Report: On-premise edge and private wireless provide fast ROI

Nokia’s 2025 Industrial Digitalization Report, developed with GlobalData, highlights that 87% of on-premise edge and private network adopters are seeing a return on investment (ROI) in just one year while enabling AI-driven use cases. Additionally, 81% of industrial enterprises found set-up costs lower, with over half saving at least 11%. Ongoing costs also dropped for 86% of companies, with 60% reporting savings of at least 11%.

“Nokia and GlobalData’s latest research helps leaders build strong business cases for digitalisation by showing how private wireless and on-premise edge not only reduce costs but also accelerate scalable transformation with measurable improvements in worker safety, productivity, security and environmental impact,” stated David de Lancellotti, VP of Enterprise Campus Edge Sales at Nokia. The report draws on insights from 115 industrial enterprises in manufacturing, energy, logistics, mining and transportation in Australia, Germany, Japan, the United Kingdom and the United States.

AI’s potential in industrial settings hinges on access to high-quality, real-time data; 94% of industrial enterprises have deployed on-premise edge technology alongside private wireless. This combination enables secure, low-latency connectivity in complex environments and pervasive sensor coverage, even in hard-to-reach areas, supporting AI-driven use cases in 70% of surveyed enterprises.

For example, chemical company BASF deployed Nokia private wireless at its Antwerp facility to advance its digitalisation strategy and enable reliable, high-performance connectivity across its 6 km² premises. The private network supports AI- and sensor-driven use cases like real-time monitoring and predictive maintenance, enhances automation and efficiency, improves worker safety, and reduces environmental impact.

“Private 5G has been a game changer for BASF Antwerp,” said Steven Werbrouck, Expert Network Connectivity at BASF. “We’re unlocking automation, strengthening occupational safety, accelerating innovation and meeting ROI targets in just two years. We have become a frontrunner for the wider group with learnings that will deliver value at multiple BASF group locations.”

The study also highlights how operational performance improvements driven by private wireless networks are supporting sustainability goals. 94% of the surveyed industrial enterprises reported a reduction in carbon emissions, with 41% achieving decreases of more than 20% and 89% seeing energy savings. These gains are amplified by predictive maintenance, connected devices, and drones that cut fuel-intensive travel and enable more accurate, real-time emissions tracking.

Beyond environmental impact, 71% of surveyed companies are actively deploying connected worker tools such as automated alarms, AI-assisted monitoring, and geofencing solutions to reduce accidents and strengthen worker safety. Connected devices streamline tasks by reducing the need to move for signal and simplifying access to information. They also cut paperwork and minimise human error, boosting efficiency and automation.

Security remained a top priority, with 57% of respondents identifying cybersecurity as a driver to deploy an Industrial Edge platform powered by a private wireless network. Private wireless solutions offer built-in encryption, physical network separation and compatibility with zero-trust frameworks, making them ideal for mission-critical infrastructure while maintaining business continuity and compliance.

“Industrial enterprises are turning to private wireless and on-premise edge to drive innovation and industrial transformation,” concluded GlobalData Research Director Gary Barton. “These deployments are delivering a clear return on investment and enabling use cases that would not otherwise have been possible. Private wireless and edge have helped enterprises to improve worker safety, support sustainability, and create a delivery platform for AI-powered solutions such as process automation and predictive maintenance.”

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