| Study Period | 2022 - 2030 |
| Market Size (2025) | USD 5.25 Billion |
| Market Size (2030) | USD 13.53 Billion |
| CAGR (2025 - 2030) | 20.87 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Europe |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
5G Core Network Market Analysis
The 5G Core Network Market size is estimated at USD 5.25 billion in 2025, and is expected to reach USD 13.53 billion by 2030, at a CAGR of 20.87% during the forecast period (2025-2030).
The global rollout of 5G and the increasing demand for advanced core network capabilities are driving significant market growth. The market sizing estimates reflect revenue forecasts generated from core network components, deployment strategies, and functionalities adopted across industries in North America, Europe, Asia Pacific, and other parts of the world.
- The 5G Core Network's cloud-native architecture is a major strength, providing both scalability and flexibility. This architecture uses virtualized and software-defined elements to make networks more agile in meeting industry demands while reducing operational complexity.
- Network slicing and edge computing are emerging as important growth drivers. These advanced technologies allow operators to allocate network resources more efficiently, supporting specialized applications in healthcare, manufacturing, and smart cities. Private 5G networks are transforming enterprise communication. Businesses increasingly use these networks to achieve secure and reliable connectivity for mission-critical operations, driving the demand for 5G Core solutions.
- Telecom operators are intensifying their efforts to deploy 5G Core Networks to improve coverage and performance. With the rapid growth in smartphone adoption and the proliferation of connected devices, operators focus on standalone 5G Core investments to accommodate increasing data consumption needs.
- The 5G Core Network offers significant advantages over earlier generations, including faster speeds, ultra-low latency, greater capacity, improved scalability, and enhanced device connectivity. Unlike 4G, 5G Core Networks facilitate the seamless integration of advanced technologies such as IoT, AI, and AR/VR, enabling innovative solutions across various industries.
- The architecture of the 5G Core Network is specifically designed for efficient and robust management of network functions, ensuring optimal performance for large-scale connectivity. Building standalone 5G Core Networks requires substantial investments in infrastructure, including software platforms, data centers, and cloud-native environments. While these investments can result in higher initial costs for operators, they ultimately provide long-term benefits in efficiency and scalability.
- The increasing number of smartphone subscriptions worldwide and the growing demand for high-speed connectivity are driving the demand for 5G networks. For instance, according to data from Ericsson, the number of smartphone mobile network subscriptions is expected to reach 7,948.92 million globally by 2028.
5G Core Network Market Trends
Network Slice Selection Function (NSSF) Segment Poised for Exponential Growth
- The Network Slice Selection Function (NSSF) is becoming crucial in the 5G Core Network Market, driving innovation and growth. Its ability to dynamically allocate network slices tailored to specific application requirements highlights its importance in realizing the full potential of 5G technology. As industries increasingly demand customized connectivity solutions, the adoption of NSSF is rising across various sectors, including automotive, healthcare, and smart cities.
- GSMA forecasts that by 2025, 5G adoption in the GCC states will exceed the global average, with 16% customer adoption in the GCC compared to 15% worldwide. This growth is driven by initiatives from governments, mobile operators, and their technology partners. Furthermore, the Middle East and North Africa are expected to see 5G subscriptions reach 129.62 million, highlighting the market's potential.
- The rapid expansion of IoT devices and the growing diversity of applications need to drive the demand for NSSF. Applications in smart cities, industrial automation, and autonomous systems depend on precise slice selection to maximize resource efficiency and maintain seamless connectivity. NSSF's capability to meet these requirements is leading to its widespread integration into standalone 5G Core Networks.
- Moreover, NSSF plays a transformative role in private 5G networks, further accelerating enterprise adoption. Businesses utilize NSSF to create dedicated network slices for mission-critical applications, ensuring high reliability and superior performance. Examples include robotic automation in manufacturing and real-time data processing in logistics, where NSSF-driven solutions are proving indispensable for operational efficiency and technological advancement.
