Embracing the Power of Private In-Building Networks: Do They Outperform Wi-Fi?

During a check-up my new doctor asked me plainly “What do you do for a living?” taking a deep breath I give my standard answer- “I make your phone say 5G.” Then I go into detail about telecommunications network deployment, site acquisition, tower builds and ultimately a brief explanation of in-building installations. This piques my doctor’s interest and he replies- “We really need better Wi-Fi in the hospital.” I take a longer breathe and try to explain in the simplest terms that I can how what the industry call a neutral host inbuilding solution outweighs what most non-industry folks know as Wi-Fi.  

Most of us in the industry have these types of exchanges when describing our business and it usually results in the non-telecom professional learning more about how their smart phone really works indoors or outside. Reflecting on this conversation motivated me to jot down my thoughts on the difference between an in-building 5G installation versus a standard Wi-Fi solution.

The Advantages of Private Networks Over Wi-Fi

In today’s hyper-connected world, the internet has become an essential component of daily life, enabling personal communication, business operations, and entertainment. Most users connect to the internet using Wi-Fi, a widely available technology that provides wireless internet access in homes, offices, and public spaces. However, as the demands on connectivity grow, more organizations and individuals are exploring the benefits of private networks. While Wi-Fi remains a convenient option, private networks offer advantages in security, performance, reliability, and control that make them superior in various use cases.

1. Greater Control Over the Network

With Wi-Fi, users are often at the mercy of their internet service provider (ISP) or external hardware such as routers that may not be easily customizable. Moreover, public Wi-Fi, found in places like cafes or airports, offers little control over traffic or network settings, meaning users must rely on pre-configured security settings and speed limitations.

Private networks give users complete control over their infrastructure. Businesses, for example, can design and manage private networks according to their specific requirements. Whether it’s assigning bandwidth based on priority, managing traffic flow, or deciding who gets access to certain parts of the network, a private network gives users a higher degree of customization. This is particularly important for mission-critical applications where latency, uptime, and specific bandwidth are crucial.

2. Enhanced Security

One of the most significant advantages of private networks over Wi-Fi is security. Wi-Fi networks, especially public or shared ones, are inherently more vulnerable to cyberattacks. Even when encrypted, wireless signals can be intercepted, and unless users take extra precautions (like using VPNs), sensitive data may be exposed to malicious actors. Weak passwords or unpatched security flaws can also leave Wi-Fi networks susceptible to hacking.

Private networks, such as those built on LTE, 5G, or enterprise-level wired infrastructure, offer far greater security. These networks can be more easily segmented, creating a separation between public access points and sensitive internal systems. With robust authentication protocols, encryption mechanisms, and the ability to closely monitor network activity, private networks allow organizations to implement more stringent security measures, minimizing the risk of data breaches and unauthorized access.

3. Improved Reliability

Wi-Fi networks, especially in crowded environments, can suffer from interference, leading to unstable connections or reduced speeds. The more devices connected to a Wi-Fi network, the greater the chance of bandwidth contention, causing performance issues for all users on the network. Furthermore, external factors like physical obstructions (walls, floors) or competing wireless signals from nearby networks can significantly impact Wi-Fi performance.

Private networks are typically more reliable because they can be designed with dedicated infrastructure that minimizes interference. For instance, private LTE or 5G networks are built on licensed spectrum, which ensures that there is less congestion from competing signals. Additionally, many private networks leverage wired solutions (like Ethernet or fiber optic cables) that offer consistent, high-speed internet without the instability common to Wi-Fi networks. As a result, private networks can guarantee better quality of service (QoS), which is crucial for industries like manufacturing, healthcare, or financial services where downtime or interruptions could result in significant financial or operational losses.

Factor	Wi-Fi (Traditional Networks)	Private Networks (LTE/5G)
Speed	100–300 Mbps (varies by congestion)	500–1,000 Mbps (consistent)
Latency	50–500 ms (higher in crowded areas)	1–10 ms (ultra-low latency)
Network Congestion	Susceptible to interference & slowdowns	Dedicated spectrum, minimal congestion
Security	Vulnerable to cyberattacks & hacking	Encrypted, segmented & controlled access

4. Scalability and Performance

As businesses grow and data demands increase, scaling up a Wi-Fi network can be challenging. Wi-Fi performance diminishes as the number of connected devices increases, especially in environments with high user density. Bandwidth limitations and congestion are common issues in expanding Wi-Fi networks.

