Home Networking service Global Private LTE and 5G Market Forecast 2021-2025: The market is expected to reach $ 2.8 billion. turnover by 2025

Global Private LTE and 5G Market Forecast 2021-2025: The market is expected to reach $ 2.8 billion. turnover by 2025

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In a baseline scenario, global spending on private cellular deployments will increase at a CAGR of 23% (2020-2025), and in 2025 it will reach USD 2.8 billion

The global private LTE market will shrink as private 5G deployments become the part of logically isolated end-to-end network slices for hybrid cloud deployment and network-as-a-service development.

J’son & Partners Consulting, a leading technology, media and telecommunications consulting firm, assessed the global private LTE / 5G market.

In the event of large-scale digitization, IoT / M2M traffic in WANs will represent no less than 90% of total traffic volume by 2025. NaaS consumption volume could exceed $ 900 billion by 2030.

– Alexander Gerasimov

MOSCOW, RUSSIA, November 16, 2021 /EINPresswire.com/ – J’son & Partners Consulting, a leading technology, media, telecom and financial services consultancy, assessed the global private LTE / 5G market.

By 2020, annual global private LTE / 5G spending had reached $ 1 billion with growth of more than 10% year-on-year, representing only about 2% of total spending in the cellular infrastructure sector despite a decline. growing demand from all major industries. The relatively low costs are mainly due to the unacceptably high deployment costs of the private cellular network, even for large enterprises, and the low utilization rate of private networking capacity.

However, the market is expected to accelerate in 2022 with an increase in stand-alone private 5G network deployments. In a baseline scenario, global spending on private cellular deployments will increase at a CAGR of 23% (2020-2025), and by 2025 it will reach USD 2.8 billion (Fig. 1). The market will be fueled by demand from industrial customers who need tailor-made quality of service, high reliability and security not available in existing 4G or 5G-ready networks. Other important trends include the network as a service model and innovations such as network slicing, MEC, etc.

The global private LTE market will shrink as private 5G deployments become the part of logically isolated end-to-end network slices for hybrid cloud deployment and network-as-a-service development.

“If the large-scale digitization of key verticals of the global economy is successful, IoT / M2M traffic in WANs, that is, traffic between IoT / M2M devices and the application backend OT and service traffic, will account for no less than 90% of total WAN traffic volume by 2025, while less than 10% of traffic will be generated by user devices and user application backend. According to this scenario, the volume of NaaS consumption could exceed 900 billion dollars by 2030. 95% of the mobile operators surveyed consider the impact of NaaS on the growth of their revenues as “positive”, “large” and even “a real game changer,” says Alexander Gerasimov, head of digital transformation analysis at J’son & Partners Consultant.

Highlights of the report:

J’son & Partners Consulting has analyzed more than 100 LTE or 5G private network deployments around the world. The ecosystem consists of service providers including equipment / technology providers, mobile network operators, system integrators and end users of private networks from different industries.

• Increased demand from industrial customers is expected as 5G and MEC technologies develop and provide high network bandwidth and low latency as well as guaranteed quality, reliability and security.

• Industry players are launching new business models that will lead to a massive deployment of private 5G around the world. For example, NTT launched the first 5G private network as a service platform available worldwide. Open Networking Foundation (ONF) launched Ananki, an independent venture capital-backed company, to provide private 5G defined by open source software as a commercial service on the SaaS model.

• MEC has become more relevant in the 5G system, in which the control plane and the user plane are separated, and the functions of the user plane (UPF) are moved to the edge. MEC brings network capabilities closer to end users and supports distributed deployment. With MEC, operators can share their network capacities with third parties and build ecosystems around them. MEC is also essential for critical and industrial 5G applications such as smart factories, ports and hospitals.

• There is a clear synergy between the 5G architecture allowing decentralized deployment and MEC allowing new services and experiences. Different orchestration scenarios are possible with MEC and 5G, the range of controlled parameters is larger, and it is easier to configure the system.

Regional assessment and diversification of segments:
• North America
• Western Europe
• Africa and the Middle East
• Latin and Central America
• Central and Eastern Europe
• Russia and CIS
• APAC (developed countries)
• APAC (developing countries)

Landscape and supplier profiling:
1. Sellers
• Nokia
• Ericsson
• Huawei
• Samsung
• NCA
• Motorola solutions
• Cisco
• Future
• Other suppliers
2. Operators
• AT&T
• Verizon
• NTT
• Telephone
• Telstra
• Other operators
3. System integrators
4. Other players
5. End users

LTE / 5G private verticals and use cases:
• Mining
• Electricity production and distribution
• Manufacture and production of machines
• Transport and logistics
• Oil and gas
• Metal production
• Construction and operation of buildings
• Agriculture
• Retail
• Education / Academic
• Health care
• Media and entertainment
• Communication and IT
• Utilities
• Other

The detailed results are represented in the full version of the report, available at the website.

J’son & Partners Consulting is a leading technology, media, telecommunications and financial services consulting firm with extensive experience in developing and auditing business plans, marketing, development of financial models and in-depth market research in Russia and CIS countries.

Alexander Gerasimov
J’son & Partners Consulting
+7 916 601-84-89
[email protected]