According to a forecast by STL Partners, the global revenue from private mobile networks is estimated to grow from $2.3 billion in 2025 to $22 billion in 2030.
The manufacturing industry vertical will lead the way in terms of spending.
In a new report, the research company stated the five-year uplift represents a compound annual growth rate (CAGR) of 58%, as the number of private network sites increase from 4,000 by the end of 2025 to more than 40,000 by 2030.
Manufacturing is “by far the largest vertical” and will continue to be so, growing at 59% CAGR on the back of AI-driven automation and Industry 4.0 use cases. Logistics, meanwhile is emerging as a fast grower at a CAGR of 86%, driven by labour shortages and a push into automation.
It also cited growth in utilities and construction, which will move ahead of transport by the end of the decade.
Rosalind Craven, principal analyst at STL, said private networks remain a fast-growing market, but cautioned growth alone will not make success straightforward for vendors and telcos operating in it.
“Enterprises are not buying networks for their own sake; they are solving specific business problems and chasing measurable outcome”, she said. “Private networks can support many of those goals, but success hinges on communicating that value clearly and winning budget priority against competing investments”.
STL said it gathered data from across 15 vertical industry verticals, seven use case groups and nine value chain components across 33 countries for its report.
Source: Mobile World Live
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Source: Tahawul Tech