Juniper Research predicts $10bn spend for private networks
Digital technology analyst Juniper Research has launched a new study, which reveals that enterprise spend on private networks could near $10bn globally by 2028; rising from $1 billion in 2023.
Growing by 722%, the three verticals driving the market were identified as manufacturing (35%), energy (20%) and public services (16%)
According to Juniper, the need for private networks that can support high device densities and operate over large geographical areas is a critical factor. The company says that the manufacturing market demands better coordination of automated processes and devices, therefore requiring high levels of orchestration via software-defined networks (SDN). This complexity means that manufacturing will be a key driver for the more rapid adoption of 5G private networks, due to its infrastructure supporting high-device density operations and ultra-low latency properties.
As network complexity increases, the report also urges private network vendors to offer an ongoing managed service approach to enterprises. This will enable them to maintain a continuous relationship with their customers and benefit from recurring revenue.
The research additionally predicts that spectrum resource management will be a determining factor in the quality of service provision to minimise network interference. As a result, network slicing will emerge as a key technology for vendors to ensure that high throughput to private network connections is guaranteed for end users.