What is 5G RedCap?

Introduction to 5G RedCap

This article explores the technical foundations, advantages, and real-world applications of 5G RedCap. Whether you’re looking to enhance industrial processes, deploy cost-effective IoT solutions, or future-proof your connectivity strategy, this guide will provide valuable insights into how 5G RedCap can meet your needs.

Table of contents

5G RedCap (Reduced Capability), also known as NR-Light, is a streamlined version of 5G technology designed for devices and applications that don’t require the full power of traditional 5G. While standard 5G delivers ultra-fast speeds and massive connectivity for high-performance applications, RedCap optimises connectivity for IoT, industrial automation, and wearable technology, where simpler, cost-effective solutions are more practical.

The core concept is to streamline certain functionalities, reducing hardware costs and minimising energy consumption while still leveraging the key advantages of 5G networks—such as low latency and the ability to support a high number of connected devices. "Connection density" refers to the number of devices or links that can operate simultaneously within a given network or geographic area.

High-tech 3D illustration of a glowing 5G microchip integrated into a futuristic circuit board, representing the power and potential of 5G RedCap technology for scalable, cost-effective connectivity in industrial IoT, smart factories, and next-generation communication systems

While 4G was primarily designed for data-intensive applications, 5G expands its focus beyond high data rates to support a vast number of devices with diverse performance needs. 5G RedCap bridges this gap by offering a cost-effective and resource-efficient solution—perfect for applications where reliability and efficiency take priority over peak data speeds.

The biggest advantage of 5G RedCap is its balance of performance, cost-efficiency, and power consumption. By reducing complexity in device design and connectivity requirements, RedCap provides a scalable solution that maximises reliability while keeping costs low. With increasing adoption across industries such as smart cities, industrial IoT (IIoT), healthcare, and logistics, this technology is set to play a key role in shaping the future of wireless communication.

Technical foundations of 5G RedCap

Streamlined 5G NR: RedCap’s architecture for efficient industrial and IoT deployment

5G RedCap is built on the same foundation as 5G New Radio (NR) but with key modifications to reduce complexity and cost. The technical architecture of 5G RedCap differs fundamentally from conventional 5G NR (New Radio) solutions. In RedCap, certain functionalities as well as antenna configurations are deliberately reduced to lower complexity:

  • One of the main differences is its narrower frequency band operation. RedCap devices typically use a 20 MHz bandwidth, making them more efficient for low-data applications while remaining compatible with broader 5G networks.

  • Another major refinement is the modulation scheme. While LTE Cat4 typically employs 64 QAM in the downlink and 16 QAM in the uplink – enabling a more robust yet lower data throughput – RedCap supports 256 QAM. This higher-order modulation increases spectral efficiency, allowing transmission of 8 bits per symbol within the available spectrum while maintaining reliability. This results in significantly higher spectral efficiency, making it possible to transmit more data within a 20 MHz channel, provided that the signal quality is sufficiently high.

  • RedCap also simplifies antenna configurations. Traditional 5G deployments use extensive MIMO (Multiple Input Multiple Output) setups with multiple antennas to boost speeds, but RedCap takes a different approach. Most RedCap devices use 1×1 or 2×2 MIMO, prioritising signal stability over peak speeds. This reduces hardware costs and improves energy efficiency—a crucial factor for IoT devices that need long battery life or devices deployed in remote or hard-to-reach areas.

Diagram showing the technical positioning of 5G RedCap (Reduced Capability) compared to other 5G use cases like eMBB (enhanced Mobile Broadband), mMTC (massive Machine-Type Communications), and uRLLC (ultra-Reliable Low Latency Communications), highlighting RedCap’s role as a cost-effective, low-to-medium data rate and low-complexity 5G solution optimized for industrial IoT and private networks (NPN).

Key Features and benefits of 5G RedCap

Why 5G RedCap is the smart choice for future-ready industrial and IoT solutions

  • Cost-effective bandwidth
    Unlike full 5G, which is designed for high-speed applications, RedCap delivers just the right amount of bandwidth needed for IoT and industrial use cases. This reduces network congestion and enhances operational efficiency without unnecessary costs. This approach is aimed at matching data transfer to the actual need, which is particularly advantageous for applications with moderate data rates.

