The hype around private networks has died down and left many with a sense that they have ‘failed’ as a source of new growth. But this market still offers good opportunities for those who know how to find them.

Is there really a problem with private networks?

Two to three years ago, hype around private networks was rife and parts of the industry were setting wildly unrealistic growth expectations. We believe that some patience is required.

The telecom industry seems to think that private networks are failing as a driver of new growth. Is this fair?

Some players in the market are satisfied with the growth so far, although their biggest challenge is figuring out how to scale. The telcos and the vendors that are disappointed with the market are missing the boat. They need to adapt their positioning to carve their place.

In this report, we recommend that telcos consider if they can successfully shift their strategy to gain a strong foothold in this growing market. Furthermore, all ecosystem players must remember that the business outcome is the core product, not the network itself.

Table of contents

• Is there really a problem with private networks?
• There are genuine barriers to achieving scale, but these can be overcome with focused effort in the ecosystem
• We see two approaches to achieving growth in 5G private networks in 2025 and beyond…
• The overall enterprise connectivity environment is complex, and private networks offer an alternative
• Finding the right trigger for investment in private networks requires in-depth understanding of industry needs
• Can telcos expand their role?
• What’s the big deal?

Related research

• Private networks: Trends in commercial deployments
• Flavours of private networks: Key delivery models
• Defining the need for A3 in private networks
• Private networks manifesto

Author

Rosalind Craven

Senior Analyst

Rosalind Craven is a Senior Analyst at STL Partners, specialising in telecoms strategy, customer experience and consumer telecoms services.