프라이빗 5G 네트워크는 확립된 시장이며 10년 이상 전부터 존재합니다. iNET(Infrastructure Networks)의 퍼미언 분지에서 700MHz LTE 네트워크, 탐넷의 북해 해외 4G 인프라, 리오 틴토의 서호주 광산업무 전용 LTE 네트워크 등 초기 설치는 2010년대 초반으로 거슬러 올라갑니다. 그러나 대부분의 국내 시장에서 3GPP 정의형 5G 표준을 기반으로 하는 프라이빗 셀룰러 네트워크와 NPN은 PoC 테스트 및 소규모 배포에서 Industry 4.0 및 고급 용도 시나리오의 기초를 구축하는 독립형 5G 네트워크의 생산 등급 구현 로 이동하기 시작한 곳입니다.
LTE 기술에 비해 프라이빗 5G 네트워크(지역에 따라 5G MPN, 5G 캠퍼스 네트워크, 로컬 5G, e-Um 5G 시스템이라고도 함)는 처리량, 지연, 신뢰성, 가용성 및 연결 밀도 측면에서 훨씬 엄격합니다. 성능 요구 사항에 대응할 수 있습니다. 특히, 5G URLLC와 mMTC 기능은 2030년대 6G 네트워크로의 미래 전환 경로와 함께 기계, 로봇 및 제어 시스템 간의 산업 등급 통신에서 물리적 유선 연결을 대체하는 실행 가능한 옵션으로 위치하고 있습니다. 또한 5G는 소유 비용이 상대적으로 높음에도 불구하고 무선 노드당 커버 반경의 넓이, 확장성, 결정성, 보안 기능 및 이동성 지원으로 향후 몇 년동안 연결 센서 및 기타 엔드 포인트 수가 크게 증가할 것으로 예상되는 IIoT 환경에서 간섭을 받기 쉬운 면허 불필요한 무선 기술을 대체할 가능성에 강한 관심이 전해지고 있습니다.
중국은 공장, 창고, 광산, 발전소, 변전소, 석유 및 가스시설, 항만 등의 산업환경에서 5G 접속의 채용을 가속시키는 것을 목적으로 한 국가자금에 의한 지침 덕분에 이상적이고 가장 성숙한 국가 시장이라는 점에 주목할 만합니다. 배경을 설명하면 중국 최대 프라이빗 5G 네트워크는 특정 지연, 안정성 및 보안 요구 사항에 따라 온프레미스 또는 에지 클라우드 기반 코어 네트워크 기능이 지원하는 수백에서 수천 개의 전용 RAN 노드로 구성될 수 있습니다. 예를 들어 소비자 일렉트로닉스 제조업체 Midea의 주주 공업 단지에서는 실내외의 5G NR 액세스 포인트를 2,500대 설치하고, 약 104에이커의 부지 전체에 작업원, 기계, 로봇, 차량을 접속하고 있으며, 철강 제조업체의 WISCO(Wuhan Iron & Steel Corporation)는 무한(후베이성)의 철강 공장에서 중기를 원격 조작하기 위해 85개의 멀티 섹터 매크로셀과 100개의 스몰셀로 구성된 듀얼 레이어 프라이빗 5G 네트워크를 설치하여 복건성을 거점이 되는 제조업체인 Wanhua Chemical은 최근 감시 카메라와 IoT 센서 등 8,000대 이상의 5G RedCap(Reduced Capability) 디바이스에 대응하는 커스터마이즈된 무선 네트워크를 구축했습니다.
미국, 독일, 프랑스, 일본, 한국, 대만과 같은 최종 사용자 기업이 디지털화 및 자동화 노력을 강화하는 동안 프라이빗 5G 네트워크는 생산 라인의 신속한 재구성에 사용되는 무선 연결된 기계 분산 PLC 환경, AMR 및 AGV에 의한 인트라 물류, AR 지원 지침 및 문제 해결, 머신 비전 기반 품질 관리, 제조 차량 무선 소프트웨어 플래시, 원격 조작 크레인, 무인 채굴 장비, 무인 항공기 BVLOS 조작, 복잡한 산업 시스템의 디지털 트윈 모델, ATO, 건널목 및 역 홈의 안전성을 위한 비디오 분석, 항공기 엔진 부품의 원격 육안 검사, 비행 라인에서 정비 작업을 위한 실시간 협업, XR 기반 군사 훈련, NICU에서 유아를 보기 위한 부모님의 가상 방문, 기존 솔루션에서는 접근하기 어려운 곳에서의 라이브 방송 제작, 대규모 스포츠 이벤트 중의 크리티컬 통신, 와규 생산을 위한 소의 비육과 번식의 최적화 등, 다양한 이용 사례를 서포트하기 위해 서서히 도입되었습니다.
이 보고서는 세계 5G 네트워크 시장을 상세하게 평가하고 밸류체인, 시장 성장 촉진요인, 도입 장벽, 실현 기술, 경영 및 비즈니스 모델, 수직 산업, 응용 시나리오, 주요 동향, 미래 로드맵, 표준화, 주파수 대역의 가용성과 할당, 규제 상황, 사례 연구, 생태계 진출 기업의 프로파일과 전략 등을 요약합니다.
