NTT Communications (hereinafter NTT Com), which has been providing local 5G services in Japan, launched a new “Local 5G Service TypeD” on March 25, 2025.

The service aims to realize high maintainability and redundancy at a low cost (network construction and operation costs, local 5G service fees) while minimizing the equipment required at corporate premises by utilizing the 5G public network communication facilities of NTT Docomo, an NTT affiliate.

NTT Com launched local 5G services in 2021, and as of March 2025, it has secured about 30 customers for its local 5G services, but 78% of these are government (Ministry of Internal Affairs and Communications) policy-funded demonstration tests or proof-of-concept (PoC) by companies, while only 22% have been commercially introduced.

This means that the number of local 5G commercial deployments is not growing as fast as initially expected. In response, NTT Com has analyzed the problems with local 5G commercial adoption and launched a new commercial service - Local 5G Service TypeD - to overcome them.

Problems with existing local 5G commercial adoption

NTT Com cites cost and difficulty in operation and maintenance as two reasons for the slow commercial adoption of local 5G services that it has experienced during the commercialization process.  

The typical local 5G network structure that NTT Com has been providing is the on-premise type, which installs a 5G full set at the business site, so even if the cost of equipment has decreased from 2019, when local 5G was institutionalized, the cost of purchasing equipment is still high, and the cost of installing construction work at the business site is also a big burden.

In addition, in order to move from the demonstration (built with government funding)/PoC (companies test the effectiveness of local 5G at the lowest cost) stage to commercial introduction, equipment redundancy is required for stable full-time operation, which doubles the cost of construction due to double equipment purchase and additional equipment purchase for connectivity between them.

In addition, the need for specialized personnel to monitor network status and repair failures and malfunctions during the operation phase is also a major burden for companies. The labor cost of specialized personnel is also a problem, but unless you are a large company, no one is willing to come even if you pay them a lot of money.

<NTT Com's existing local 5G service: On-Premise type>

NTT Com's Local 5G Service TypeD

To overcome the above issues and promote local 5G deployment, NTT Com has launched a new “Local 5G Service TypeD”.

NTT Com's Local 5G Service TypeD is a service that utilizes NTT Docomo's public 5G network equipment in addition to RU, and is operated, monitored, and maintained by NTT Docomo engineers from RU to 5G Core, and is available from 500,000 yen per month.

<NTT Com's local 5G service TypeD: 500,000 yen per month>

Only RU is installed in the enterprise, and RU is connected to NTT Docomo's domestic 5G public network equipment - DU, CU, UPF, and 5G Core CP - via dark fiber provided by NTT East and West.

Unlike the conventional method where a 5G Full Set is installed at a corporate workplace, only RU is installed, and DU, CU, and 5G Core are reused from NTT Docomo's existing public 5G network equipment, significantly reducing deployment and operational costs. NTT Com's existing on-premise local 5G service costs 1.5 million yen per month. This is a one-third reduction in service fees.   

NTT Docomo's public 5G network is natively redundant, providing career-grade reliability for enterprises that adopt local 5G networks. Since only RUs are installed in the enterprise, there is no need for rack installation/wiring, saving space.

In addition to sharing NTT Docomo's public 5G network equipment, the maintenance system also shares NTT Docomo's public 5G network maintenance personnel.

Engineers from NTT Docomo's bases across the country, who specialize in wireless equipment, will travel to the local 5G RUs and perform maintenance at the corporate locations where they are installed. NTT Docomo engineers will be dispatched to the private network (local 5G network) base station just as they were previously dispatched to the public 5G network base station, and will monitor and perform maintenance on the same 24/7/365 basis as the public 5G network.

By utilizing equipment from the public 5G network, costs are reduced by not having to purchase all the equipment, and network reliability is greatly improved due to redundancy. In addition, NTT Docomo personnel are paid to travel to the site, ensuring the same level of reliability and maintenance as the public 5G network. In addition, since NTT Docomo will operate and maintain the network from RU to Core, companies will not need to prepare in-house specialized personnel. 

With the launch of “Local 5G Service TypeD,” NTT Com aims to significantly lower the barriers to commercial adoption of local 5G to facilitate commercial adoption, and aims to capture 30% of the local 5G service market in Japan.

In Japan, MNOs such as NTT Docomo are not allowed to offer local 5G services directly to enterprises. NTT Com, a non-MNO, obtained a local 5G license and sold “Local 5G Service TypeD” to enterprises, and NTT Docomo allowed NTT Com to use its public 5G network equipment (DU, CU, 5G Core) and public 5G network maintenance personnel for this service.

For NTT Docomo, it is a new B2B revenue stream by reusing its existing nationwide public 5G network resources and maintenance personnel for B2C services (smartphones),

NTT Com, a fixed-line carrier and local 5G service provider, has a new weapon in its arsenal to attract new customers by offering them a redundant, reliable local 5G network and a 24/7/365 career-grade monitoring and maintenance system at a low price.