BARCELONA, Spain, March 3, 2025 -- Since its inception, 5G has been given the mission to grow industries. In its initial phase of commercial use, 5G quickly became a vital engine for driving development in the digital economy. The CAGR of 5G private networks is expected to reach 44.7% from 2024 to 2030. In 2025, 5G-A will further strengthen industry capabilities by reducing latency and enhancing reliability. Additionally, the explosion of AI has accelerated the pace of 5G proliferation.
Globally, 5G private networks are still in the early market stage, and network construction methods have been varied. Currently, public networks for private use remain mainstream, and private networks with dedicated spectrums are beginning to emerge. Amid the digital transformation in various industries, the industry-wide demands for 5G private networks present the following trends:
Trend 1: Local-area private networks. As 5G gradually penetrates industrial field networks, it must provide more reliability and deterministic transmission.
Trend 2: Wide-area private networks. Enterprises need ubiquitous access capabilities, which poses challenges to network security and cost-effectiveness.
Trend 3: Cross-area private networks. Numerous industries and enterprises have built their own private networks, which also need to connect to B2C networks of operators.
Trend 4: Single-area private networks. Enterprises use dedicated spectrums to build their own 5G private networks. While this type of private network provides higher security and customization, its deployment is difficult.
In response, Huawei now offers fully upgraded 5G private network capabilities:
- Both XSO and TSN are introduced to reduce latency on 5G onsite networks. This ensures deterministic transmission of local-area private networks.
- Short slices are used and 5GC is moved downwards to the network edge. This provides security and cost-effectiveness of wide-area private networks.
- To connect cross-area private networks to other networks, the existing mobile VPN introduces QoS guarantee and multi-area traffic steering. This enhancement helps operators unlock more value and provide a better overall experience.
- Huawei launches a series of network construction solutions to build single-area private networks with dedicated spectrums. These solutions include independent core networks and co-deployed wireless and core networks.
Today, advanced 5G technologies are the driving force behind industrial digital transformation. 5G provides high-rate and reliable connectivity for smart factories and power grids, helping enterprises improve efficiency, become more competitive, and find new revenue sources. By leveraging 5G-A and AI, industries will enjoy unparalleled growth opportunities.
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