According to a recent study from market research firm Global Market Insights, The demand for private LTE market is anticipated to grow at an incremental rate based of increasing adoption of connected devices that require a reliable and secure communication network. Rapid urbanization and industrialization are driving the need for advanced communication technologies that are capable of handling smart logistics and manufacturing.
In order to keep up with the latest digital trends, workplaces are undertaking upgradation activities such as implementing private LTE and industrial IoT networks. These upgrades can help enhance performance and productivity while ensuring minimal human intervention. Considering such aspects, Global Market Insights, Inc., estimates that the private LTE market might reach USD 13 billion by 2026.
Rising number of investments and developmental activities conducted by federal governments to promote the idea of smart cities could massively benefit the business outlook for private LTE providers over the predicted timeframe. However, high deployment costs pertaining to network upgrades could pose as one of the major dampening factors for this private LTE market.
The mining sector is steadily shifting towards remote applications and autonomous technologies to perform crucial tasks. Autonomous or remotely controlled equipment functioning through private networks could help mine owners to minimize human fatalities and accidents. Back in 2017, the mining industry saw nearly 17 fatalities that could be avoided by remote-controlled instruments.
The mining sector is one of the important aspects of the global economy and is integral to the infrastructure development of the nation. Mining corporations use digital solutions to adapt to the fluctuating demand, address the rising safety & environmental concerns, and control the operational costs. These solutions help introduce new levels of agility and automation to the mining facilities. It is speculated that the mining sector could spend nearly USD 2.9 billion on private networking by 2022.
In a recent turn of events, Canada based telecommunications company- Shaw Communications, had in October 2020, announced establishing its partnership with Nokia for the placement of Canada’s first industrial grade Private LTE market network for Teck Resources Ltd’s mining systems. Labelled RACE21, the program is developed to transform the ways of mining by the company by harnessing innovation and technology. Besides, the network is also likely to offer larger connectivity and coverage at Teck’s Elkview Operations in British Columbia.
Rising adoption of smart connected systems across numerous industry verticals like transportation, urban planning, and manufacturing could enhance the deployment of private LTE networks across North America. The region controlled a major portion of the market share in 2019 and is predicted to maintain this trend by 2026.
Local agencies are also gaining interest in expanding their private LTE network. Citing an instance, Nokia is working on launching 600 MHz private LTE network project that will support numerous critical applications for the New York Power Authority. The program intends to test the value of Nokia’s industrial-grade private LTE solution.