목차
제1장 서론
제2장 프라이빗 5G 네트워크 개요
3GPP 정의형 5G 규격의 도입
프라이빗 무선 네트워크에 5G를 활용하는 이유
프라이빗 5G 네트워크의 채용에 영향을 미치는 주요 테마
프라이빗 5G 네트워크의 실용적 측면
프라이빗 5G 네트워크의 밸류체인
시장 성장 촉진요인
고대역폭 및 저지연 무선 용도에 대한 수요 증가
인더스트리 4.0과 크리티컬 통신 부문으로부터의 지지
실내, 산업, 원격 환경에 있어서의 공공의 셀룰러 전파의 좁은 범위
개인 사용에 적합한 스펙트럼 옵션의 가용성
보증된 연결성, QoS 제어
고급 네트워크 보안 데이터 프라이버시
사업자 및 벤더의 새로운 수익원에의 욕구
정부 자금에 의한 5G 혁신 활동
시장 장벽
비용, ROI의 정당화
네트워크의 전개, 운용의 기술적 복잡성
기존 인프라, 용도와의 통합
스펙트럼 하모나이제이션의 부족에 의한 한정된 스케일 효과
3GPP 이외의 기술과 솔루션과의 경쟁
5G 단말기기에 관한 과제
스킬 갭, 숙련된 엔지니어의 부족
보수주의, 느린 변화 페이스
제3장 프라이빗 5G 네트워크의 시스템 아키텍처 및 기술
프라이빗 5G 네트워크의 아키텍처 컴포넌트
UE
RAN
모바일 코어
전송 네트워크
서비스 및 상호 연결성
주요 실현 기술 및 컨셉
제4장 주요 수직 산업 및 용도
크로스 섹터, 엔터프라이즈 응용 가능성
수직 산업, 특정 응용 시나리오
제5장 스펙트럼 가용성, 할당 및 사용
국가 및 지역의 허가 스펙트럼
면허 불필요(무허가) 스펙트럼
북미
미국
캐나다
아시아태평양
호주
뉴질랜드
중국
홍콩
대만
일본
한국
싱가포르
말레이시아
인도네시아
필리핀
태국
베트남
라오스
미얀마
인도
파키스탄
기타 아시아태평양
유럽
영국
아일랜드 공화국
프랑스
독일
벨기에
네덜란드
스위스
오스트리아
이탈리아
스페인
포르투갈
스웨덴
노르웨이
덴마크
핀란드
에스토니아
체코 공화국
폴란드
우크라이나
터키
키프로스
그리스
불가리아
루마니아
헝가리
슬로베니아
크로아티아
러시아
벨로루시
기타 유럽
중동 및 아프리카
사우디아라비아
아랍에미리트(UAE)
카타르
오만
바레인
쿠웨이트
이라크
요르단
이스라엘
이집트
알제리
모로코
튀니지
남아프리카
보츠와나
잠비아
케냐
에티오피아
앙골라
콩고 공화국
가봉
나이지리아
우간다
가나
세네갈
기타 중동 및 아프리카
중남미
브라질
멕시코
아르헨티나
콜롬비아
칠레
페루
에콰도르
볼리비아
도미니카 공화국
발다도스
트리니다드 토바고
수리남
기타 중남미
제6장 표준화, 규제 및 공동 활동
제7장 프라이빗 5G 네트워크 사례 연구
제8장 주요 생태계 진출기업
제9장 시장 규모 및 예측
제10장 결론 및 전략적 추천
AJY
영문 목차
영문목차
Synopsis
Private LTE networks are a well-established market and have been around for more than a decade, albeit as a niche segment of the wider cellular infrastructure segment - iNET's (Infrastructure Networks) 700 MHz LTE network in the Permian Basin, Tampnet's offshore 4G infrastructure in the North Sea, Rio Tinto's private LTE network for its Western Australia mining operations and other initial installations date back to the early 2010s. However, in most national markets, private cellular networks or NPNs (Non-Public Networks) based on the 3GPP-defined 5G standard are just beginning to move beyond PoC (Proof-of-Concept) trials and small-scale deployments to production-grade implementations of standalone 5G networks, which are laying the foundation for Industry 4.0 and advanced application scenarios.
Compared to LTE technology, private 5G networks - also referred to as 5G MPNs (Mobile Private Networks), 5G campus networks, local 5G or e-Um 5G systems depending on geography - can address far more demanding performance requirements in terms of throughput, latency, reliability, availability and connection density. In particular, 5G's URLLC (Ultra-Reliable, Low-Latency Communications) and mMTC (Massive Machine-Type Communications) capabilities, along with a future-proof transition path to 6G networks in the 2030s, have positioned it as a viable alternative to physically wired connections for industrial-grade communications between machines, robots and control systems. Furthermore, despite its relatively higher cost of ownership, 5G's wider coverage radius per radio node, scalability, determinism, security features and mobility support have stirred strong interest in its potential as a replacement for interference-prone unlicensed wireless technologies in IIoT (Industrial IoT) environments, where the number of connected sensors and other endpoints is expected to increase significantly over the coming years.
It is worth noting that China is an outlier and the most mature national market thanks to state-funded directives aimed at accelerating the adoption of 5G connectivity in industrial settings such as factories, warehouses, mines, power plants, substations, oil and gas facilities and ports. To provide some context, the largest private 5G installations in China can comprise hundreds to even thousands of dedicated RAN (Radio Access Network) nodes supported by on-premise or edge cloud-based core network functions depending on specific latency, reliability and security requirements. For example, home appliance manufacturer Midea's Jingzhou industrial park hosts 2,500 indoor and outdoor 5G NR access points to connect workers, machines, robots and vehicles across an area of approximately 104 acres, steelmaker WISCO (Wuhan Iron & Steel Corporation) has installed a dual-layer private 5G network - spanning 85 multi-sector macrocells and 100 small cells - to remotely operate heavy machinery at its steel plant in Wuhan (Hubei), and Fujian-based manufacturer Wanhua Chemical has recently built a customized wireless network that will serve upwards of 8,000 5G RedCap (Reduced Capability) devices, primarily surveillance cameras and IoT sensors.
