"Demand for private mobile networks is growing amid forced data transmission restrictions"

A private LTE network is a closed network that provides stable communication and secure data exchange between the company's information systems, even in times of forced data transmission restrictions. Murad Khalimbekov, Head of Megafon's Network and infrastructure Products development department, told Izvestia in more detail about the operation and operation of such networks.

— Why have private LTE networks ceased to be perceived as a niche product and turned into one of the main infrastructure drivers of digitalization?

— The private network market is showing steady growth. This is due to the fact that more and more companies see the potential in technology: the more projects implemented, the more obvious its advantages are to businesses. Previously, demand was largely experimental, but now it has become strategic.

Private LTE networks have become one of the main drivers of digitalization. Today, businesses understand what a private LTE network is used for, and what economic and operational benefits the business will receive after its implementation. The number of pilot projects is decreasing in favor of full-featured commercial ones. The pilot itself, without which it is nevertheless difficult to imagine the introduction of a private network, becomes only a necessary initial stage in providing a large infrastructure service.

— How relevant is the problem of import substitution for private LTE networks?

— If earlier the issue of unresolved import substitution was a barrier to the introduction of private LTE networks, now we see the necessary number of vendors who are ready to implement private LTE turnkey networks together with the telecom operator.

For example, about 10 manufacturers of private network equipment are being tested in the Megafon laboratory. They are showing good results. We are already ready to sign documents with someone, someone has gone on another round of improvements, but in general, domestic solutions leave a positive impression.

Thus, domestic solutions are gaining momentum, and the number of equipment manufacturers is increasing. This reduces the time needed to implement private LTE networks and their cost, and the emergence of industry references with a clear payback model lowers the entry threshold for medium-sized enterprises.

— Which industries form the main demand today and what causes it?

— The main customers are companies from the oil and gas and petrochemical industries, enterprises from the field of transport and logistics, as well as the mining sector. This pool is formed due to the need for digitalization of production and the willingness to invest in the development of the network.

Private LTE network projects focus on production scenarios. For example, they serve to solve specific tasks of industrial automation. Thus, the digitalization of processes makes the private network an important element of the infrastructure, and closed LTE networks become the base for managing complex equipment and improving production safety.

The advantage of the technology also lies in the ability to deploy the network in remote areas with difficult terrain. In the future, this creates the basis for the implementation of vertical industry solutions.

In addition, the demand for private mobile networks is growing due to forced data transmission restrictions. The closed loop of the private network ensures stable communication and secure data exchange between the company's information systems.

— Is it possible to identify geographical centers of activity?

— Speaking of geography, the traditional regions for mining companies are the Urals, Siberia and the Far East. However, active demand is now being recorded in the Northwest, in the Volga region, and there are requests from the south of Russia. A separate block is large transport hubs such as airports and seaports, which are also experiencing difficulties due to forced data transmission restrictions. In addition, there are requests from government customers.

— What are the key technological advantages of a private LTE network for an enterprise?

— A private LTE network is a closed network that does not carry any risks. A certain number of special SIM cards are issued for the customer company, and data transmission is carried out through closed channels, which guarantees secure data exchange.

For enterprises that need to resolve the issue of data transmission restrictions more quickly, there is an option with the ability to deploy a dedicated network segment inside the operator's cloud — this is the so-called subscription network. It has all the advantages of a full-fledged private LTE network, and without large-scale construction. Moreover, such a network can cover nearby enterprises, which reduces costs.

We also see that companies have become more active in using trunking communication. This solution is designed for industrial enterprises and critical infrastructure facilities.

— What changes have occurred with data transfer restrictions?

— When data transfer restrictions began to occur more frequently, we revised the trunking architecture. Previously, the service worked on the regular Megafon network and on closed channels, now the second option is used for forced restrictions. It turns out that if earlier radio stations exchanged information via public Internet channels, now the service operates via closed dedicated channels — APN access points. Thanks to this, the solution has become completely resistant.

— At the same time, you are noting an increase in interest in fixed-line communications and corporate Wi-Fi. What is the reason?

— We see an increased demand for traditional fixed-line services, including Wi-Fi with authorization. Such Wi-Fi can be an addition to a private LTE network for certain tasks or an autonomous service.

It is important to understand that the owner of the company cannot provide Wi-Fi in the open. The law requires identification of each user. For this purpose, authorization tools are used — SMS, push notifications, or the Gosuslugi account.

Special solutions from telecom operators allow you to connect access points, set up an Internet channel and an authorization platform so that the company can provide the Internet to its customers and customers absolutely legally and with the ability to control this network.
Modern projects are designed with specific tasks in mind: service needs and application scenarios are taken into account. As a result, Wi-Fi turns into a full-fledged business solution, the parameters of which depend on many factors.

— How much does regulation in the field of critical information infrastructure affect the market?

— Market development continues to be driven by the security requirements of critical information infrastructure. Last year, large-scale amendments to federal Law 187-FZ came into force. They oblige enterprises to use domestic information security tools and hardware and software.

Companies that fall under the requirements of the law must ensure the logical and physical isolation of their information systems. The list of critical information infrastructure facilities is expanding annually, and by 2026 it already includes tens of thousands of organizations across the country — in healthcare, transport, financial sector and other areas.

Each industry has received its own regulations and risk assessment methods that correspond to its specifics. All this directly stimulates the introduction of private LTE networks as the most suitable technology for organizing a secure communication circuit.