Private networks are built to scale efficiently. Enterprises can leverage private LTE or 5G to connect more devices without experiencing the same degradation in performance as Wi-Fi. This makes private networks especially suitable for industries like the Internet of Things (IoT), where thousands of devices may need to connect simultaneously. The ability to prioritize traffic, reserve bandwidth for high-importance applications, and maintain low-latency connections also means that private networks can meet the growing performance demands of modern businesses far more effectively than Wi-Fi.

5. Compliance and Regulatory Requirements

Certain industries, such as healthcare, finance, and government, are subject to strict regulatory requirements regarding data privacy and security. Wi-Fi, especially public or shared Wi-Fi, may not meet the necessary standards for secure communication and data transfer in these environments.

Private networks can be customized to comply with specific regulations, offering secure and controlled environments that align with industry standards. For instance, a healthcare organization can use a private network to securely transmit patient data in compliance with HIPAA (Health Insurance Portability and Accountability Act) requirements, while a financial institution can safeguard sensitive financial transactions in line with PCI DSS (Payment Card Industry Data Security Standard).

6. Reduced Latency

For certain applications—especially those involving real-time data, such as autonomous vehicles, smart factories, or remote surgeries—latency is a critical factor. Wi-Fi, particularly in congested areas or over long distances, can introduce noticeable latency that disrupts time-sensitive applications.

Private networks, particularly those based on wired connections or private cellular infrastructure, deliver much lower latency than Wi-Fi. This makes them better suited for environments where split-second decision-making is required or where real-time communication is essential. The ability to control and optimize traffic further ensures that low-latency applications perform seamlessly on private networks.

7. Dedicated Resources

Public and shared Wi-Fi networks often face the challenge of resource contention. When multiple users connect to the same Wi-Fi access point, they compete for bandwidth, which can lead to slow speeds and connectivity issues. This is particularly problematic in public places like airports or conferences, where large numbers of users attempt to connect simultaneously.

A private network, on the other hand, provides dedicated resources to the users or devices connected to it. Whether through dedicated bandwidth, quality of service (QoS) prioritization, or network slicing (as seen in 5G networks), private networks ensure that critical applications and devices receive the necessary resources without interference from external users. This guarantees consistent performance, making private networks ideal for organizations that need to handle large data loads or mission-critical tasks without interruption.

8. Case Studies 

There are several compelling case studies showcasing the impact of private networks across different industries:

• Manufacturing: Private 5G networks have been deployed in factories to enhance automation and predictive maintenance. For example, a study found that predictive maintenance powered by private 5G could drive $140 billion in value globally through productivity increases and cost savings.
• Logistics: A logistics case study reported 20% improved productivity and 15% lower capital expenditurescompared to Wi-Fi when using private 5G networks. These networks support connected workers, autonomous equipment, and real-time data analytics.
• Healthcare: Hospitals are exploring private networks to improve connectivity for medical devices and patient monitoring. Private 5G ensures reliable communication for critical applications, reducing latency and improving security.
• Mining & Energy: The mining industry has introduced autonomous vehicles and remote-controlled equipment that rely on private 5G for mobility and ultra-low latency. Similarly, offshore energy operations use private networks to monitor equipment performance and support on-site maintenance workers.
• Ports & Transportation: The Port of Southampton in the UK deployed a private 5G network to streamline logistics and improve operational efficiency. Spanish transport infrastructure company Ferrovial also launched a private 5G network for tunnel construction under the River Thames1.

Conclusion

While Wi-Fi remains a convenient and widely-used method for connecting to the internet, private networks offer a range of superior benefits that make them a better option in many scenarios. From enhanced security and control to improved performance, reliability, and compliance, private networks provide organizations and individuals with the tools to meet today’s connectivity demands. As the digital landscape continues to evolve, private networks will play an increasingly important role in ensuring secure, scalable, and high-performance connectivity, especially in industries with stringent requirements for speed, security, and reliability.