As end user organizations in the United States, Germany, France, Japan, South Korea, Taiwan and other countries ramp up their digitization and automation initiatives, private 5G networks are progressively being implemented to support use cases as diverse as wirelessly connected machinery for the rapid reconfiguration of production lines, distributed PLC (Programmable Logic Controller) environments, AMRs (Autonomous Mobile Robots) and AGVs (Automated Guided Vehicles) for intralogistics, AR (Augmented Reality)-assisted guidance and troubleshooting, machine vision-based quality control, wireless software flashing of manufactured vehicles, remote-controlled cranes, unmanned mining equipment, BVLOS (Beyond Visual Line-of-Sight) operation of drones, digital twin models of complex industrial systems, ATO (Automatic Train Operation), video analytics for railway crossing and station platform safety, remote visual inspections of aircraft engine parts, real-time collaboration for flight line maintenance operations, XR (Extended Reality)-based military training, virtual visits for parents to see their infants in NICUs (Neonatal Intensive Care Units), live broadcast production in locations not easily accessible by traditional solutions, operations-critical communications during major sporting events, and optimization of cattle fattening and breeding for Wagyu beef production.
Despite prolonged teething problems in the form of a lack of variety of non-smartphone devices, high 5G IoT module costs due to low shipment volumes, limited competence of end user organizations in cellular wireless systems and conservatism with regards to new technology, early adopters are affirming their faith in the long-term potential of private 5G by investing in networks built independently using new shared and local area licensed spectrum options, in collaboration with private network specialists or via traditional mobile operators. Some private 5G installations have progressed to a stage where practical and tangible benefits - particularly efficiency gains, cost savings and worker safety - are becoming increasingly evident.
Notable examples include but are not limited to:
Tesla's private 5G implementation on the shop floor of its Gigafactory Berlin-Brandenburg plant in Brandenburg, Germany, has helped in overcoming up to 90 percent of the overcycle issues for a particular process in the factory's GA (General Assembly) shop. The electric automaker is integrating private 5G network infrastructure to address high-impact use cases in production, intralogistics and quality operations across its global manufacturing facilities.
John Deere is steadily progressing with its goal of reducing dependency on wired Ethernet connections from 70% to 10% over the next five years by deploying private 5G networks at its industrial facilities in the United States, South America and Europe. In a similar effort, automotive aluminum die-castings supplier IKD has replaced 6 miles of cables connecting 600 pieces of machinery with a private 5G network, thereby reducing cable maintenance costs to near zero and increasing the product yield rate by ten percent.
Lufthansa Technik's 5G campus network at its Hamburg facility has removed the need for its civil aviation customers to physically attend servicing by providing reliable, high-resolution video access for virtual parts inspections and borescope examinations at both of its engine overhaul workshops. Previous attempts to implement virtual inspections using unlicensed Wi-Fi technology proved ineffective due to the presence of large metal structures.
The EWG (East-West Gate) Intermodal Terminal's private 5G network has increased productivity from 23-25 containers per hour to 32-35 per hour and reduced the facility's personnel-related operating expenses by 40 percent while eliminating the possibility of crane operator injury due to remote-controlled operation with a latency of less than 20 milliseconds.
The Liverpool 5G Create network in the inner city area of Kensington has demonstrated significant cost savings potential for digital health, education and social care services, including an astonishing $10,000 drop in yearly expenditure per care home resident through a 5G-connected fall prevention system and a $2,600 reduction in WAN (Wide Area Network) connectivity charges per GP (General Practitioner) surgery - which represents $220,000 in annual savings for the United Kingdom's NHS (National Health Service) when applied to 86 surgeries in Liverpool.
NEC Corporation has improved production efficiency by 30 percent through the introduction of a local 5G-enabled autonomous transport system for intralogistics at its new factory in Kakegawa (Shizuoka Prefecture), Japan. The manufacturing facility's on-premise 5G network has also resulted in an elevated degree of freedom in terms of the factory floor layout, thereby allowing NEC to flexibly respond to changing customer needs, market demand fluctuations and production adjustments.
A local 5G installation at Ushino Nakayama's Osumi farm in Kanoya (Kagoshima Prefecture), Japan, has enabled the Wagyu beef producer to achieve labor cost savings of more than 10 percent through reductions in accident rates, feed loss, and administrative costs. The 5G network provides wireless connectivity for AI (Artificial Intelligence)-based image analytics and autonomous patrol robots.
CJ Logistics has achieved a 20 percent productivity increase at its Ichiri center in Icheon (Gyeonggi), South Korea, following the adoption of a private 5G network to replace the 40,000 square meter warehouse facility's 300 Wi-Fi access points for Industry 4.0 applications, which experienced repeated outages and coverage issues.
Delta Electronics - which has installed private 5G networks for industrial wireless communications at its plants in Taiwan and Thailand - estimates that productivity per direct labor and output per square meter have increased by 69% and 75% respectively following the implementation of 5G-connected smart production lines.
