5G enterprise adoption remains in its early stages despite its recognized potential to drive digital transformation across industries.
While early adopters have begun leveraging 5G to enable new use cases, its overall reach is still limited. According to GSMA Intelligence’s Global Digital Transformation Survey 2024, only 2 percent of surveyed enterprises have deployed 4G/5G private networks as part of their digital transformation strategies, with another 10–15 percent currently in the testing or planning phases.
However, the survey also found that eight out of ten enterprises undergoing digital transformation consider 5G to be either “quite” or “extremely” important, indicating a strong potential for growth in the near future.
One of the key factors driving adoption will be the deployment of 5G standalone (SA) networks, which enable capabilities such as network slicing, low latency, and massive device connectivity — critical components for large-scale enterprise use cases.
The economic impact of mobile technologies, including 5G, is significant, contributing 5.8 percent to global GDP in 2024, equivalent to $6.5 trillion. This figure is projected to grow to nearly $11 trillion by 2030, representing 8.4 percent of global GDP.
Digital transformation within enterprises will be a key driver of these economic gains, generating new revenue streams and enhancing productivity and efficiency through the adoption of technologies such as IoT and AI alongside 5G.
The benefits will extend across multiple industries, including manufacturing, automotive, aviation, and financial services. In 2024, manufacturing alone accounted for 20 percent of mobile technologies’ GDP impact, contributing $1.2 trillion, with expectations of nearly doubling by 2030.
The automotive and aviation industries contributed 5 percent and 2 percent, respectively, with projected contributions of $600 billion and $200 billion by 2030.
Financial services accounted for around 7 percent of the impact, adding $500 billion to GDP in 2024 and expected to reach $900 billion by 2030.
Other industries, including accommodation, food services, agriculture, construction, and real estate, are also beginning to integrate digital transformation initiatives.
“Advanced connectivity such as 5G is unlocking new opportunities for innovation and growth. However, to realise its full potential, more collaboration is needed between policymakers, network operators and enterprises to overcome barriers to enterprise adoption such as high implementation costs and lack of technical expertise,” Pau Castells, Head of Economic Analysis, GSMA Intelligence, said.
5G projects
ZTE’s Binjiang factory in Nanjing, established in 2019 with an investment of over $2.75 billion, leverages AI, 5G SA, and robotics to power 126 advanced digital applications. A high-resolution digital twin, continuously updated by over 150,000 data sources, including sensors and cameras connected via a private 5G network and fiber-optic cables, provides real-time insights into the facility’s performance. Processing more than 120 TB of data daily, ZTE optimizes production planning and scheduling using its Nebula AI Model. These innovations have resulted in a 39 percent reduction in the supply cycle, a 27 percent decrease in energy consumption, and a 74 percent increase in per capita output.
Siam Cement in Thailand has implemented private 5G, cloud, and AI technologies to support automated electric vehicles for unmanned raw material transport and an intelligent dispatching system. These innovations have led to fuel cost savings of 65 percent to 100 percent and a 35 percent reduction in carbon dioxide emissions. Alongside environmental benefits, the company has improved workplace safety and increased operational efficiency by over 20 percent.
Baosteel Zhanjiang Iron and Steel implemented a 5G private industrial network for real-time condition monitoring and diagnosis of industrial blowers, which are essential to the steel-making process and generate vast amounts of operational data. This solution enabled real-time data transmission and analysis, improving the failure early warning rate by 90 percent and increasing operations and maintenance efficiency by 50 percent.
Siemens has introduced a live virtual factory acceptance test (FAT) system at its transformer factory in Mexico, allowing customers to verify that equipment meets contract specifications remotely instead of being physically present. This solution, enabled by 12 cameras streaming high-quality video in real time, saves time and costs while ensuring efficiency. Fast, secure, and stable 5G connectivity is crucial to preventing delays or miscommunication during the process.
Jingyou Technology and Huawei developed a remote damage assessment solution that automates auto claims processing by integrating 5G new calling (5G NC). An assessor initiates a native video call to a claimer, using AR markings to guide video shooting and screenshot capturing. The system then generates an estimated repair cost, completing the damage assessment in just five minutes instead of the previous two-hour process that required an on-site visit. This solution is expected to reduce process costs by 50 percent.
In Brazil, financial services company Daycoval is integrating Device Location and SIM Swap network APIs to enhance security in onboarding by detecting suspicious SIM card activities and preventing identity theft.
Itau, Brazil’s largest private bank, is using the SIM Swap API to verify customer identities and prevent SIM card swapping crimes.
Ford has trialed a 5G mobile private network at its EV manufacturing facility in Dunton, Essex, enabling real-time monitoring of laser welding processes and automatic adjustments based on input materials and environmental conditions. AI-based quality inspection identified defects and re-welded parts while still in the machine, while a mixed reality (MR) maintenance solution allowed technicians to receive real-time remote assistance for diagnosing and fixing the welding system.
EV leader Tesla implemented a private 5G network at its Gigafactory in Germany to improve coverage, particularly in outdoor areas where fiber deployment and power setup were previously required. This has led to operational improvements, including more efficient software updates and logistics management.
Beijing Daxing International Airport has deployed a private 5G network with over 85 outdoor and 3,000 indoor base stations, enabling smart services through facial recognition, AR/VR, and AI technologies.
China Eastern Airlines utilizes this 5G gigabit network to offer facial ID for seamless travel transactions, real-time travel information updates, and RFID-based baggage management. These innovations have reduced check-in to boarding time by 60 percent and decreased incorrectly transported baggage by 30 percent.
Despite these promising economic projections, 5G enterprise adoption remains in its infancy due to various challenges. The deployment of 5G SA networks, which would unlock its full potential, is still in progress.
Many enterprises are in the early stages of experimentation, and deployment requires significant investment, infrastructure readiness, and clear business models to justify costs.
Baburajan Kizhakedath
