Private 5G Is Rewiring Canada's Oilpatch

Ericsson positions private 5G as essential infrastructure for Canada's remote, multisite upstream oil and gas operations 

29 Apr 2026

Ericsson has published a technical assessment arguing that private 5G networks should be treated as core infrastructure for upstream oil and gas operations, as Canadian producers face mounting pressure to digitise sprawling remote assets while keeping sensitive operational data off public networks.

The case is structural rather than commercial. Wells, pipelines, processing terminals and remote monitoring stations must exchange real-time data to keep operations safe, productive and in line with environmental reporting rules. Existing options fall short: Wi-Fi lacks the range and reliability needed in exposed industrial environments, while satellite connections add latency and cost. Private 5G, Ericsson argues, resolves both constraints by giving operators a fully owned, industrial-grade wireless network.

For producers in western Canada and the oil sands, the gap is acute. Public mobile infrastructure does not reliably reach remote extraction sites. Ericsson's deployment model allows networks to run in a fully localised configuration, sustaining autonomous operations even when central or cloud connectivity is lost.

Demand for this capability is growing. Real-time safety monitoring, drone-based equipment inspection and automated methane and flaring reporting all depend on the same underlying network layer. Following Mobile World Congress 2026, Ericsson announced new mission-critical hardware, including configurations designed for sites with no external connection at all.

Ericsson has existing ties to Canada that strengthen the industrial argument. A funding agreement signed with the Government of Canada in November 2024 committed more than CAD 630mn to Canadian research and development, with Ottawa home to the company's largest North American facility.

Industry spending on digital transformation in oil and gas is projected to reach USD 124bn by 2031. How operators build their connectivity infrastructure now will shape how much of that spending delivers lasting returns.