An Open RAN-compliant standalone private 5G network in Taiwan's Pingtung County has facilitated a 30 percent reduction in pest-related agricultural losses and a 15 percent boost in the overall revenue of local farms through the use of 5G-equipped UAVs (Unmanned Aerial Vehicles), mobile robots, smart glasses and AI-enabled image recognition.
JD Logistics - the supply chain and logistics arm of online retailer JD.com - has achieved near-zero packet loss and reduced the likelihood of connection timeouts by an impressive 70 percent since migrating AGV communications from unlicensed Wi-Fi systems to private 5G networks at its logistics parks in Beijing and Changsha (Hunan), China.
Baosteel - a business unit of the world's largest steelmaker China Baowu Steel Group - credits its 43-site private 5G deployment at two neighboring factories with reducing manual quality inspections by 50 percent and achieving a steel defect detection rate of more than 90 percent, which equates to $7 Million in annual cost savings by reducing lost production capacity from 9,000 tons to 700 tons.
Dongyi Group Coal Gasification Company ascribes a 50 percent reduction in manpower requirements and a 10 percent increase in production efficiency - which translates to more than $1 Million in annual cost savings - at its Xinyan coal mine in Lvliang (Shanxi), China, to private 5G-enabled digitization and automation of underground mining operations.
Sinopec's (China Petroleum & Chemical Corporation) explosion-proof 5G network at its Guangzhou oil refinery in Guangdong, China, has reduced accidents and harmful gas emissions by 20% and 30% respectively, resulting in an annual economic benefit of more than $4 Million. The solution is being replicated across more than 30 refineries of the energy giant.
Since adopting a hybrid public-private 5G network to enhance the safety and efficiency of urban rail transit operations, the Guangzhou Metro rapid transit system has reduced its maintenance costs by approximately 20 percent using 5G-enabled digital perception applications for the real-time identification of water logging and other hazards along railway tracks.
Some of the most technically advanced features of 5G Advanced - 5G's next evolutionarily phase - are also being trialed over private wireless installations. Among other examples, Chinese automaker Great Wall Motor is using an indoor 5G Advanced network for time-critical industrial control within a car roof production line as part of an effort to prevent wire abrasion in mobile application scenarios, which results in production interruptions with an average downtime of 60 hours a year.
In addition, against the backdrop of geopolitical trade tensions and sanctions that have restricted established telecommunications equipment suppliers from operating in specific countries, private 5G networks have emerged as a means to test domestically produced 5G network infrastructure products in controlled environments prior to large-scale deployments or vendor swaps across national or regional public mobile networks. For instance, Russian industrial groups are trialing private 5G networks in pilot zones within their production sites, using indigenously built 5G equipment operating in Band n79 (4.8-4.9 GHz) spectrum.
To capitalize on the long-term potential of private 5G, a number of new alternative suppliers have also developed 5G infrastructure offerings tailored to the specific needs of industrial applications. For example, satellite communications company Globalstar has launched a 3GPP Release 16-compliant multipoint terrestrial RAN system that is optimized for dense private wireless deployments in Industry 4.0 automation environments while German engineering conglomerate Siemens has developed an in-house private 5G network solution for use at its own plants as well as those of industrial customers.
SNS Telecom & IT estimates that annual investments in private 5G networks for vertical industries will grow at a CAGR of approximately 42% between 2024 and 2027, eventually accounting for nearly $3.5 Billion by the end of 2027. Although much of this growth will be driven by highly localized 5G networks covering geographically limited areas for Industry 4.0 applications in manufacturing and process industries, sub-1 GHz wide area critical communications networks for public safety, utilities and railway communications are also anticipated to begin their transition from LTE, GSM-R and other legacy narrowband technologies to 5G towards the latter half of the forecast period, as 5G Advanced becomes a commercial reality. Among other features for mission-critical networks, 3GPP Release 18 - which defines the first set of 5G Advanced specifications - adds support for 5G NR equipment operating in dedicated spectrum with less than 5 MHz of bandwidth, paving the way for private 5G networks operating in sub-500 MHz, 700 MHz, 850 MHz and 900 MHz bands for public safety broadband, smart grid modernization and FRMCS (Future Railway Mobile Communication System).
The "Private 5G Networks: 2024 - 2030 - Opportunities, Challenges, Strategies & Forecasts"report presents an in-depth assessment of the private 5G network market, including the value chain, market drivers, barriers to uptake, enabling technologies, operational and business models, vertical industries, application scenarios, key trends, future roadmap, standardization, spectrum availability and allocation, regulatory landscape, case studies, ecosystem player profiles and strategies. The report also presents global and regional market size forecasts from 2024 to 2030. The forecasts cover three infrastructure submarkets, 16 vertical industries and five regional markets.
The report comes with an associated Excel datasheet suite covering quantitative data from all numeric forecasts presented in the report, as well as a database of over 7,000 global private cellular engagements - including more than 2,200 private 5G installations - as of Q2'2024.
Summary of Private 5G Engagements
Below is a summary of existing and planned private 5G engagements across 16 vertical sectors:
Agriculture: In Japan, standalone local 5G networks are being utilized for application scenarios ranging from remote-controlled tractors and agricultural machinery to AI-enabled image analytics and autonomous patrol robots in support of optimizing cattle fattening and breeding for the production of Kagoshima Wagyu beef. Similar initiatives are also underway in the United States, Brazil, Taiwan and other national markets.