  • Energy efficiency
    One of the biggest advantages of 5G RedCap is its low power consumption. Optimised protocols, lean communication processes, and simplified signal processing extend battery life for IoT devices and wearables, reducing maintenance costs and ensuring long-term reliability.

  • Compact, simplified hardware
    With fewer antennas and less complex hardware requirements, RedCap devices are smaller and easier to integrate into smart sensors, industrial monitoring systems, and consumer wearables. This leads to more practical and cost-efficient deployments.

  • Optimised software for stability and efficiency
    Beyond hardware improvements, 5G RedCap also benefits from software optimisations. Tailored protocols and streamlined communication procedures ensure that even resource-limited devices maintain a stable and reliable connection.

  • Seamless network integration
    5G RedCap is designed to work within existing 5G infrastructures, meaning businesses can adopt it without major network upgrades. This makes deployment cost-effective and ensures future-proof connectivity.

  • Future-proofing IoT solutions
    Many industries require connectivity solutions with long product life cycles (10 years or more). With LTE networks gradually being phased out, RedCap offers a sustainable, forward-compatible solution for IoT applications needing low to moderate data rates without requiring full 5G capabilities.

Real-world applications of 5G RedCap devices

The market for 5G RedCap devices is experiencing significant growth, as manufacturers increasingly recognise the need to create devices tailored to the specific requirements of IoT applications. While adopting RedCap may not always be technically necessary at present, customers often demand 5G support for products with long lifecycles (10+ years) to ensure their long-term viability. Currently, the first series of production-ready products are being launched.

From a design standpoint, several challenges must be addressed: devices need to be durable and energy-efficient to operate reliably across a range of environments. Cost optimisation is crucial, as the target market frequently involves price-sensitive applications. In addition to technical requirements, strict certification and compliance standards must be met to ensure smooth integration into existing 5G networks.

Manufacturers work closely with regulatory bodies to guarantee that devices comply with both current and future standards. This ongoing development is driven by continuous innovation that affects not just hardware but also the supporting software solutions. Regular updates and improvements are essential to meeting the ever-evolving demands of the market.

Use Cases of 5G RedCap

The applications of 5G RedCap are diverse and offer significant benefits across various industries

Close-up of a person using a wearable fitness tracker and smartphone app to monitor real-time heart rate, distance, and sleep data – showcasing the potential of 5G RedCap technology for reliable, low-latency, and energy-efficient connectivity in health and fitness wearables within the IoT ecosystem.

Wearable technology

From fitness trackers and smartwatches to medical monitoring devices, wearables benefit from RedCap’s efficient data transfer and extended battery life. Health monitoring solutions, for example, rely on real-time data transmission without excessive power consumption. In these applications, processing large volumes of data is not the primary focus; instead, continuous monitoring and the reliable transmission of small data sets – for instance, for video calling – are paramount.

Digital interface showing a person interacting with a virtual screen labeled 'IIoT' (Industrial Internet of Things), surrounded by futuristic icons representing AI, machine automation, and sensor technology – highlighting how 5G RedCap enables reliable, scalable, and efficient connectivity for industrial IoT applications in smart factories and automated production environments.

Industrial IoT (IIoT)

RedCap is revolutionising industrial environments by providing reliable, low-power connectivity for smart sensors and automation systems. Connected sensors and automation systems enable precise monitoring of machinery and equipment. Predictive maintenance solutions use real-time data from connected machinery to optimise production efficiency and reduce downtime and optimise production processes.This is especially relevant for private 5G networks.

Smart city concept with digital network overlay showing connected urban services such as electric vehicles, smart homes, public infrastructure, and environmental monitoring – illustrating how 5G RedCap supports efficient and scalable IoT connectivity in modern urban environments.

Smart Cities and Infrastructure

Smart transportation systems, intelligent street lighting, and public safety networks benefit from stable connectivity and low latency. RedCap enables cost-effective deployment of IoT sensors that monitor traffic, environmental conditions, and urban infrastructure. Precise control of these systems significantly contributes to improving urban living standards.

