The Global Indoor 5G Market: Revolutionizing Connectivity in Enclosed Spaces

As we continue to embrace the digital era, the demand for faster and more reliable wireless connectivity indoors is growing rapidly. The global indoor 5G market is projected to witness a CAGR of 12.12% during the forecast period 2025-2032, growing from USD 15.12 billion in 2024 to USD 37.76 billion in 2032. The market is poised for significant expansion, driven by the increasing need for seamless, high-speed internet connectivity in various indoor spaces such as offices, hospitals, shopping malls, and airports. Unlike traditional networks that often struggle to pass through walls and other obstructions, indoor 5G connectivity solutions provide low-latency, high-speed connections specifically designed for enclosed environments. This next-generation wireless technology is transforming how we experience connectivity in spaces that have become hubs of modern life—whether for work, healthcare, entertainment, or retail.

With more mobile devices, IoT-connected products, and cloud-based tools becoming central to our daily lives, organizations, enterprises, and even public users need a robust solution to support the digital transformation. Indoor 5G network solutions for enterprises are stepping in to meet this demand, enabling a seamless, high-performance experience. As governments and telecom companies continue to invest heavily in both outdoor and indoor 5G infrastructure, impact of 5G on smart cities and public indoor spaces has far-reaching effects.

How Indoor 5G Solves Connectivity Issues

Traditional mobile networks are often inefficient indoors, with concrete walls, metal structures, and dense layouts obstructing signals. This leads to poor reception or no signal at all in many enclosed spaces. Indoor 5G networks solve this problem by using small base stations known as "small cells" that are strategically placed within buildings or public venues. These cells create ultra-wide range, high-speed, stable, and reliable connectivity throughout the entire indoor environment. With the ability to provide superior performance even in areas with high-density, high-concentration spaces, indoor 5G is becoming essential for industries that rely on uninterrupted, fast connectivity.

The growth of mobile usage, an increase in IoT devices, and the shift toward remote work and collaboration tools are all factors driving the need for better indoor wireless connectivity. From video conferencing in offices to telemedicine in hospitals and online shopping at malls, indoor 5G enables real-time communication and data transfer, supporting these high-demand applications.

For instance, in June 2023, Proptivity AB and Ericsson launched the world's first neutral-host multi-operator indoor 5G Radio Access Network (RAN) at Stockholm’s Östermalmstorg property. This innovative solution delivers gigabit speeds for all operators, reducing power consumption by 70%, while offering a scalable, sustainable solution for dense indoor venues.

The Rise of Smart Buildings and IoT Devices

One of the key drivers for the growth of the indoor 5G market is the proliferation of smart buildings and connected IoT devices. Offices, hospitals, shopping malls, airports, and even homes are becoming increasingly equipped with smart systems that rely on constant, high-speed internet access. These 5G enabled smart buildings include smart lighting, HVAC control, security cameras, and digital signage, which all need reliable and low-latency connectivity to function effectively.

Traditional Wi-Fi networks are often insufficient to handle the high demand for speed and consistent connectivity in such environments. Indoor 5G addresses this gap by enabling better coverage and providing fast, low-latency connections throughout connected spaces. As IoT continues to grow in usage, particularly in sectors such as healthcare and manufacturing, the need for robust and secure wireless networks like indoor 5G will only increase.

For example, in January 2023, Verizon Communications and Deloitte launched a private indoor 5G network at the 60,000 sq. ft. Smart Factory in Wichita. This private 5G network connects AGVs, robotics, sensors, AI, and computer vision systems to improve automation, predictive maintenance, and real-time coordination in smart manufacturing environments.

A Growing Demand for Fast Connectivity in Enclosed Spaces

In today's high-density, high-traffic buildings and public spaces, interruptions caused by poor cellular signals and slow internet connections are all too common. Indoor 5G networks are designed to overcome these challenges, offering reliable, high-speed connectivity in places that have traditionally struggled with signal strength.

