Published by ABI Insights
Restrictive Spectrum Allocations and Telco Inertia Pose Threats to Future Growth.
According to a new report from global technology intelligence firm ABI Research, as of May 2023, over 1,000 private cellular networks for enterprises have emerged worldwide, showcasing a remarkable surge compared to the previous year. The number of private networks is growing particularly strong in national markets with dedicated spectrum arrangements for licensed or shared spectrum.
There has been a decline in the proportion of publicly disclosed private network deployments, resulting in fewer public network deployments being made available for public reporting. “This is actually a good sign for the private networks market,” explains Leo Gergs, Senior Analyst for 5G Markets at ABI Research. “Enterprises are beginning to see the deployment of private cellular connectivity as a competitive advantage and therefore do not want to talk about it too openly, which is important as the market moves from the experimental phase toward commercializing private network deployments.” The constantly growing number of private cellular networks shows that enterprise interest is still high in this (still perceived as relatively new) connectivity technology. But Gergs warns, “The telco industry urgently needs to deliver on promises made to the enterprise community now. Otherwise, enterprise 5G will enter the history books as the technology that always overpromised and underdelivered.”
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