Private 5G Network Market - Global Industry Size, Share, Trends, Opportunity, and Forecast Segmented By Component (Hardware, Software, Services), By Frequency (Sub-6 GHz, mmWave), By Spectrum (Licensed, Unlicensed), By Industry Vertical (Manufacturing/Factories, Energy & Utilities, Transportation & Logistics, Defense, Enterprises & Campus, Mining, Healthcare/Hospitals, Oil & Gas, Retail, Agriculture, Smart Cities, Others), By Region 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 3.85 Billion
CAGR (2026-2031)	42.17%
Fastest Growing Segment	Hardware
Largest Market	North America
Market Size (2031)	USD 31.79 Billion

Market Overview

The Global Private 5G Network Market will grow from USD 3.85 Billion in 2025 to USD 31.79 Billion by 2031 at a 42.17% CAGR. Private 5G networks are dedicated local area networks utilizing 5G cellular technologies to deliver unified connectivity, optimized services, and enhanced security within a specific geographic area. The primary drivers supporting market growth include the growing demand for low latency communication in industrial automation and the critical need for data sovereignty in enterprise environments. These factors necessitate robust infrastructure capable of supporting mission critical applications distinct from public mobile networks.

Despite the current growth trajectory, the high initial cost of infrastructure deployment remains a significant challenge that could impede widespread market expansion. Organizations often face substantial capital expenditures when establishing these dedicated networks compared to traditional solutions. According to the Global mobile Suppliers Association, in 2024, the number of unique customer references for private mobile network deployments reached 1603. This figure illustrates the steady adoption rate yet highlights the complexities organizations must navigate to leverage this technology effectively.

Key Market Drivers

The accelerated adoption of Industry 4.0 and smart manufacturing stands as a primary catalyst for the Global Private 5G Network Market. Industrial entities are increasingly migrating from legacy systems to automated, data-driven environments that require the high bandwidth and massive machine-type communication capabilities of private 5G. This shift is particularly evident in the manufacturing sector, where facilities leverage these dedicated networks to connect autonomous mobile robots, dense sensor arrays, and predictive maintenance systems without the interference issues common in public spectrum. This sector-specific reliance is quantifiable; according to the Global mobile Suppliers Association, September 2024, in the 'Private Mobile Networks - Industry Focus: Manufacturing' report, the manufacturing industry has emerged as the leading adopter, accounting for 298 confirmed deployments globally.

Concurrently, the rising demand for ultra-reliable low-latency connectivity is compelling enterprises to invest in dedicated infrastructure that outperforms Wi-Fi in mission-critical scenarios. Industries such as logistics and mining require networks that can guarantee millisecond latency for remote control of heavy machinery and real-time safety protocols, a requirement that general-purpose connectivity cannot consistently meet. This operational necessity has driven significant vendor growth; according to Nokia, October 2024, in the 'Interim Report for Q3 2024', the company had expanded its private wireless customer base to 795 organizations, reflecting the surge in enterprises seeking industrial-grade connectivity. Furthermore, regional momentum remains robust as enterprises seek to secure these connectivity advantages. According to GSA, in 2024, the United States private network market recorded a 24% growth rate among top reporting countries, underscoring the expanding geographical footprint of this technology.

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Key Market Challenges

The high initial cost of infrastructure deployment constitutes a substantial financial barrier that restricts the broader expansion of the global private 5G network market. Establishing a dedicated network requires significant capital expenditure on specialized hardware, such as radio access points and packet core systems, as well as the recurring costs associated with spectrum licensing and technical maintenance. This financial burden makes the technology difficult to justify for small and medium-sized enterprises, effectively limiting early adoption to large, capital-rich organizations that can absorb these upfront expenses.

Consequently, the market remains heavily concentrated within specific heavy industries rather than seeing widespread democratization across all commercial sectors. This trend is evident in the sectoral distribution of current deployments. According to the Global mobile Suppliers Association, in 2024, the manufacturing industry remained the dominant sector for private mobile network adoption with 298 customer references, significantly outpacing other verticals. This disparity highlights how steep entry costs confine the market's growth primarily to industrial giants, thereby hampering the technology's penetration into more cost-sensitive environments.

Key Market Trends

The Convergence of Edge Computing and AI with Private 5G Infrastructure is reshaping the market by moving processing capabilities directly to the network edge. Instead of acting as simple data pipes, these networks now host on-premise compute nodes that enable real-time artificial intelligence applications, such as video analytics and autonomous control, to function with near-zero latency. This integration addresses the critical need for immediate insights and data privacy in complex operational environments. According to Infosys, August 2025, in the 'Private 5G – Trends and outlook' report, the necessity for such real-time AI inference capabilities contributed to a global installed base of over 2,700 private 5G deployments by the end of 2024.

