Private 5G Network Market Size Is Predicted To Reach A Valuation Of $14.28 Billion By 2028: Grand View Research Inc.
Private 5G Network Market Growth & Trends
The global private 5G network market size is estimated to reach USD 14.28 billion by 2028, registering a CAGR of 39.7% from 2021 to 2028, according to a new study by Grand View Research, Inc. Significantly growing demand for ultra-reliable low-latency connectivity with an extremely secure network across several mission-critical applications, such as public safety, is expected to boost the deployment of private 5G networks during the forecast period. Moreover, a wide range of industries, including manufacturing, oil & gas, mining, and energy & utility, are investing a massive amount in deploying private 5G telecom service to enhance their overall productivity and operational efficiency. As a result, it is expected to foster market growth from 2021 to 2028.
The private 5G network is expected to completely transform the transportation and logistics industry by providing seamless Vehicle-to-Vehicle (V2V) and Vehicle-to-Infrastructure (V2I) connectivity. As such, the need to ensure a secure, seamless, and uninterrupted connectivity with ports, vessels, and ships is estimated to drive the market. At the same time, the continued deployment of private 5G infrastructure is estimated to improve the operational efficiencies in several Industrial IoT (IIoT) use cases. The IIoT use cases include Automated Guided Vehicles (AGV), wireless UHD cameras, machine control systems, collaborative/cloud robots, and remote asset monitoring. Thus, the rising need for higher and secure bandwidth to ensure reliable and unified communication between IIoT devices is expected to propel the market growth over the forecast period.
Key market players are strategically building partnerships with industry giants to set up a private 5G network to provide high-speed secure connectivity to their customers. For instance, in Feb 2020, Nokia Corporation deployed a private 5G network infrastructure for Lufthansa Technik for virtual inspection of engine parts remotely for its civil aviation clients. Moreover, the rising demand for enhanced bandwidth connectivity for secured enterprise applications is anticipated to fuel the adoption of private 5G services globally.
Due to the ongoing Covid-19 pandemic, several key countries, such as the U.S., France, the U.K., and Australia, have temporarily postponed the 5G spectrum auctions. The pandemic has also hampered the production and supply of major telecom equipment needed to deploy the network infrastructure. As a result, it is anticipated to slow market growth over the forecast period.
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Private 5G Network Market Report Highlights
- The hardware segment led the global market accounting for a revenue share of over 56% in 2020 and will retain its dominance throughout the forecast period
- This growth is credited to the increasing deployment of private 5G service, RAN, and backhaul and transport equipment for various mission-critical applications
- With the growing need to provide unified connectivity with low latency to several industrial sensors, the manufacturing sector is anticipated to witness huge market growth over the forecast period
- The sub-6 GHz segment is expected to attain the highest market share by 2028 due to the massive allocation of sub-6 GHz frequencies by communication service providers to deliver network services
- With a rising need to avail affordable and highly secure band of the frequency spectrum for Massive Machine Type Communication (mMTC), the unlicensed/shared spectrum segment is anticipated to account for a significant market share by 2028
- Prominent players are strategically focusing on establishing partnerships to deploy the network in customers’ premises to deliver secure and enhanced wireless connectivity
Access Press Release@ https://www.grandviewresearch.com/press-release/global-private-5g-network-market
Private 5G Network Market Segmentation
Grand View Research has segmented the global private 5G network market on the basis of component, frequency, spectrum, vertical, and region:
Private 5G Network Component Outlook (Revenue, USD Million, 2020 - 2028)
- Radio Access
- Backhaul & Transport
- Installation & Integration
- Data Services
- Support & Maintenance
Private 5G Network Frequency Outlook (Revenue, USD Million, 2020 - 2028)
- Sub-6 GHz
Private 5G Network Spectrum Outlook (Revenue, USD Million, 2020 - 2028)
Private 5G Network Vertical Outlook (Revenue, USD Million, 2020 - 2028)
- Food & Beverages
- Electrical & Electronics
- Heavy Machinery
- Clothing & Accessories
- Energy & Utilities
- Transportation & Logistics
- Enterprises & Campus
- Oil & Gas
- Smart Cities
Private 5G Network Regional Outlook (Revenue, USD Million, 2020 - 2028)
- North America
- Asia Pacific
- South Korea
- South America
- Middle East & Africa (MEA)
List of Key Players of Private 5G Network Market
- Telefonaktiebolaget LM Ericsson
- Nokia Corp.
- Huawei Technologies Co., Ltd.
- ZTE Corp.
- Deutsche Telekom
- Juniper Networks
- AT&T Inc.
- Verizon Communications
- BT Group
- T-Systems International GmbH
- Cisco Systems, Inc.
- Vodafone Ltd.
About Grand View Research
Grand View Research, Inc. is a U.S. based market research and consulting company, registered in the State of California and headquartered in San Francisco. The company provides syndicated research reports, customized research reports, and consulting services. To help clients make informed business decisions, we offer market intelligence studies ensuring relevant and fact-based research across a range of industries, from technology to chemicals, materials and healthcare.