Indoor 5G works by using small cells deployment that provide large, strong, and stable connections in enclosed areas, ensuring high-speed coverage across all corners of the building. This is critical for industries such as retail, healthcare, education, and business offices, where uninterrupted connectivity is key to operational efficiency. Furthermore, Indoor 5G network optimization using AI, machine learning and virtual reality will elevate telehealth, and digital retail, offering seamless experiences that were previously difficult to achieve with traditional wireless networks. For example, in September 2024, Huawei Technologies and EITC launched the 5G LampSite X in the Middle East, utilizing 3CC (carrier aggregation) technology to deliver 5.1 Gbps of speed indoors, providing a seamless experience for users in dense public areas.

Enterprise Sector: Leading the Indoor 5G Market

The enterprise sector is the largest contributor to the indoor 5G market, with businesses requiring reliable, secure, and high-speed internet connectivity to support a wide range of applications. Companies are increasingly adopting cloud applications, video conferencing, collaboration platforms, virtual desktops, and other digital tools that rely on strong, uninterrupted connectivity. Traditional Wi-Fi networks, however, often fail to provide the coverage needed across multiple levels or large buildings.

Indoor 5G addresses this issue by ensuring low-latency, high-speed connectivity, particularly through the use of small cell technology and a dedicated indoor architecture. This ensures a continuous and reliable connection for employees and businesses, supporting collaboration, remote access, and smart technologies that rely on real-time data and analytics. With the rise of hybrid working models, cost-effective indoor 5G connectivity for businesses adds on to productivity and competitiveness in the digital age.

In April 2025, Nokia partnered with Airtel to improve enterprise and home 5G connectivity in India, using Packet Core and FWA (Fixed Wireless Access) technology. This initiative supports GenAI automation, reduces costs, and allows Airtel to transition to a standalone 5G network, further strengthening enterprise connectivity.

North America: Dominating the Indoor 5G Market

North America currently leads the global indoor 5G market due to its significant investment in telecom infrastructure and rapid adoption of digital technologies across industries. The U.S., in particular, has been at the forefront of deploying indoor 5G use cases in venues such as shopping malls, airports, hospitals, and corporate campuses. The demand for reliable, high-speed connectivity in these spaces is driven by the increasing use of smart devices and the shift toward smart city projects.

Telecom providers and technology companies in North America are collaborating on the installation of small cells and other 5G technologies to improve indoor coverage. Additionally, the government has provided regulatory guidance and support to help speed up the adoption of 5G infrastructure in the region.

For example, in February 2025, Airspan Networks Holdings Inc. in the U.S. purchased Corning's wireless unit, which emphasizes the 6000 and 6200 Distributed Antenna Systems (DAS) platforms and SpiderCloud's 4G/5G small cell solutions, enhancing the region's indoor 5G capabilities.

The Impact of U.S. Tariffs on the Indoor 5G Market

While the U.S. has led the charge in private 5G network deployment, tariffs on telecom equipment, especially from China, have impacted the cost of deploying indoor 5G networks. Import tariffs on small cells, antennas, and networking equipment have increased the cost of installation in the short term, making it harder for some firms to deploy indoor 5G infrastructure. However, these tariffs have also prompted telecom companies to focus on domestic manufacturing and partnerships with non-Chinese vendors, which could lead to more localized supply chains for 5G equipment.

Conclusion: The Future of Indoor 5G Connectivity

Indoor 5G is a game-changer for industries across the globe, offering faster, more reliable connectivity in enclosed spaces where traditional networks often fail. With the rapid proliferation of smart devices, IoT systems, and cloud-based applications, the demand for indoor 5G will continue to grow, particularly in the enterprise and smart building sectors. North America is currently leading the charge, but other regions are quickly catching up, recognizing the need for robust indoor 5G infrastructure to support the digital transformation.

As governments and telecom companies invest in 5G technologies, the future of indoor wireless connectivity looks promising. With faster speeds, low latency, and seamless coverage, indoor 5G will play a crucial role in shaping industries ranging from smart manufacturing to healthcare and beyond, making it an essential part of our connected world.