GSA Reports Significant Growth in Global Private Mobile Network Deployments

The Global Mobile Suppliers Association (GSA) recently reported a remarkable statistic: more than 2,000 organizations across 88 countries are now deploying private mobile networks, marking an important milestone in the industry. This surge in deployments relates particularly to LTE and 5G technologies, with a notable shift toward 5G solutions, which now account for over half of new network projects initiated since 2022. The implications for procurement professionals and contractors are substantial, as these advancements represent not only a trend but an emerging necessity for businesses seeking tailored mobile infrastructure.

Leading the way in adopting these private networks is the manufacturing sector, which has the highest number of deployments among industries. Following closely are sectors such as education and academic research, as well as mining. In fact, the GSA data indicates a steady growth in organizations leveraging private mobile networks for a variety of applications, including industrial automation, testing, and essential operations. The compound annual growth rate of customer references has surged by 37% since 2019, demonstrating the increasing traction for private mobile solutions in enterprise settings.

The driving forces behind this boom in private mobile networks can be traced to enhanced spectrum availability and supportive regulatory frameworks. The GSA emphasizes the critical relationship between the availability of dedicated or shared spectrum and the speed at which private wireless projects transition from pilot stages to full-scale deployment. As the regulatory environment continues to evolve in favor of private networks, government and commercial entities must re-evaluate their procurement strategies to align with these transformations within the mobility landscape.

In the U.S., Germany, and the United Kingdom, for instance, private mobile network deployments have been primarily concentrated in high-income and upper-middle-income regions. This concentration suggests that while the need for private mobility is expanding, accessibility remains somewhat limited to wealthier economies. Furthermore, the GSA report reveals that a significant proportion of these deployments—averaging 76%—remain out of the public eye, underscoring the sensitivity around many industrial and governmental network operations. In sectors such as military and defense, maritime, and power generation, over 80% of the references are characterized as non-public, emphasizing the need for contractors to understand the nuances of confidentiality in this emerging market.

The comprehensive nature of the GSA's data offers crucial insights into the private mobile network ecosystem. Each of the 2,003 organizations reported corresponds to contracts typically exceeding €100,000. As of May 2024, the GSA plans to widen its scope by including smaller contracts worth between €50,000 and €100,000, which might encompass trial deployments. This move will provide a more extensive view of engagement in this evolving sector and is crucial for businesses aiming to establish a foothold in emerging markets.

Emerging from this growth trajectory, procurement professionals and contractors face a pivotal moment to capitalize on the advancing demand for specialized mobile network solutions. Embracing procurement strategies that account for the changing landscape of spectrum policies and regulatory environments will be imperative. As the industry races towards more sophisticated private network deployments, savvy contractors will need to prepare for a high demand for 5G and LTE private network expertise.

In conclusion, the current trajectory of private mobile network adoption symbolizes more than just a technological trend; it’s a strategic pivot for organizations striving for operational efficiency through dedicated wireless infrastructure. Agencies and contractors must recognize the breadth of opportunities presented by this burgeoning field and seize the moment to align their offerings with the future of mobile connectivity.

• Over 2,000 organizations now deploying private mobile networks globally.
• 88 countries involved, showing a broad international uptake.
• Manufacturing sector leads as the primary adopter of private networks.
• 5G technology now comprises over 50% of new deployments since 2022.
• A 37% compound annual growth rate of customer references since 2019.
• 76% of deployments are non-public, indicating the discreet nature of many projects.
• Contracts for these deployments typically exceed €100,000.
• Future data collection to include lower-value contracts starting May 2024.
• Demand for specialized wireless infrastructure is intensifying across various sectors.
• Understanding spectrum policy changes will be critical for effective procurement.