Trends
Private cellular IoT connections to reach 108 million in 2030
Customers of the growing Industrial Internet of Things (IIoT) are keen to digitalize important use cases using powerful, dedicated networks, which will make these sectors leaders in the adoption of private 4G and 5G. The manufacturing and transportation sectors will have the highest number of privat…
Headline
Customers of the growing Industrial Internet of Things (IIoT) are keen to digitalize important use cases using powerful, dedicated networks, which will make these sectors leaders in the adoption of private 4G and 5G. The manufacturing and transportation sectors will have the…
Context
Customers of the growing Industrial Internet of Things (IIoT) are keen to digitalize important use cases using powerful, dedicated networks, which will make these sectors leaders in the adoption of private 4G and 5G. The manufacturing and transportation sectors will have the highest number of private cellular IoT connections in 2030 , with 108 and 71 million connections, respectively, according to a new report from international technology intelligence firm ABI Research. “Mission-critical use cases require ultra-reliable connectivity,” stated Lizzie Stokes, an IoT networks and services analyst at ABI Research.“Any interruption in these operations could lead to significant revenue loss or threaten human life. Given these consequences, most mission-critical IIoT customers upgrading to wireless connectivity will choose a private cellular network.”
Evidence
Pending intelligence enrichment.
Analysis
Mission-critical IIoT use cases that are prevalent include tracking containers in ports, replacing legacy networks in the oil and gas industry, and automating heavy machinery in mining and manufacturing. These use cases all call for an extremely dependable network. Heavy machinery automation, in particular, requires a private 5G network’s high performance and low latency, according to Stokes. Businesses frequently make the initial investment in a private cellular network to link employees’ mobile devices—such as smartphones or tablets—but later come to understand the benefits these networks can offer for more important Internet of Things applications. Given the importance of these industrial customers’ use cases, private wireless vendors such as Ericsson and Nokia have had their sights set firmly on meeting their needs. According to Stokes, any IoT use case’s optimal private network connectivity technology will largely depend on its criticality. However, between 2025 and 2030, private cellular IoT connections will grow at a healthy rate in all significant IoT verticals, from manufacturing to healthcare, highlighting the influence of this relatively new technology even in applications that heavily rely on non-cellular technologies. Also read: What is hybrid cloud architecture?
Key Points
- The manufacturing and transportation industries will have the most private cellular IoT connections in the future, with 108 and 71 million connections, respectively, predicted in 2030, according to a new report from ABI Research, a global technology intelligence firm.
- Mission-critical use cases are driving private IoT connection growth in key industrial markets like manufacturing, logistics and transportation.
- Dominant mission-critical IIoT use cases include automating heavy machinery in mining and manufacturing, replacing legacy networks in oil and gas, and tracking containers in ports.
Actions
Pending intelligence enrichment.