Digital interface for logistics and supply chain management with shipping icons, scheduling tools, and a European map overlay – demonstrating how 5G RedCap enables real-time tracking, reliable communication, and scalable IoT integration in global transportation and logistics operations.

Logistics and Asset Tracking

Supply chain management benefits from RedCap’s ability to power GPS-enabled tracking devices with extended battery life. Businesses can achieve real-time asset tracking without incurring high data transmission costs.

Private 5G network setup with a wireless router in focus and a user in the background on a smartphone – illustrating how 5G RedCap components enable simplified, cost-effective connectivity for residential, SME, and edge network applications.

Private 5G Networks

Enterprises deploying private 5G networks can use RedCap for industrial automation, warehouse management, and connected manufacturing lines. The ability to customise connectivity in a controlled environment improves security and efficiency.

These varied use cases demonstrate that 5G RedCap is not meant to replace full 5G solutions but to complement them in scenarios that demand efficiency and cost optimisation.

Strategic Considerations for Businesses

The economic and organisational impacts of 5G RedCap are multifaceted, presenting both challenges and opportunities for businesses.

Companies must adapt their existing business models to align with the new technological landscape while capitalising on emerging opportunities.

  • Financial considerations
    Implementing RedCap solutions results in significant cost reductions compared to full-scale 5G. Lower hardware costs and reduced energy consumption offer an attractive cost-benefit ratio. A comprehensive ROI analysis shows that industries with low-data applications and high-volume units stand to benefit the most from this technology.

  • Administrative challenges
    The introduction of new device types typically requires a review and update of internal policies and processes. Companies need to develop new strategies for device management, data security, and regulatory compliance. This includes training employees and adjusting IT infrastructures to ensure smooth operations. However, when transitioning to 5G technology, these impacts tend to be minimal to negligible.

  • Organisational impact
    Specialised teams may be needed for planning, implementation, and maintenance of the new systems. Yet, these efforts are comparable to those required for other technologies and are relatively low for 5G RedCap.

  • Competitive analysis and market dynamics
    Since RedCap is still a very young technology, early involvement offers strategic advantages. Investing in RedCap now can provide long-term opportunities and safeguard future investments.

  • Opportunities and Partnerships
    Collaboration between technology providers and industrial customers is key. By forming targeted partnerships, businesses can develop innovative solutions tailored to the needs of specific industries, fostering synergies that enhance both technological and economic competitiveness.

If you’re exploring how 5G RedCap can enhance your IoT or industrial applications, our experts are ready to help. Contact us today to discuss tailored connectivity solutions for your needs.

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Reliability and Security of 5G RedCap

When implementing 5G RedCap, two key aspects are paramount: network stability and protection against cyber threats.

  • Reliability
    For use in critical applications such as medical monitoring or smart grids, 5G RedCap must provide reliable performance, even in challenging environments. Achieving this requires not only robust hardware but also optimised software solutions that can detect and address disturbances early. Testing across various scenarios has demonstrated that 5G RedCap can maintain a stable connection, even under difficult conditions, which is vital for time-sensitive applications.

  • Security considerations
    Although 5G RedCap is designed with reduced complexity, security remains a top priority. Regular firmware updates and patches are essential for closing newly discovered vulnerabilities. Compared to 4G, which offers strong security protocols but is not always optimised for devices with limited processing capabilities, 5G RedCap incorporates advanced encryption methods and authentication processes. Additionally, the 5G architecture enables network slicing, allowing the creation of isolated security zones for more targeted monitoring and control. These features significantly enhance protection against cyberattacks, providing a crucial advantage in industries such as industrial manufacturing and healthcare, where security breaches could have serious consequences.

  • Industrial and operational integration
    5G RedCap functions as a transparent communication technology for the end user, meaning its integration into existing systems does not require a complete redesign of hardware. Existing devices can typically remain in use, with the primary changes occurring in the network infrastructure, configuration, and management.

