Private 5G Network Market

Global Private 5G Network Market Size (2024 to 2029)

The global Private 5G Network market was worth USD 1.9 billion in 2023, and it is estimated to reach USD 14.87 billion by 2029, registering a CAGR of about 40.9% during the forecast period.

The private or nonpublic 5G network is a dedicated local area network that delivers enhanced internet connectivity to industrial, enterprise, and other customers. The evolution of next-generation network services is expected to address the need for critical wireless communications for industrial operations, public safety, and critical infrastructure connectivity.

The growing need for ultra-reliable, low-latency connectivity for industrial Internet of Things applications, including collaborative robots, industrial cameras, and industrial sensors, will help the market grow in the upcoming years.

MARKET DRIVERS

The growth of the global Private 5G Networks market is due to the rising number of applications, which increases the demand for private 5G networks to ensure that large volumes of data generated with continuous monitoring are transmitted, which helps the market grow during a significant period.

Other factors that support the growth of the global Private 5G Network market include benefits such as a rapid shift towards digitalization in the oil and gas industry processes, which has raised the need for extremely reliable and secure bandwidth capacity, increasing number of internet users with increasing investments and also the developments of technology infrastructure and cheaper data plans. The use of IoT devices in applications apart from industries is dry, which also involves continuous monitoring and generation of larger volumes of data; the data generated is secure and transmitted seamlessly to ensure smooth functionality, which is one of the factors that help the market to grow further. Furthermore, providing high-speed bandwidth connectivity during TSN (Time-sensitive Networking) and real-time networking across industries are some of the major driving factors that propel the market of private 5G networks.

MARKET RESTRAINTS 

However, complexities and fluctuations in the network are some of the restraints that hinder the growth of the Private 5G Network market. The lack of skilled professionals to work is another factor that hinders market growth.

Impact of COVID-19 on the global private 5G network market

The implementation of enhanced private 5G infrastructure is expected to be delayed due to the COVID-19 pandemic, disruptions in further trials, and the testing required to verify the stability and process of the performance of the 5G standalone networks. On the telephone, regulatory authorities across the globe have an impact due to the pandemic since they have postponed their plans for the 5G spectrum auction. The market is expected to increase the revenue rate post-COVID pandemic.

REPORT COVERAGE

SEGMENTAL ANALYSIS 

Global Private 5G Network Market Analysis By Component

The services segment is further bifurcated into installation & integration, data services and support & maintenance. The hardware segment is expected to dominate the market due to the increased deployment of core networks and backhaul and transport equipment across the globe. This segment will continue to dominate during the outlook period. The software segment is expected to increase the market rate with a significant focus on deploying the cloud-based RAN, core, and edge networks.

Global Private 5G Network Market Analysis By Frequency

Among these segments, the sub 6 MHz segment is foreseen to grow with the highest CAGR from 2022 - 2027 since it encompasses a low band and a mid-band spectrum that ranges mainly 6GHz and below. The mmWave frequencies are high-band frequencies that provide significantly high connectivity with low latency, and these bands help wherein ultra-reliable connectivity would be required, especially in infrastructure connectivity.

Global Private 5G Network Market Analysis By Spectrum

Among these segments, the unlicensed/shared segment holds the major share of the market and will dominate it during the forecast period due to rising demand for high-speed private 5G networks at affordable costs. Also, this unlicensed spectrum bandwidth is easily accessible and highly preferred during massive machine-type communications.

Global Private 5G Network Market Analysis By Vertical

The manufacturing segment is expected to have the highest CAGR during the forecast period and will hold the dominance since the healthcare simulation due to the rapid growth of demand for private 5G services to provide seamless connectivity to several devices such as ultra-HD cameras, extended reality headsets, AGVs, growing need to establish uninterrupted communication among machines.

REGIONAL ANALYSIS 

North America Private 5G Network Market, followed by the Asia Pacific region, has essential participation in the global business due to the presence of various 5G solution providers such as Qualcomm technologies and also increasing investments for R&D as well as the technological advancements in the Private 5G Network helps the growth of the market.

The Asia Pacific region is expected to increase the market value owing to factors such as the presence of several manufacturers along with their significant investments in building automated factories, especially in some of the countries such as India, China, and Japan, which promote the growth of the private 5G network market during the forecast period.

Europe is likely to hit the highest CAGR in the foreseen years, with rising per capita income in developed countries. Growing investments in the development of new systems are propelling the growth rate of the private 5G network market.

DETAILED SEGMENTATION OF THE GLOBAL PRIVATE 5G NETWORK MARKET INCLUDED IN THIS REPORT

This research report on the global private 5G network market is segmented based on the component, frequency, spectrum, vertical, and region

By Component

• Hardware

  • R​​​​​​radio Access

  • Core and Backhaul

  • Transport

• Software

• Services

By Frequency

• Sub 6 GHz

• mmWave

By Spectrum

• Licensed

• Unlicensed/Shared

By Vertical

• Manufacturing

• Energy and Uilities

• Transportation & Logistics

• Defense

• Enterprises and Campus

• Mining

• Healthcare/Hospital

• Oil & Gas

• Retail

• Agriculture

By Region

• North America

• Europe

• The Asia Pacific

• Latin America

• The Middle East and Africa

KEY PLAYERS IN THE GLOBAL PRIVATE 5G NETWORK MARKET

The main players in the market are Altiostar, Nokia Corporation, Qualcomm Technologies, Inc., Telefonaktiebolaget LM Ericsson, T-Systems International GmbH, AT&T Inc., Broadcom Inc., Cisco Systems, Deutsche Telekom, Huawei Technologies Co, Verizon Communications, ZTE Corporation, Microsoft, Amazon, Google, Samsung, Vodafone Limited.

RECENT HAPPENINGS IN THE GLOBAL PRIVATE 5G NETWORK MARKET

• Qualcomm Technologies Inc. and Siemens company jointly established private 5G network-based test centers in Germany in November 2019, using a 3.7-3.8 GHz band. Through this partnership, Qualcomm Technologies has set up a 5G core network and RAN along with industrial test devices.

• Vodafone Ltd collaborated with Lufthansa Technik in February 2020 to establish a private 5G network campus at Hamburg Airport in Germany. This partnership has helped Lufthansa Technik customize the network configuration according to its needs.