- NSSF's dynamic allocation of network resources based on real-time demand enhances operational efficiency and ensures optimal network performance. Additionally, NSSF is vital in supporting scalable networks designed to handle the growing complexity of 5G applications. By ensuring adaptability and performance, NSSF helps future-proof networks, preparing them to accommodate the next wave of technological advancements and innovative use cases.
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Europe Expected to Dominate the 5G Core Network Market
- Europe has emerged as the largest and most advanced 5G Core Networks market, supported by its robust technological infrastructure, proactive government policies, and broad adoption across diverse industries.
- The region's leadership in 5G is underpinned by a strong ecosystem of telecommunication providers, a sophisticated industrial base, and a digitally savvy consumer population. GSMA reports that 5G accounted for 20% of total mobile connections in 2023, with projections suggesting it will surge to 81% by the close of 2030.
- European governments and regulatory bodies, such as the European Union (EU), have played a critical role in accelerating 5G deployment. Policies like the EU's Digital Decade Strategy, which aims to provide 5G coverage for all populated areas by 2030, illustrate the region's commitment. Funding programs like the Connecting Europe Facility and national-level 5G spectrum auctions have further strengthened infrastructure investments.
- The application of 5G in key industries such as automotive, manufacturing, and healthcare is a significant growth driver. Germany's automotive sector leverages private 5G networks for factory automation and connected vehicle solutions. The healthcare industry uses 5G for telemedicine, remote surgeries, and efficient patient monitoring systems.
- Europe's 5G deployment strategy aligns with sustainability goals. Energy-efficient network technologies are being implemented to address environmental concerns, fostering increased public and governmental support. Data security and sovereignty concerns have shaped the European 5G landscape. For instance, Germany's decision to phase out components from Huawei and ZTE by 2029 highlights a strong focus on building secure and self-reliant digital infrastructures.
- European enterprises are increasingly adopting private 5G networks to meet the demands of mission-critical applications. Europe's strategic approach to 5G deployment, supported by regulatory foresight, industry innovation, and a focus on sustainability and security, positions it as a global leader in the 5G Core Network market.
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5G Core Network Industry Overview
Technological advancements, strategic partnerships, deployment approaches, and the concentration of major players drive competition in the 5G Core Network Market.
Leading companies in the market include Huawei Technologies Co. Ltd., Nokia Corporation, Ericsson, Samsung Electronics, and Cisco Systems Inc..
Global players are competing intensely for dominance in this rapidly expanding market. In the coming years, larger firms are expected to solidify their presence in key regions such as North America, Europe, and Asia-Pacific. The rollout of standalone 5G networks and the adoption of advanced technologies are paving the way for significant global growth and innovation.
Initial deployment phases of 5G core networks, especially standalone architectures, witness heightened competition. This early-stage intensity suggests ongoing rivalry as the market evolves.
In conclusion, the 5G Core Network Market is characterized by a dynamic and competitive landscape. As companies strive for leadership in the global connectivity revolution, competition is expected to intensify, driven by continuous innovation and exploring new opportunities.
5G Core Network Market Leaders
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Nokia Corporation
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Telefonaktiebolaget LM Ericsson
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Samsung Electronics Co. Ltd.
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Huawei Technologies Co. Ltd.
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Cisco Systems Inc.
- *Disclaimer: Major Players sorted in no particular order
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5G Core Network Market News
- November 2024: MTN South Africa, in collaboration with China Telecom and Huawei, is set to advance 5G, cloud services, artificial intelligence (AI), and business solutions. Their joint effort seeks to boost Africa's digital infrastructure, introducing technologies like the Internet of Things (IoT). Furthermore, this alliance is poised to assist innovation in areas such as smart mining and industrial applications, playing a pivotal role in Africa's digital evolution.
- October 2024: Masorange has partnered with Ericsson to enhance its 5G network using Open RAN infrastructure. This strategic move aims to provide more adaptable and cost-effective network solutions, reducing reliance on specific vendors. Masorange aims to improve network sustainability and operational efficiency by adopting Open RAN.
- May 2024: T-Mobile is set to enhance its reach with a USD 4.4 billion acquisition (debt included) of U.S. Cellular's wireless operations and select spectrum assets. This strategic move will integrate over 4 million new customers into T-Mobile's fold, enhancing coverage and capacity, especially in previously underserved rural locales. The acquisition highlights T-Mobile's dedication to broadening its reach and enhancing connectivity for a wider audience.
5G Core Network Industry Segmentation
5G Core Network is a crucial component of a 5G mobile communication system, responsible for the primary control and management of data and signaling flows. This core network is the infrastructural backbone, enabling advanced features such as high-speed data transmission, ultra-low latency, and large-scale device connectivity. Unlike previous generations, the 5G Core Network adopts a Cloud-native architecture, utilizing virtualized and software-defined components to enhance its functionality and efficiency.
The 5g core network market is segmented by component (solutions, services), by deployment type (on-premise, cloud), by end-user (telecom operators, enterprise), by network function (network exposure function (NEF), user plane function (UPF), application function (AF), unified data management (UDM), session management function (SMF), network slice selection function (NSSF), policy control function (PCF), network repository function (NRF), authentication server function (AUSF), and access and mobility management function (AMF)), by geography (North America [United States, Canada, Mexico, and Rest of North America], Europe [Germany, United Kingdom, France, Spain, and Rest of Europe], Asia-Pacific [India, China, Japan, New Zealand, Australia and Rest of Asia-Pacific], Latin America [Brazil, Argentina, and Rest of Latin America], Middle East and Africa [United Arab Emirates, Saudi Arabia, and Rest of Middle East and Africa]).
The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.
| By Component | Solutions | ||
| Services | |||
| By Deployment Model | On-Premise | ||
| Cloud | |||
| By End-User | Telecom Operators | ||
| Enterprise | |||
| By Network Function | Network Exposure Function (NEF) | ||
| User Plane Function (UPF) | |||
| Application Function (AF) | |||
| Unified Data Management (UDM) | |||
| Session Management Function (SMF) | |||
| Network Slice Selection Function (NSSF) | |||
| Policy Control Function (PCF) | |||
| Network Repository Function (NRF) | |||
| Authentication Server Function (AUSF) | |||
| Access and Mobility Management Function (AMF) | |||
| Geography | North America | United States | |
| Canada | |||
| Mexico | |||
| Europe | Germany | ||
| United Kingdom | |||
| France | |||
| Spain | |||
| Asia | India | ||
| China | |||
| Japan | |||
| Australia and New Zealand | |||
| Latin America | Brazil | ||
| Argentina | |||
| Middle East and Africa | United Arab Emirates | ||
| Saudi Arabia | |||
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5G Core Network Market Research FAQs
How big is the 5G Core Network Market?
The 5G Core Network Market size is expected to reach USD 5.25 billion in 2025 and grow at a CAGR of 20.87% to reach USD 13.53 billion by 2030.
What is the current 5G Core Network Market size?
In 2025, the 5G Core Network Market size is expected to reach USD 5.25 billion.
Who are the key players in 5G Core Network Market?
Nokia Corporation, Telefonaktiebolaget LM Ericsson, Samsung Electronics Co. Ltd., Huawei Technologies Co. Ltd. and Cisco Systems Inc. are the major companies operating in the 5G Core Network Market.
Which is the fastest growing region in 5G Core Network Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in 5G Core Network Market?
In 2025, the Europe accounts for the largest market share in 5G Core Network Market.
What years does this 5G Core Network Market cover, and what was the market size in 2024?
In 2024, the 5G Core Network Market size was estimated at USD 4.15 billion. The report covers the 5G Core Network Market historical market size for years: 2022, 2023 and 2024. The report also forecasts the 5G Core Network Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
5G Core Network Industry Report
Statistics for the 2025 5G Core Network market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. 5G Core Network analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