Aviation: Private 5G networks have been deployed or are being trialed to support internal operations at some of the busiest international and domestic airports, including Hong Kong, Shanghai Pudong and Hongqiao, Tokyo Narita, Frankfurt, Cologne Bonn, Brussels, Amsterdam Schiphol, Vienna, Athens, Oslo, Helsinki, San Sebastian and DFW (Dallas Fort Worth). Delta Air Lines, Lufthansa Technik and JAL (Japan Airlines) are leveraging private 5G networks for aircraft maintenance operations, while ANA (All Nippon Airways) is harnessing local 5G connectivity to enhance the effectiveness of aviation training. In addition, national and cross-border A2G (Air-to-Ground) networks - for example, Gogo Business Aviation's 5G network - for inflight broadband and critical airborne communications are also beginning to gain significant traction.
Broadcasting: CNN (Cable News Network), BBC (British Broadcasting Corporation), BT Media & Broadcast, RTE (Raidio Teilifis Eireann), Media Broadcast, SWR (Sudwestrundfunk), WDR (Westdeutscher Rundfunk Koln), RTBF (Belgian Radio-Television of the French Community), RTVE (Radiotelevision Espanola), SVT (Sveriges Television), NRK (Norwegian Broadcasting Corporation), TV 2, Yle (Yleisradio), TVBS, TBN (Trinity Broadcasting Network), WOWOW, CMG (China Media Group) and several other broadcast players are utilizing private 5G networks - both temporary and fixed installations - to support live production and other use cases. OTT (Over-the-Top) streaming service providers such as DAZN and U-Next are also beginning to rely on portable 5G networks for real-time video distribution during sports events. During the 2024 Paris Olympic Games, an Orange-supplied private 5G solution will be used for transmitting live footage from locations where wired cabling is impractical.
Construction: Hazama Ando Corporation, Kumagai Gumi, Obayashi Corporation, Shimizu Corporation, Taisei Corporation, Takenaka Corporation, CSCEC (China State Construction Engineering Corporation), Hoban Construction, Hip Hing Engineering, Gammon Construction, Hyundai E&C (Engineering & Construction), Ferrovial and BAM Nuttall (Royal BAM Group) are notable examples of companies that have employed the use of private 5G networks to enhance productivity and worker safety at construction sites.
Education: Higher education institutes are at the forefront of adopting on-premise 5G networks in campus environments. Tokyo Metropolitan University, Texas A&M University, Johns Hopkins University, Purdue University, Cal Poly (California Polytechnic State University), Northeastern University, UWM (University of Wisconsin-Milwaukee), University of Nebraska-Lincoln, McMaster University, TU Dresden (Dresden University of Technology), HSU/UniBw H (Helmut Schmidt University), RWTH Aachen University, TU Kaiserslautern (Technical University of Kaiserslautern), HOGENT (University College Ghent), AGH University of Krakow, Bialystok University of Technology, CTU (Czech Technical University in Prague) and Riga Technical University are among the many universities that are hosting private 5G networks for experimental research or smart campus-related applications.
Forestry: There is considerable interest in private 5G networks to fulfill the communications needs of the forestry industry for both industrial and environmental purposes. For example, Japanese cable operator TST (Tonami Satellite Communication Television) has successfully demonstrated local 5G-enabled remote machinery control and danger prediction to improve safety and productivity in mountainous forestry environments, while Swedish startup AirForestry is piloting a private 5G network to be able to wirelessly control six-meter wide electric drones that enable harvesting and thinning of the forest from the air. Among other examples, SCA (Svenska Cellulosa Aktiebolaget), Stora Enso and Fiskarheden are deploying local 5G networks to facilitate digitization and automation at timber terminals and mills.
Healthcare: Dedicated 5G campus networks have been installed or are being implemented to support smart healthcare applications in many hospitals, including VA Palo Alto, Boston Children's Hospital, Cleveland Clinic Mentor Hospital, Nagasaki University Hospital, Kwong Wah Hospital, West China Second University Hospital, SNUBH (Seoul National University Bundang Hospital), SMC (Samsung Medical Center), Ewha Womans University Mokdong Hospital, Bethlem Royal Hospital, CHU Toulouse (Toulouse University Hospital), Frankfurt University Hospital, Helios Park Hospital Leipzig, UKD (University Hospital of Dusseldorf), UKSH (University Hospital Schleswig-Holstein), UKB (University Hospital Bonn), OYS (Oulu University Hospital) and Hospital das Clinicas (Sao Paulo).
Manufacturing: Dozens of manufacturers across the automotive, aerospace, shipbuilding, steelmaking, chemical production, electronics, industrial machinery and other sectors - along with 5G equipment suppliers themselves - are investing in private 5G networks for Industry 4.0 applications at their factories. Prominent examples include but are not limited to ACOME, AGC, Airbus, Ansteel, ArcelorMittal, ASN (Alcatel Submarine Networks), Atlas Copco, BASF, BMW, Bosch, Changan Automobile, China Baowu Steel Group, COMAC (Commercial Aircraft Corporation of China), Continental, Delta Electronics, FAW, Ford, Foxconn, Gerdau, Glanbia, GM (General Motors), Great Wall Motor, Gree, Haier, Holmen Iggesund, Honda, Inventec, INZU Group, Jacto, John Deere, KAI (Korea Aerospace Industries), LG Electronics, LyondellBasell, Mercedes-Benz, Midea, Miele, Navantia, Nestle, Nippon Steel, Nissan, NLMK, Okaya Steel, Pegatron, Ricoh, Saab, SANY Heavy Industry, Schneider Electric, Siemens, Solvay, Stellantis, Sturmsfs, Summit Steel, Tesla, Toyota, Volkswagen, Whirlpool, X Shore and Yara International.
Military: Led by the U.S. DOD's (Department of Defense) FutureG Office, several programs are underway to accelerate the adoption of private 5G networks at military bases and training facilities, network slicing over public mobile infrastructure, and portable 5G systems for warfighters at the tactical edge. Supported by over $650 Million in funding over the past three years, multiple U.S. Army, Navy, Marine Corps and Air Force bases already host on-premise 5G infrastructure and the 2024 NDAA (National Defense Authorization Act) specifically requires the DOD to develop a strategy for deploying Open RAN-compliant private 5G networks at military installations. The Spanish Army and Navy have awarded multiple contracts - collectively worth $15 Million - to mobile operator Telefonica to supply standalone private 5G networks for army brigades on the move, armored systems and helicopter maintenance parks, naval bases, ships and marine infantry units. Among other examples, the Norwegian Armed Forces are utilizing a combination of defense-specific network slices and tactical private 5G networks to support their future mobile communications needs while the South Korean military is leveraging private 5G installations for runway safety management and XR-based training, including small unit tactics and firearm disassembly/assembly-related education.
Mining: The mining industry has also emerged as another frontrunner in private 5G adoption with initial commercial deployments led by Chinese coal producers China Shenhua Energy, Shaanxi Coal, China National Coal and Shandong Energy. Agnico Eagle Mines, Polymetal International, Nornickel (Norilsk Nickel), SUEK, Zijin Mining, Canyon Coal and several other mining groups have also invested in purpose-built 5G infrastructure for improving productivity and working safety in specific operational locations. In addition, with the recent allocation of AWLs (Area-Wide Apparatus Licenses) in the 3.4-4.0 GHz frequency range in remote areas of Australia, the likes of BHP, Rio Tinto, Fortescue, Roy Hill, Northern Star Resources, Newcrest Mining (Newmont), CITIC Pacific Mining, Atlas Iron, AngloGold Ashanti and Glencore are actively engaged in efforts to transition their existing private LTE installations to standalone 5G networks capable of supporting advanced digitization and automation use cases.
Oil & Gas: Spanish oil giant Cepsa is spending $14 Million to deploy private 5G infrastructure for Industry 4.0 applications at its Huelva and Campo de Gibraltar energy parks. Aramco (Saudi Arabian Oil Company), CNOOC (China National Offshore Oil Corporation), PetroChina/CNPC (China National Petroleum Corporation), Sinopec (China Petroleum & Chemical Corporation), Osaka Gas, Hiroshima Gas, PETRONAS (Petroliam Nasional), Gazprom Neft, Snam, TotalEnergies, PCK Raffinerie, PKN ORLEN, Petrobras (Petroleo Brasileiro) and many others in the oil and gas industry are also investing in 5G-based private wireless networks. Tampnet's cellular networks for the offshore energy industry in the North Sea and Gulf of Mexico are also being upgraded from LTE to standalone 5G technology.
Ports & Maritime Transport: Many port and terminal operators are deploying private 5G networks to provide high-speed and low-latency wireless connectivity for applications such as AGVs, remote-controlled cranes, smart cargo handling and predictive maintenance. Prominent examples include but are not limited to Hutchison Ports, PSA International, APM Terminals (Maersk), COSCO Shipping Ports, CMPort (China Merchants Port Holdings), SIPG (Shanghai International Port Group), Ningbo-Zhoushan Port Group, Tianjin Port Group, Zhuhai Port Group, Shandong Port Group, EUROGATE, VPA (Virginia Port Authority), Barcelona Port Authority, Port of Tyne and ABP (Associated British Ports). In the maritime transport segment, offshore 5G networks are being implemented to provide voice, data, messaging and IoT connectivity services for both passenger and cargo vessels while at sea.
Public Safety: Even though critical public safety-related 5G NR capabilities defined in the 3GPP's Release 17 and 18 specifications are yet to be commercialized, public safety agencies have already begun experimenting with 5G for applications that can benefit from the technology's high-bandwidth and low-latency characteristics. For example, in Taiwan, the Hsinchu City Fire Department's emergency response vehicle features a satellite-backhauled private 5G network for emergency communications in disaster zones. The Norwegian Air Ambulance is adopting a similar private 5G-based NOW (Network-on-Wheels) system for enhancing situational awareness during search and rescue operations. Other examples of early adopters include the Lishui Municipal Emergency Management Bureau, Kaohsiung City Police Department, PDRM (Royal Malaysia Police), New Zealand Police and Guardia Civil (Spanish Civil Guard).
Railways: Although the GSM-R to FRMCS transition is not expected until the late 2020s, several 5G-based networks for railway communications are being deployed, including Adif AV's dedicated 5G infrastructure at logistics terminals, Hanshin Electric Railway's standalone local 5G installation for improving safety at railroad crossings and platforms, POSCO's private 5G network that links autonomous locomotives and railway control systems, Guangzhou Metro's 5G + Smart Metro project and China State Railway Group's 5G-R program. Tokyo Metro, DB (Deutsche Bahn), SNCF (French National Railways), Network Rail and others are also progressing their 5G-enabled rail connectivity projects prior to operational deployment.
