audi switched its assembly robots from Wi-Fi to private 5G to make them faster and more agile, and so far it is pleased with the robo-results.

So when can the rest of us expect 5G?

To create its private 5G network, Audi bought 5G gear from Ericsson and struck a deal with a German telecom giant for access — paying a premium of around $100k for the privilege of early adoption.

For now, only companies that can shell out the Gs for private 5G will have access to the super signal. The rest of us will have to wait for wireless carriers like AT&T and Verizon to roll out 5G, which won’t be widely available until 2020.

Daily briefings, straight to your inbox

Business and tech news in 5 minutes or less

Join over 1 million people who read The Hustle

Psst

How'd Bezos build a billion dollar empire?

In 1994, Jeff Bezos discovered a shocking stat: Internet usage grew 2,300% per year.

Data shows where markets are headed.

And that’s why we built Trends — to show you up-and-coming market opportunities about to explode. Interested?

Join us, it's free.

Look, you came to this site because you saw something cool. But here’s the deal. This site is actually a daily email that covers the important news in business, tech, and culture.

So, if you like what you’re reading, give the email a try.