Cities worldwide are now following suit to explore private 5G networks and by 2030, these private networks could account for as much as one-fifth of all mobile network infrastructure spending.Context –Affordable broadband internet access is increasingly critical for driving local economic growth and improving the quality of life in cities.27 –Cities worldwide are exploring new partnerships with the private sector to deploy private 5G networks that are financially and technologically sustainable. –These partnerships ease financial pressures, allowing cities to enhance health, expand education and boost economic growth. Connectivity – the wired and wireless foundations of our digital economies and digital societies – is increasingly as essential a utility for cities as electricity, gas and water.28 A connected, data-driven urban environment not only enhances public services – it provides the underlying infrastructure needed to improve health, expand educational opportunities and boost economic prosperity. A 10-percentage point increase in broadband penetration would increase GDP (gross domestic product) growth by 1.2-1.4%.29 As cities accelerate investments to enable remote working and learning, e-commerce, digital public service delivery, as well as providing standard and critical communications, fibre-optic broadband rollout is increasing in pace – with an over 12% growth rate year-on-year.30 The financial strain of scaling city networks As cities grow and digital services become more essential, the demand for reliable, high-speed internet and communication networks continues to increase. To address this growing need for network coverage and capacity, mobile network operators are rolling out 5G networks. However, cities are left with significant design, installation and maintenance costs, making it difficult to finance more advanced technologies. In many instances, scaling connectivity in cities has become unsustainable. Connected devices such as cameras or air quality and light sensors have become increasingly critical for cities, however, traditional business models have proven unscalable. In some cases, cities that use commercial carriers for connectivity incur monthly costs between $10 and $30 per connected device.31 For cities to become hubs of economic activity and innovation, they must first have affordable, scalable models to do so. Private 5G networks offer a new approach to affordable broadband As cellular networks advance and regulators facilitate the creation of private 5G networks, new opportunities for collaboration are rapidly emerging. The cost of high-speed networks once limited deployment in cities. This is changing rapidly as governments and regulators recognize the importance of allocating dedicated spectrum – the radio frequencies that networks use to transmit data – to non-telecommunications enterprises. Dozens of regulators worldwide, including the US, Germany, Japan, Denmark and the United Kingdom, are releasing spectrum specifically for private networks.32 Cities worldwide are now following suit to explore private 5G networks and by 2030, these private networks could account for as much as one-fifth of all mobile network infrastructure spending.33 Shaping Tomorrow: Responsible Innovation for a Brighter Future 18

Shaping Tomorrow Responsible Innovation for a Brighter Future 2025