Utilities: As part of a $60 Million initiative, CNNC (China National Nuclear Corporation) is setting up physically isolated private 5G networks to support the digitization and automation of operations at its nuclear power plants. EDF, Enel, Red Electrica, Efacec, SGCC (State Grid Corporation of China), CSG (China Southern Power Grid), Kansai Electric Power, Chubu Electric Power, Hokkaido Electric Power, Kyushu Electric Power, KEPCO (Korea Electric Power Corporation), K-water (Korea Water Resources Corporation), Endeavour Energy, DEWA (Dubai Electricity & Water Authority) and others are also exploring the use of private 5G connectivity for enhancing the maintenance and monitoring of power plants, substations, transmission lines and offshore wind farms.
Warehousing & Others: Posten (Norwegian Postal Service), JD Logistics, Sinotrans, CJ Logistics, Yes24 and many others have installed private 5G infrastructure for smart warehousing applications. Additional vertical sectors where private 5G networks are being adopted extend from sports, arts and culture to retail, hospitality, public services and road transport. From a horizontal perspective, enterprise RAN systems for indoor coverage enhancement are relatively common and end-to-end private networks are also starting to be implemented in office buildings and campuses. BlackRock, Imagin'Office (Icade), Mitsui Fudosan, NAVER and WISTA Management are among the companies that have deployed on-premise private 5G networks in office environments.
Key Findings
The report has the following key findings:
SNS Telecom & IT estimates that annual investments in private 5G networks for vertical industries will grow at a CAGR of approximately 42% between 2024 and 2027, eventually accounting for nearly $3.5 Billion by the end of 2027. Much of this growth will be driven by highly localized 5G networks covering geographically limited areas for high-throughput and low-latency Industry 4.0 applications in manufacturing and process industries.
Sub-1 GHz wide area critical communications networks for public safety, utilities and railway communications are also anticipated to begin their transition from LTE, GSM-R and other legacy narrowband technologies to 5G towards the latter half of the forecast period, as 5G Advanced - 5G's next evolutionarily phase - becomes a commercial reality.
As end user organizations ramp up their digitization and automation initiatives, some private 5G installations have progressed to a stage where practical and tangible benefits are becoming increasingly evident. Notably, private 5G networks have resulted in productivity and efficiency gains for specific manufacturing, quality control and intralogistics processes in the range of 20 to 90%, cost savings of up to 40% at an intermodal terminal, reduction of worker accidents and harmful gas emissions by 20% and 30% respectively at an oil refinery, and a 50% decrease in manpower requirements for underground mining operations.
Some of the most technically advanced features of 5G Advanced are also being trialed over private wireless installations. Among other examples, Chinese automaker Great Wall Motor is using an indoor 5G Advanced network for time-critical industrial control within a car roof production line as part of an effort to prevent wire abrasion in mobile application scenarios, which results in production interruptions with an average downtime of 60 hours a year.
In addition, against the backdrop of geopolitical trade tensions and sanctions that have restricted established telecommunications equipment suppliers from operating in specific countries, private 5G networks have emerged as a means to test domestically produced 5G network infrastructure products in controlled environments prior to large-scale deployments or vendor swaps across national or regional public mobile networks. For example, Russian steelmaker NLMK Group is trialing a private 5G network in a pilot zone within its Lipetsk production site, using indigenously built 5G equipment operating in Band n79 (4.8-4.9 GHz) spectrum.
To capitalize on the long-term potential of private 5G, a number of new alternative suppliers have also developed 5G infrastructure offerings tailored to the specific needs of industrial applications. For example, satellite communications company Globalstar has launched a 3GPP Release 16-compliant multipoint terrestrial RAN system that is optimized for dense private wireless deployments in Industry 4.0 automation environments while German engineering conglomerate Siemens has developed an in-house private 5G network solution for use at its own plants as well as those of industrial customers.
Spectrum liberalization initiatives - particularly shared and local spectrum licensing frameworks - are playing a pivotal role in accelerating the adoption of private 5G networks. Telecommunications regulators in multiple national markets - including the United States, Canada, United Kingdom, Germany, France, Spain, Netherlands, Switzerland, Finland, Sweden, Norway, Poland, Slovenia, Bahrain, Japan, South Korea, Taiwan, Hong Kong, Australia and Brazil - have released or are in the process of granting access to shared and local area licensed spectrum.
By capitalizing on their extensive licensed spectrum holdings, infrastructure assets and cellular networking expertise, national mobile operators have continued to retain a significant presence in the private 5G network market, even in countries where shared and local area licensed spectrum is available. With an expanded focus on vertical B2B (Business-to-Business) opportunities in the 5G era, mobile operators are actively involved in diverse projects extending from localized 5G networks for secure and reliable wireless connectivity in industrial and enterprise environments to sliced hybrid public-private networks that integrate on-premise 5G infrastructure with a dedicated slice of public mobile network resources for wide area coverage.
New classes of private network service providers have also found success in the market. Notable examples include but are not limited to Celona, Federated Wireless, Betacom, InfiniG, Ataya, Smart Mobile Labs, MUGLER, Alsatis, Telent, Logicalis, Telet Research, Citymesh, Netmore, RADTONICS, Combitech, Grape One, NS Solutions, OPTAGE, Wave-In Communication, LG CNS, SEJONG Telecom, CJ OliveNetworks, Megazone Cloud, Nable Communications, Qubicom, NewGens and Comsol, and the private 5G business units of neutral host infrastructure providers such as Boldyn Networks, American Tower, Boingo Wireless, Crown Castle, Freshwave and Digita.