  • Industrial applications
    In industries such as production and manufacturing, real-time monitoring is essential. Private 5G networks allow sensors and automation systems to be seamlessly integrated into existing setups, providing stable, low-latency connections. Case studies show that adopting 5G not only enhances production quality but also significantly reduces downtime.

  • Process optimisation
    Rather than completely redesigning the rollout process, 5G RedCap allows for seamless integration into existing network infrastructures. This means that the setup and commissioning of RedCap networks can largely follow familiar procedures. Best practices include the gradual integration of new components, adapting existing interfaces, and continuously monitoring system performance. This approach ensures a smooth transition to the new technology without disrupting ongoing operations. Additionally, the introduction of 5G solutions opens up opportunities to rethink and optimise traditional business processes. For example, real-time machine connectivity can improve material flow management and help identify bottlenecks early, leading to increased efficiency and cost reductions over the long term.

The Semtech EM86 Series or better the EM8695 5G RedCap module designed for low-power, cost-effective IoT and industrial applications, offering scalable connectivity and simplified integration in smart sensors, wearables, and enterprise networking solutions.

Research and technological developments

Recent studies indicate that 5G RedCap modules , such as the EM8695 , can reduce energy consumption by up to 65% compared to LTE Cat-4, while achieving data rates of up to 223 Mbps on the downlink and 123 Mbps on the uplink.

These quantitative results prove that RedCap offers an efficient and cost-effective alternative in real world IoT scenarios. However, research gaps remain: further studies are required to refine network slicing strategies to ensure smooth interaction between RedCap and existing LTE fallback solutions. Additionally, the performance of RedCap in dense IoT environments, particularly under real-world interference conditions, needs further exploration, along with potential measures to enhance its performance.

On the technology front, innovations in chipsets and antenna designs are advancing RedCap’s efficiency. Modern 5G RedCap modules feature simplified antenna configurations and advanced power-saving mechanisms like eDRX, which help extend battery life in portable devices. Looking ahead, additional optimisations are expected with 3GPP Release 18, including the introduction of eRedCap, which may lower the minimum data rate to 10 Mbps, enabling even more cost-effective IoT applications.

5G RedCap modules and routers for scalable IoT and industrial connectivity

Overview of our 5G RedCap modules and routers

Challenges and Considerations

Deploying 5G RedCap presents unique challenges beyond standard security measures. While RedCap devices have a reduced attack surface due to their simplified architecture, maintaining robust security remains essential. Regular updates and well-defined security protocols are necessary to promptly address potential vulnerabilities.

Interference is another key consideration, particularly in densely populated IoT environments. Effective solutions include adaptive frequency management algorithms and enhanced filtering techniques to minimise disruptions from adjacent channels. These optimisations operate seamlessly in the background, ensuring a smooth user experience without requiring direct intervention.

Future Prospects and Developments

The current 3GPP Standard Release 17 is just a stepping stone, with Release 18 and enhanced RedCap (eRedCap) already finalised, paving the way for new modules and devices. Unlike typical technological advancements that focus on increasing data rates, Release 18 takes a different approach by reducing them—improving energy efficiency and aligning RedCap more closely with massive Machine-Type Communication (mMTC) use cases. This makes it an ideal solution for sensors, battery-powered devices, and low-bandwidth applications currently relying on LTE Cat 1, Cat 1-bis, or LTE-M.

With the high demand for these applications, the adoption of (e)RedCap is expected to accelerate rapidly. This evolution will cement RedCap’s role in the future IoT landscape, opening new opportunities for engineers to develop innovative solutions that further drive progress in the field.

Conclusion

5G RedCap plays a crucial role in the 5G ecosystem, providing a tailored solution for IoT applications that do not require full 5G capabilities. By eliminating non-essential features, it reduces costs and energy consumption, ensuring long-term network viability. Ongoing research and development highlight RedCap’s significant potential, making it a valuable opportunity for engineers and businesses to future-proof their systems and maximise its benefits.

5G RedCap is more than just a scaled-down version of 5G—it is a purpose-built solution that optimises connectivity for industries requiring efficiency, reliability, and cost-effectiveness. By adopting this technology, businesses can unlock new opportunities, streamline operations, and prepare for the future of connected ecosystems.