Private 5G Network Industry Overview

The global private 5G network market size reached an estimated USD 2.00 billion in 2023, and it is anticipated to grow significantly at a compound annual growth rate (CAGR) of 54.1% from 2024 to 2030. This growth reflects the increasing value of private 5G networks to businesses and governments, as these networks offer secure, dedicated, and high-performance connectivity solutions. Such networks enable users to connect numerous devices, enhance automation capabilities, and elevate customer experience standards. As a result, various industries—including those developing smart cities—are turning to private 5G for crucial applications like traffic management, public security, and beyond.

Private 5G networks, based on advanced cellular technology, are being adopted across numerous sectors such as manufacturing, utilities, transportation, logistics, retail, agriculture, and smart city initiatives. The appeal of these networks lies in their ultra-fast data speeds, enhanced security features, cost efficiency, reliable connectivity, prioritized access, and extended coverage when compared to traditional Wi-Fi. These advantages are driving their widespread adoption, helping to push the private 5G network market toward steady growth.

As more devices and enterprises connect to the internet, network congestion can cause coverage limitations and potential security risks. Private 5G networks address these issues by providing dedicated, high-performance network solutions that offer superior security, connectivity, and automation. With lower latency, private 5G networks allow enterprises to deliver an improved customer experience. Additionally, the capabilities of private 5G support a range of advanced applications, such as machine control systems, wireless ultra-high-definition (UHD) cameras, collaborative robots, cloud-based robotics, and remote asset monitoring, further driving demand for these networks.

Smart cities in developed countries like the U.S., Canada, Singapore, the UK, Germany, Italy, and France are experiencing rapid expansion, accompanied by the deployment of Internet of Things (IoT) devices across critical sectors. These applications primarily include transportation, public safety and security, and energy management. To support secure, seamless connectivity for these critical applications, telecom providers are rolling out innovative private 5G network solutions. The continuous advancement and innovation in private 5G technology are generating substantial growth opportunities for the private 5G network market, fueling its adoption across multiple regions and sectors.

Gather more insights about the market drivers, restrains and growth of the Private 5G Network Market

Regional Insights:

North America's Dominance in the Private 5G Network Market (2023):

• North America led the private 5G network market with a 31.64% market share in 2023.
• This regional dominance is largely due to the presence of prominent private 5G solution providers, including companies such as Qualcomm Technologies, Inc., AT&T Inc., and Verizon Communications.
• Significant investments from these companies in private 5G infrastructure are driving the market’s growth within the region.

U.S. Private 5G Network Market Trends:

• The U.S. market for private 5G networks is projected to grow at a substantial CAGR of 56.2% from 2024 to 2030.
• Verizon Business, for example, launched a private 5G network at Deloitte's Smart Factory in Wichita in January 2023.
• The U.S. growth is heavily influenced by smart manufacturing and Industry 4.0, fostering rapid expansion in private 5G network implementation.

Canada Private 5G Network Market Trends:

• Canada’s private 5G network market is also expected to experience significant growth from 2024 to 2030.
• The adoption of private 5G networks in Canada is driven by benefits such as enhanced accessibility, reliable connectivity, high-quality service, and robust security features.

Europe Private 5G Network Market Trends:

• Europe’s private 5G network market is projected to grow robustly through 2030, driven by demand for secure and high-speed connectivity, especially for industrial, smart city, and IoT applications.
• UK Market Growth:
  • The UK private 5G network market is expected to see significant growth, supported by government investment, such as a GBP 110 million allocation in December 2022 for R&D in telecom security, 5G, and 6G development.
• Germany Market Growth:
  • Germany’s private 5G network market is anticipated to grow, bolstered by government initiatives encouraging innovation and adoption of private 5G across various industries.

Asia Pacific Private 5G Network Market Trends:

• The Asia Pacific region is forecasted to have the highest CAGR in the private 5G network market from 2024 to 2030.
• Growth in this region is largely driven by the presence of numerous manufacturers investing heavily in automated factory infrastructure and the acquisition of 5G spectrum in countries such as India, China, Japan, South Korea, and Australia.
• China’s Market Growth:
  • China’s private 5G network market is anticipated to expand significantly, with GSMA's 'Mobile Economy China 2024' report indicating that over 50% of mobile users will be on 5G networks by the end of 2024, presenting vast growth opportunities.
• India’s Market Growth:
  • The private 5G network market in India is expected to grow, albeit at a slower initial pace, with increasing traction anticipated due to private 5G’s extensive coverage, low latency, and high reliability.
• Japan’s Market Growth:
  • Japan’s private 5G market is projected to grow, driven by strategic collaborations between telecom operators and enterprise clients, expanding the reach of private 5G networks across the country.

Middle East and Africa (MEA) Private 5G Network Market Trends:

• The MEA region is forecasted to achieve substantial growth in its private 5G network market from 2024 to 2030.
• Investment in 5G infrastructure within the Middle East is fostering expansion opportunities for private 5G networks throughout the MEA region.

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• The global machine control system market size was valued at USD 5.59 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 7.4% from 2024 to 2030.
• The global smart cities market size was valued at USD 748.7 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 25.8% from 2023 to 2030.

Key Private 5G Network Company Insights

Some of the established players operating in the market include TELEFONAKTIEBOLAGET LM ERICSSON, HUAWEI TECHNOLOGIES CO., LTD., Deutsche Telekom, Nokia Corporation, Samsung Electronics Co., Ltd., and Cisco Systems, Inc. among others.

• Telefonaktiebolaget LM Ericsson provides information and communication technology (ICT) services, including 5G and IoT-powered networks, managed services, digital services, and others to service providers across the globe. These services form the operating segments of the company and are based on the company’s customer needs. The company is taking strategic initiatives regarding new product deployments and geographical expansion of its facilities across the globe.
• Nokia Corporation is a mobile and fixed network infrastructure provider that combines software, hardware, and services. The company is also engaged in the deployment of 5G networks. The company operates through three reportable segments: networks, Nokia software, and Nokia technologies. Through the Nokia Software segment, the company focuses on 5G, digital, automation, and portfolio integration platforms. Nokia Corporation is among the leading players with a vast product portfolio and strong global presence.

Key Private 5G Network Companies:

The following are the leading companies in the private 5G network market. These companies collectively hold the largest market share and dictate industry trends.

• Telefonaktiebolaget LM Ericsson
• Nokia Corporation
• Samsung Electronics Co., Ltd.
• ZTE Corporation
• Deutsche Telekom Group
• AT&T Inc.
• Juniper Networks, Inc.
• Verizon Communications
• Altiostar
• HUAWEI TECHNOLOGIES CO., LTD.
• Mavenir
• T-Systems International GmbH
• Cisco Systems, Inc.
• Vodafone Group Plc
• BT Group

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