Private 5G is reshaping the way enterprises connect, particularly across energy, mining, manufacturing, transport, and logistics. Analysts forecast that by 2028, private networks will make up around 10 per cent of the enterprise connectivity market in the Asia–Pacific region.
In Australia, the mining and resources industry alone operates more than 50 private wireless networks, with more deployments planned in other sectors. These dedicated networks are delivering measurable gains in efficiency, cost management, and worker safety.
This article explains private 5G, how it differs from public networks, the key components of private 5G network architecture, and why Australian enterprises are embracing this technology.
Private 5G networks are different from public mobile networks. They act as dedicated cellular systems built for specific organisations. These networks run in defined areas to meet the network owner’s business and mission-critical needs. They work like smaller versions of public networks and use the same technology, encoding schemes, and network functions.
Private 5G networks are non-public mobile networks that can employ licensed, unlicensed, or shared spectrum. These dedicated wireless systems provide high-speed, low-latency, and secure device connectivity that only authorised devices can access. A private 5G network lets companies set up dedicated cellular resources based on the latest 3GPP standards. Companies can build these networks in several ways, including fully owned and operated networks, hybrid private-public cloud models, network slicing options, or neutral host networks with signal sharing.
The main difference between private and public 5G networks is purpose and control. Public networks are operated by carriers and serve millions of users. Private networks belong to a single company that has full control over network resources. This control includes data privacy, security settings, service quality parameters, and network customisation.
Companies that use private 5G can adjust performance to their specific needs. They can optimise mission-critical applications and limit access to authorised devices. It is also possible to reconfigure these networks to allow different access levels based on business priorities. Companies with independent private networks can keep all data on site, which adds an extra layer of data protection.
These technologies can work well together, but they have key differences. Private 5G security relies on SIM-based authentication and encryption. Wi-Fi often depends on credentials that can be compromised more easily. This makes private 5G networks harder to breach.
Private 5G typically delivers wider coverage, often reaching several kilometres compared with Wi-Fi’s range of around 100 metres. It provides consistent performance with lower latency, which suits time-sensitive applications. Private 5G also performs better in harsh environments where Wi-Fi may struggle with interference from walls, metal machinery, or nearby networks.
Large-scale environments benefit from private 5G’s ability to handle thousands of devices per cell. Wi-Fi access points generally support fewer devices. That said, Wi-Fi remains cost-effective for smaller sites and is a familiar, widely used standard.
Private 5G network architecture combines several connected elements that work together to deliver secure, high-performance connectivity for enterprise environments. Each component plays a significant role in meeting strict business requirements.
The 5G Core (5GC) functions as the central control system of private 5G networks. It handles essential functions like connectivity management, authentication, subscriber data management, and policy control. The 5GC’s service-based architecture uses cloud-native software components, which enables flexible deployment across multiple infrastructures.
The User Plane Function (UPF) sits at the core of data processing. It manages packet routing, forwarding, and QoS enforcement. The UPF connects mobile infrastructure to data networks and performs tasks like traffic inspection, packet buffering, and quality of service implementation. This supports mobility within and between Radio Access Technologies (RATs) and anchors traffic as devices move between network nodes.
The Radio Access Network links wireless devices to the core network through key components. These include radios that convert digital data into transmittable signals, antennas that broadcast radio waves, and RAN compute (baseband) that processes signals. Small cells are essential for many private 5G deployments.
Small cells are low-powered cellular radio nodes that provide focused coverage and consistent performance. They work especially well indoors, where most mobile traffic originates. These compact radio units deliver targeted connectivity to areas such as factories, office buildings, or warehouses. Small cells come in different forms. Femtocells cover the smallest areas, picocells provide medium coverage, and microcells serve larger spaces, each with its own range, cost, and capacity profile.
Private 5G networks use SIM-based authentication mechanisms for security. Devices need a provisioned SIM or eSIM to access the network. This reduces risk from traditional credential-based attacks. A hardware root of trust enables strong encryption for end-to-end protection.
eSIM technology offers several benefits for enterprise deployments, including remote provisioning, reduced physical handling, and advanced security features. Device management becomes simpler across the device fleet while you retain control.
Private 5G networks can be deployed in different ways based on enterprise needs. On-premises deployments keep core functions within the enterprise perimeter. Edge computing often supports these deployments to minimise latency and keep sensitive data local.
Cloud-based deployments utilise private or public cloud infrastructure to host network functions. Some enterprises choose hybrid approaches that connect on-site radio equipment to cloud-hosted core functions.
The deployment choice affects control, security, and cost. On-premises models provide maximum control but require higher upfront investment. Cloud-based options offer flexibility and potentially lower initial costs through as-a-service offerings.
Australian businesses across multiple sectors are adopting private 5G to solve operational challenges. This technology brings capabilities that drive meaningful improvements in several areas.
Manufacturing facilities use Autonomous Mobile Robots (AMRs) with private 5G networks to improve production workflows. These robots deliver materials to workstations without human intervention and improve efficiency. Private 5G enables reliable mobility, real-time control, and consistent handovers across large factory floors, which helps reduce downtime and increase throughput.
Logistics operations use private 5G for continuous tracking of inventory and equipment. The technology supports precise indoor positioning and fleet optimisation, enabling faster turnarounds, better utilisation, and improved chain-of-responsibility reporting.
Private 5G networks transmit high-definition video streams with low latency to support AI-powered analytics such as anomaly detection and occupancy monitoring. This reliable connectivity enables smarter security systems for cities, transport precincts, and commercial spaces.
Healthcare facilities use private 5G networks to support remote monitoring and telehealth services. Low latency assists wearable sensors that track vital signs in real time, and reliable throughput helps clinical teams access imaging and records at the point of care.
Private 5G FWA brings connectivity to locations previously out of reach, especially in rural or remote areas where traditional infrastructure is hard to deploy. It can deliver high speeds and responsive performance for sites such as mines, agricultural operations, and regional campuses.
Australian enterprises have several options to deploy private 5G networks. Local regulatory frameworks and business requirements shape the model that fits best.
Australian businesses can choose between two main approaches. The enterprise-owned model lets organisations procure and manage network equipment directly. This offers maximum control but involves higher upfront costs and operational responsibility. The 5G-as-a-service model provides a monthly or term-based service, with deployment and lifecycle management handled by a specialist provider. Teams can focus on core operations rather than network management.
Service providers offer different service tiers, from proof-of-concept environments to mission-critical deployments. Organisations can tailor service levels to their needs. Australia already has dozens of private wireless networks in operation, with significant adoption in the mining and resources sector.
A third option is a neutral host, where an infrastructure owner provides shared cellular coverage that multiple carriers or tenants can access. This helps bridge coverage gaps in public networks and creates commercial options for venues, campuses, and industrial precincts. For example, a large manufacturing site or logistics hub can operate as a neutral host so employee and contractor devices stay connected without interruption.
Australia supports private 4G and 5G networks through its own spectrum-sharing framework. The Australian Communications and Media Authority (ACMA) issues Area-Wide Apparatus Licences that allow wireless broadband services in specific frequency ranges, including 3.8 GHz for metropolitan and regional areas, 3.4 to 4.0 GHz for remote areas, and 26 to 28 GHz millimetre-wave bands for local high-capacity networks.
These arrangements enable organisations such as universities, hospitals, mining operations, and transport hubs to deploy private 5G within approved geographic areas.
Talk to our team at MobileCorp to map the right pathway for your sites, from proof of concept to a managed private 5G environment that improves safety, productivity, and uptime.