5G Campus Networks: A Private Wireless Network for SMEs

While public mobile networks belong to everyone and to no one in particular, companies in Germany have been able to operate their own local 5G for several years now. 5G campus networks are private mobile networks that transmit exclusively on the company's own premises - with their own frequency, their own coverage and full control over the data. What long sounded like something for industrial giants is becoming increasingly attainable for SMEs in 2026.

The reason is a uniquely German approach: the Federal Network Agency (Bundesnetzagentur) makes local frequencies in the 3.7 to 3.8 GHz range available with low hurdles and manageable fees - the first licensing regime of its kind worldwide. By the end of 2025, around 500 such local licenses had been granted. This article explains what is behind it, where the practical value lies and why getting started has become easier for SMEs.

What sets 5G campus networks apart from Wi-Fi

Many businesses rely on Wi-Fi today. That is fine for the office and for guests, but in production halls, on sprawling sites or with many moving devices, Wi-Fi hits its limits: dropped connections when roaming between access points, fluctuating latency and limited range. A 5G campus network solves exactly these problems.

• Reliable latency: near real time, crucial for machine control and automation.
• Long range: a single radio cell covers far more area than a Wi-Fi access point.
• Seamless mobility: automated guided vehicles and devices stay connected while on the move.
• Data sovereignty: the data traffic physically stays on the company premises.

5G campus networks in practice

Germany leads Europe in private 5G networks with a market share of around 31 percent. More than 200 private campus networks are in operation in the automotive and chemical industries alone. A concrete example: injection molding machine manufacturer Arburg is the first customer to use Deutsche Telekom's offering with industrial frequencies. Typical fields of application include:

• connecting machines with real-time analytics and predictive maintenance
• automated guided vehicles in logistics and warehousing
• mobile operating and maintenance terminals right at the machine
• connected sensor networks (IoT) across the entire site

According to market observers, the European market for private 5G networks in industrial settings is growing at double-digit rates - carried largely by Germany, whose early and uncomplicated regulatory framework is regarded as a model. For SMEs, this momentum means one thing above all: a growing range of proven solutions, more experienced integrators and falling component costs. What was pioneering work just a few years ago is now a well-documented path.

A low entry barrier thanks to the nomadic 5G cell

The biggest concern for many SMEs is the upfront investment. This is exactly where the market has moved. With the so-called nomadic 5G cell, a fully fledged campus network can be operated temporarily and on the move - ideal for testing the technology in your own business at low risk and low cost before committing. Companies can thus verify performance and value under real conditions without immediately financing an expensive permanent installation.

Expectations about market size should stay realistic: the once-forecast 13,500 networks by the end of 2026 will clearly be missed. But the trend points steadily upward, and the roughly 500 licenses granted speak to growing, serious demand. This discrepancy is no reason for skepticism but an honest reminder: a campus network is not an end in itself. It pays off where concrete applications deliver clear value - not as technology for technology's sake.

Another plus of the German model: the frequencies belong exclusively to the company for the duration of the allocation. Unlike on the public network, you share the capacity with no one, and performance remains predictable even at peak times. For processes where a dropped connection gets expensive - such as in running production - this reliability is often the decisive argument.

Looking ahead to 6G: why 5G is the right foundation now

Some decision-makers would rather wait for 6G. That is understandable but not productive. The standardization body 3GPP did start the first 6G studies in 2025 with Release 20, but the actual 6G standardization only begins with Release 21. Market-ready technology for broad deployment is not expected before the end of the decade - the first formal 6G specifications are only just being written.

Investing in 5G today is not investing in a dead end: 6G builds on 5G, and the experience gained now with private connectivity and IoT will pay off directly later. Waiting, on the other hand, costs years of digitalization lead.

Calculating the economics honestly

As convincing as the technology is, the investment needs to be calculated properly. A campus network involves the license fee at the Federal Network Agency, the radio equipment and antennas, the core network, plus suitable end devices and modules. Add planning, rollout and ongoing operation. The good news: license fees for local frequencies are deliberately kept low in Germany, and the nomadic test cell lets you prove the value before the big budget flows.

The benchmark should not be the pure acquisition costs alone but the follow-on costs of the alternative: How often do Wi-Fi dropouts cause production disruptions or rework today? What does a standstill cost that reliable connectivity could have prevented? Only this counter-calculation shows whether a campus network pays for itself in your specific case - and this is exactly where a sensible investment parts ways with expensive tech hype.

Is a campus network right for you?

• You have a production facility or a large site where Wi-Fi regularly struggles.
• You are planning automation, driverless systems or dense IoT sensor networks.
• Data sovereignty and resilience are business-critical for your processes.
• You want to test the technology before you invest - the nomadic cell makes it possible.

Conclusion

5G campus networks are no longer a toy for large corporations. Thanks to affordable local frequencies and mobile test cells, entry has become feasible for SMEs too. Where Wi-Fi hits its limits and real time, range and data sovereignty count, a private 5G network is often the more economical solution - and a solid foundation for the later step to 6G.

Wondering whether your own wireless network would pay off for your business? Cryon assesses the specific needs of SMEs in and around Leipzig, compares 5G campus networks, Wi-Fi and hybrid solutions, and supports your application to the Federal Network Agency if needed. That way you make a well-founded decision instead of an expensive gut call. Contact us for an initial assessment.