Private 5G networks are moving from pilot projects to large-scale production deployments, transforming industries worldwide.
According to SNS Telecom & IT, annual investments in private 5G for vertical industries are expected to grow at a 41 percent CAGR from 2025 to 2028, surpassing $5 billion by 2028. This growth is fueled by industrial digitalization, Industry 4.0 adoption, and the rising need for mission-critical wireless connectivity.
Market Forecast: $5 Billion by 2028
The private 5G market is set for rapid expansion, driven by:
Localized industrial networks: Manufacturing and process industries adopting 5G for automation and efficiency.
Mission-critical communications: Transition from legacy LTE and GSM-R to 5G for public safety, utilities, and railways.
5G-Advanced (Release 18): Support for sub-1 GHz spectrum enables secure broadband for smart grids, FRMCS, and public safety networks.
China leads in maturity with state-backed deployments, while the U.S., Germany, U.K., Japan, South Korea, and Brazil are accelerating adoption in manufacturing, logistics, mining, transport, and healthcare.
Major Deployments Across Industries
Automotive and Manufacturing
Tesla: Private 5G at Gigafactory Texas and Berlin eliminated AGV stoppages and cut overcycle issues by 90 percent.
Jaguar Land Rover: 5G at its Solihull plant solved Wi-Fi challenges in a five-story paint shop, improving connectivity for sensors and robotics.
John Deere: Deployments across the U.S., South America, and Europe aim to reduce wired Ethernet reliance from 70 percent to 10 percent in five years.
NEC & Delta Electronics: Reported up to 75 percent efficiency gains in smart production lines.
Aviation and Logistics
Lufthansa: 5G at LAX cargo reduced processing time by 60 percent; in Hamburg, virtual inspections improved service turnaround.
VINCI Airports: Autonomous valet parking robots in Lyon boosted parking efficiency by 50 percent.
CJ Logistics (South Korea): Achieved a 20 percent productivity boost by replacing 300 unstable Wi-Fi access points with 5G.
Mining and Heavy Industry
Newmont (Australia): Remote control of dozers across 2.5 km enabled by private 5G, replacing unreliable Wi-Fi.
Baosteel (China): 43-site deployment cut steel defects by 90 percent, saving $7 million annually.
Dongyi Group Coal Mining: 10 percent production efficiency gain and 50 percent manpower reduction.
Public Safety and Smart Cities
City of Istres (France): Cut video surveillance deployment costs from $34,000 to $6,000 per unit using private 5G.
Liverpool 5G Create (UK): Saved the NHS up to $220,000 annually through reduced WAN charges and digital healthcare solutions.
Agriculture and Utilities
Osumi Farm (Japan): 10 percent labor savings through AI-based livestock monitoring and autonomous patrol robots.
Taiwan’s Pingtung farms: 5G UAVs cut pest-related losses by 30 percent and boosted farm revenue by 15 percent.
Achievements: Tangible ROI and Efficiency Gains
Enterprises are reporting clear benefits:
Productivity improvements of 20–75 percent.
Cost savings of millions annually from reduced downtime, maintenance, and labor.
Safety enhancements in mines, factories, and refineries.
New digital services in healthcare, transport, and urban management.
The Road Ahead
With proven use cases and rising availability of shared/local spectrum, private 5G adoption is accelerating globally. By 2028, private 5G will:
Become the de facto standard for Industry 4.0 automation.
Support advanced mission-critical applications in rail, utilities, and defense.
Provide a transition path to 6G in the 2030s.