Simultaneously, the Adoption of Private 5G-as-a-Service (NaaS) Subscription Models is catalyzing growth by removing significant financial entry barriers. By transitioning from capital-intensive infrastructure purchases to consumption-based operational expenditure models, vendors are making private cellular technology viable for a broader range of enterprises beyond heavy industry. This shift simplifies network lifecycle management and allows organizations to scale connectivity in alignment with business needs. The success of this commercial strategy is substantial; according to RCR Wireless News, January 2025, in the article 'Private 5G goes mainstream – Verizon Business on 2025', Verizon Business experienced triple-digit growth in its private 5G sales funnel throughout 2024, reflecting surging enterprise demand for managed implementation routes.

Segmental Insights

Based on authoritative market analysis, the Hardware segment is identified as the fastest-growing category in the Global Private 5G Network Market. This accelerated expansion is primarily driven by the fundamental requirement for enterprises to establish physical network infrastructure, such as Radio Access Networks and backhaul transport systems, prior to operationalizing connectivity. Furthermore, the rapid adoption of Industry 4.0 initiatives necessitates the substantial procurement of 5G-enabled end-user devices, including industrial robotics and sensors. Continuous updates to technical standards by institutions like the 3GPP also compel industries to invest in modern equipment to support advanced capabilities, thereby fueling this segment's rapid growth.

Regional Insights

North America maintains a leading position in the global private 5G network market, driven by favorable spectrum policies and extensive industrial application. The region benefits significantly from the Federal Communications Commission (FCC) establishing the Citizens Broadband Radio Service (CBRS), which provides enterprises with accessible mid-band spectrum for dedicated network deployment. This regulatory support allows major technology firms and manufacturing entities to accelerate the integration of private connectivity solutions. Consequently, the convergence of government initiatives and strong enterprise demand solidifies North America’s status as the primary contributor to global market revenue.

Recent Developments

• In February 2025, Samsung Electronics and Hyundai Motor Company successfully completed an industry-first end-to-end Reduced Capability (RedCap) trial utilizing a private 5G network. This breakthrough research, conducted at the Hyundai Motor Ulsan Plant, demonstrated the potential of RedCap technology to optimize industrial connectivity for Internet of Things (IoT) devices by reducing power consumption and hardware complexity. The trial utilized Samsung's private 5G network solutions and was highlighted as a significant advancement for smart factory innovation. This achievement underscored the growing capability of private 5G networks to support diverse and demanding industrial use cases beyond standard connectivity.
• In October 2024, NEC Corporation and Cisco Systems launched a comprehensive private 5G solution designed to accelerate digital transformation for enterprise customers. This collaboration integrated Cisco’s 5G Standalone Core and Cloud Control Center with NEC’s validated radio network infrastructure and systems integration services. The joint offering was engineered to support critical industrial applications by ensuring high-performance, secure, and reliable connectivity. Initially targeting markets in Europe and the Middle East, this strategic alliance aimed to simplify the deployment and management of private 5G networks for sectors such as logistics, warehousing, and airport operations.
• In October 2024, Nokia and NTT DATA announced an expansion of their global partnership to advance private 5G adoption across the aviation and smart city sectors. As part of this collaboration, the companies successfully deployed a private 5G radio access network in Brownsville, Texas, to support municipal operations and public safety services. This initiative utilized Nokia’s carrier-grade radio technology and NTT DATA’s network-as-a-service platform to provide scalable and secure connectivity. The project demonstrated the practical application of private wireless networks in managing high-demand environments and aimed to set a precedent for future smart city developments globally.
• In February 2024, Ericsson entered into a strategic partnership with du, a leading telecommunications provider in the United Arab Emirates, to deliver private 5G network solutions to government and enterprise sectors. This collaboration focused on deploying Ericsson Private 5G, a product designed to provide secure and reliable 4G and 5G connectivity for business-critical operations. The initiative aimed to enable Industry 4.0 adoption and support the region's digital transformation goals. By leveraging this partnership, the companies sought to offer intelligent and easy-to-operate private network infrastructure tailored to specific industrial needs, ensuring data security and high operational performance.

Key Market Players

• Ericsson AB
• Nokia Corporation
• Huawei Technologies Co., Ltd.
• Samsung Electronics Co., Ltd.
• Cisco Systems, Inc.
• NEC Corporation
• Qualcomm Incorporated
• Intel Corporation
• Juniper Networks, Inc.
• AT&T Inc.

By Component	By Frequency	By Spectrum	By Industry Vertical	By Region
Hardware Software Services	Sub-6 GHz mmWave	Licensed Unlicensed	Manufacturing/Factories Energy & Utilities Transportation & Logistics Defense Enterprises & Campus Mining Healthcare/Hospitals Oil & Gas Retail Agriculture Smart Cities Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Private 5G Network Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Private 5G Network Market, By Component:

• Hardware
• Software
• Services

• Private 5G Network Market, By Frequency:

• Sub-6 GHz
• mmWave

• Private 5G Network Market, By Spectrum:

• Licensed
• Unlicensed

• Private 5G Network Market, By Industry Vertical:

• Manufacturing/Factories
• Energy & Utilities
• Transportation & Logistics
• Defense
• Enterprises & Campus
• Mining
• Healthcare/Hospitals
• Oil & Gas
• Retail
• Agriculture
• Smart Cities
• Others

• Private 5G Network Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE