5G Network Security Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Global 5G Network Security Market Trends and Insights

Proliferation of 5G Stand-Alone (SA) Core Deployments

Standalone cores eliminate LTE anchors and rely on cloud-native network functions that communicate over exposed APIs. The 3GPP SA3 working group lists 127 discrete security requirements for SA, triple that of NSA, underscoring the complexity surge. Ericsson disclosed that 55% of its 2024 5G contracts specified SA-only architectures, signalling a rapid pivot to capabilities such as ultra-low latency and network slicing that heighten security stakes.^{[1]Ericsson, “Ericsson Mobility Report 2024,” ericsson.com} Vulnerability research has highlighted Service Communication Proxy weaknesses that could allow unauthorized access, prompting urgent investment in signalling firewalls and API gateways.

Adoption of Network Slicing for Enterprise Use-Cases

Enterprises now request carrier-grade slices with bespoke policies, but isolated virtual networks create complex inter-slice trust challenges. Singtel’s national 5G+ rollout enforces 47 unique policies across live enterprise slices while stopping lateral movement between customers.^{[2]Singtel, “Singtel unleashes nationwide 5G + slicing for enterprises,” singtel.com} T-Mobile’s security-slice service embeds Palo Alto Networks threat detection into slice orchestration to satisfy zero-trust requirements. These examples show why granular, slice-aware security orchestration is becoming table stakes for the 5G network security market.

Regulatory Mandates on 5G Security (3GPP, NIST, ETSI)

The EU’s NIS2 Directive compels operators to allot 9% of IT budgets to cybersecurity and to report 5G incidents within 24 hours, accelerating demand for compliant solutions.^{[3]European Union, “Directive (EU) 2022/2555 on measures for a high common level of cybersecurity,” eur-lex.europa.eu} NIST’s 2024 framework adds 89 controls, including mandatory control-plane encryption and continuous slice monitoring. ETSI’s certification scheme forces third-party validation, further solidifying a compliance-driven runway for security vendors.

Growth of Edge Computing and MEC Infrastructure

MEC moves workloads closer to users, lowering latency while multiplying entry points for attackers. Lanner Electronics notes that edge deployments require 73% more controls than centralized equivalents, ranging from physical tamper protection to local AI-driven threat response. Industrial IoT use cases must also meet stringent uptime goals, demanding lightweight yet autonomous security agents that fit constrained power budgets. This need positions edge-aware platforms at the forefront of 5G network security market evolution.

Fragmented Security Standards Across Vendors

Multi-vendor deployments represent 78% of enterprise rollouts, yet each supplier implements proprietary security controls and management interfaces. Integration projects reveal an average of 23 custom tie-ins to achieve unified policy enforcement, elevating cost and exposing integration-layer vulnerabilities. Enterprises therefore seek vendor-neutral orchestration, but standards convergence remains slow, restraining the 5G network security market.

High Energy Consumption of 5G Security Functions

Inline encryption, deep-packet inspection, and AI inference engines raise power draw significantly versus 4G counterparts. Operators in regions with high energy costs confront difficult trade-offs between performance and efficiency. While silicon advances promise incremental gains, the lack of immediate low-power options tempers adoption curves for some high-density scenarios.

Segment Analysis

By Type: Services Accelerate Despite Solutions Dominance

The 5G network security market size for solutions stood at USD 5.25 billion in 2025, equal to a 60.10% share, anchored by mandatory gateways, signaling firewalls, and DDoS mitigation. Vendors bundle hardware acceleration with software orchestration to meet deterministic latency targets. Professional and managed services, though smaller today, are scaling at 34.20% CAGR as operators and enterprises outsource complex integration and 24/7 response. This surge reflects a recognition that few firms can recruit or retain the niche talent needed to secure distributed, slice-aware networks. 

Rising cyber-insurance prerequisites and board-level scrutiny amplify interest in managed detection and response. Providers leverage economies of scale and global SOC footprints to deliver rapid remediation that an individual enterprise would struggle to replicate. As a result, services revenues are projected to close much of the gap with solutions by 2031, reinforcing a hybrid buying pattern across the 5G network security market.

Note: Segment shares of all individual segments available upon report purchase

By Deployment: Cloud Gains Momentum Against On-Premises Legacy

On-premises environments preserved 52.30% of the 5G network security market share in 2025 because telecom operators and highly regulated verticals prioritize data sovereignty. Local control allows fine-grained latency and determinism, which are critical for public-safety slices and mission-critical OT. Even so, cloud-native models are climbing at 36.10% CAGR as enterprises value elastic scaling, pay-as-you-grow pricing, and automatic updates. Cloud control planes increasingly deliver real-time threat intel that propagates policies across distributed cores and edges within seconds. 

Hybrid topologies are emerging as the default operating model. Operators host subscriber databases and lawful intercept nodes on-premises while shifting analytics and AI-based anomaly detection to cloud regions compliant with residency rules. This arrangement balances regulatory obligations with the agility benefits that hyperscalers provide, ensuring the 5G network security market progresses toward software-defined security.

By Security Layer: Edge Security Emerges as Growth Leader

Core-layer defenses retained 38.95% of revenue in 2025 because standalone architectures require robust signaling protection across service-based interfaces. Inline API gateways, SEPP firewalls, and unified data-plane encryption remain foundational. However, MEC proliferation propels edge security at a 37.85% CAGR as enterprises spin up localized compute to meet sub-10 ms response targets. 

At the edge, smaller form-factor appliances integrate zero-trust network access, trusted-platform modules, and AI-powered intrusion prevention. They also run in constrained power envelopes, satisfying green-IT goals. Vendors, therefore, treat edge as the strategic foothold for platform stickiness, bundling lifecycle management across thousands of micro-sites. 

By End User: Manufacturing Drives Enterprise Adoption

Telecom operators commanded 46.85% of procurement in 2025, reflecting regulatory accountability for public networks. Their spending priorities range from SEPP compliance at interconnect borders to slice lifecycle management. Manufacturing plants, meanwhile, are scaling fastest at 35.05% CAGR. Tesla’s Berlin Gigafactory relies on encrypted 5G private networks to orchestrate autonomous material handling and to guard trade secrets. 

Factory owners prioritize ultra-reliable, low-latency communication that supports machine vision and predictive maintenance. They demand deterministic security enforcement spanning OT protocols and IT estate. Healthcare, BFSI, retail, and government follow with tailored compliance drivers such as HIPAA or national security. Each vertical adds incremental demand diversity, widening the addressable scope of the 5G network security industry.

Note: Segment shares of all individual segments available upon report purchase

By Organization Size: SMEs Embrace Cloud-Native Security

Large enterprises controlled 68.20% of spending in 2025, typically operating multi-site private 5G and integrating with SIEM and SOAR stacks. Their procurement cycles favor multi-year contracts for end-to-end suites that cover core, edge, and slice orchestration. Yet SMEs represent the highest unit-growth cohort at 34.60% CAGR. Consumption-based SaaS lowers entry barriers, enabling mid-market firms to gain capabilities such as behavioral analytics that were once reserved for Fortune 500 budgets. 

Marketplace-based delivery and automated configuration wizards reduce deployment timelines from months to days. As hyperscalers embed blueprint templates for manufacturing, retail, or smart-building use cases, SME traction will intensify, ensuring the 5G network security market continues to democratize advanced protection.

Geography Analysis

North America held 39.10% of 2025 revenue thanks to early standalone deployments and stringent FCC oversight that requires operators to document detection and response capabilities before spectrum allocation. Enterprises in manufacturing and finance favor private 5G secured by NIST guidelines, leveraging partnerships between carriers and cybersecurity vendors for unified SLA enforcement. Strong venture capital funding fuels continuous innovation, and federal grants encourage zero-trust adoption across critical infrastructure. 

Asia-Pacific is expanding fastest at 36.25% CAGR. China’s USD 150 billion 5G build-out specifies security audits for every core node and insists on hardware root-of-trust. Japan and South Korea advance private campus networks in automotive and shipbuilding, embedding slice isolation from day one. Government-industry task forces disseminate best practices region-wide, accelerating maturity. As multi-access edge computing scales to serve gaming and logistics, localized threat detection strengthens demand for adaptive security fabrics.