NTT, Kyndryl, Accenture, Capgemini, EY (Ernst & Young), Deloitte, KPMG and other global system integrators have been quick to seize the private cellular opportunity with strategic technology alliances. Meanwhile, hyperscalers - most notably AWS (Amazon Web Services), Google and Microsoft - are offering managed private 5G services by leveraging their cloud and edge platforms.
Although greater vendor diversity is beginning to be reflected in infrastructure sales, larger players are continuing to invest in strategic acquisitions as highlighted by HPE's (Hewlett Packard Enterprise) acquisition of Italian mobile core technology provider Athonet.
The service provider segment is not immune to consolidation either. For example, Boldyn Networks has recently acquired Cellnex's private networks business unit, which largely includes Edzcom - a private 4G/5G specialist with installations in Finland, France, Germany, Spain, Sweden and the United Kingdom.
Among other examples, specialist fiber and network solutions provider Vocus has acquired Challenge Networks - an Australian pioneer in private LTE and 5G networks, while mobile operator Telstra - through its Telstra Purple division - has acquired industrial private wireless solutions provider Aqura Technologies.
Topics Covered
The report covers the following topics:
Introduction to private 5G networks
Value chain and ecosystem structure
Market drivers and challenges
System architecture and key elements of private 5G networks
Operational and business models, network size, geographic reach and other practical aspects of private 5G networks
Industry 4.0-driven wireless connectivity requirements, critical communications broadband evolution, enterprise transformation and other themes shaping the adoption of private 5G networks
Enabling technologies and concepts, including 3GPP-defined URLLC, TSC, DetNet, NR-U, SNPN and PNI-NPN, MCX, RedCap, cellular IoT, high-precision positioning, network slicing, edge computing and network automation capabilities
Key trends such as the emergence of new classes of specialized network operators, shared and local area spectrum licensing, private NaaS (Network-as-a-Service) offerings, IT/OT convergence, Open RAN, vRAN and rapidly deployable 5G systems
Analysis of vertical industries and application scenarios such as reconfigurable wireless production lines, collaborative mobile robots, autonomous transport systems, untethered AR/VR/MR (Augmented, Virtual & Mixed Reality), UHD (Ultra High-Definition) video transmission, machine vision, digital twins and mission-critical group communications
Future roadmap of private 5G networks
Review of private 5G network installations worldwide, including 100 case studies spanning 16 verticals
Database tracking more than 2,200 private 5G installations in over 60 countries across the globe
Spectrum availability, allocation and usage across the global, regional and national domains
Standardization, regulatory and collaborative initiatives
Profiles and strategies of more than 1,800 ecosystem players
Strategic recommendations for 5G equipment and chipset suppliers, system integrators, private network specialists, mobile operators and end user organizations
Market analysis and forecasts from 2024 to 2030
Forecast Segmentation
Market forecasts are provided for each of the following submarkets and their subcategories:
The report provides answers to the following key questions:
How big is the private 5G network opportunity?
What trends, drivers and challenges are influencing its growth?
What will the market size be in 2027, and at what rate will it grow?
Which submarkets, verticals and regions will see the highest percentage of growth?
What is the status of private 5G network adoption in each country, and what are the primary application scenarios of these networks?
How is private 5G connectivity facilitating the digital transformation of agriculture, manufacturing, mining, oil and gas, transportation, utilities, warehousing and other vertical industries?
What are the practical and quantifiable benefits of private 5G networks in terms of productivity improvement, cost reduction and worker safety?
What are the key characteristics of standalone private 5G connectivity, and when will URLLC, TSC, RedCap and other 3GPP-defined IIoT features be widely employed?
Where does network slicing for differentiated service requirements fit in the private cellular networking space?
How can private edge computing accommodate latency-sensitive applications while enhancing data sovereignty and security?
What are the existing and candidate frequency bands for the operation of private 5G networks?
How are CBRS and other coordinated shared/local spectrum licensing frameworks accelerating the uptake of private 5G networks?
What are the prospects of private 5G networks operating in mmWave spectrum?
What is the outlook for 5G NR-U (NR in Unlicensed Spectrum) deployments?
How do private 5G networks compare with Wi-Fi 6/6E/7 systems in industrial settings?
When will sub-1 GHz critical communications LTE networks begin their transition to 5G technology?
How can satellite backhaul and direct-to-device NTN (Non-Terrestrial Network) access expand the reach of private 5G networks in remote environments?
How are telecommunications infrastructure giants, national mobile operators and other incumbents asserting their presence in the private 5G market?
What opportunities exist for managed private 5G service providers, neutral host operators, global system integrators, hyperscalers and other new entrants?
Who are the key ecosystem players, and what are their strategies?
What strategies should 5G equipment suppliers, system integrators, private network specialists and mobile operators adopt to remain competitive?
Table of Contents
Chapter 1: Introduction
1.1. Executive Summary
1.2. Topics Covered
1.3. Forecast Segmentation
1.4. Key Questions Answered
1.5. Key Findings
1.6. Summary of Private 5G Engagements
1.7. Methodology
1.8. Target Audience
Chapter 2: An Overview of Private 5G Networks
2.1. An Introduction to the 3GPP-Defined 5G Standard
