5G Core Market by Component, Network Functions, Deployment Model, End-User

List of Tables

[186 Pages Report] The 5G Core Market size was estimated at USD 3.67 billion in 2023 and expected to reach USD 4.84 billion in 2024, at a CAGR 34.57% to reach USD 29.35 billion by 2030.

The 5G core represents the next-generation network infrastructure that is designed to manage the enhanced throughput, low latency, and massive device connectivity demands of 5G technology. 5G Core is based on a cloud-native service-based architecture that enables network slicing, creating multiple virtual networks on a single physical infrastructure, catering to various use cases and industries. The exponential rise in data usage necessitates the adoption of 5G Core networks to manage the surge efficiently. In addition, Supportive policies and investments in 5G technology by governments worldwide propel the market forward. However, the high initial investment for 5G infrastructure setup and maintenance poses a significant barrier to market growth. Security concerns regarding data privacy and integrity in the 5G network can hinder growth. Furthermore, continuous improvements in 5G technology and infrastructure create opportunities for innovations in the market.

KEY MARKET STATISTICS
Base Year [2023]	USD 3.67 billion
Estimated Year [2024]	USD 4.84 billion
Forecast Year [2030]	USD 29.35 billion
CAGR (%)	34.57%

Regional Insights

The Americas, particularly the United States and Canada, exhibit a strong adoption rate of 5G technologies driven by consumer demand for high-speed internet and digital services. The United States is a robust market with extensive investments in 5G trials and deployments. The United States market is characterized by high consumer spending power and a demand for advanced technological services, including IoT, autonomous vehicles, and immersive media experiences driven by AR and VR. EU countries are deeply invested in achieving a digital single market, with substantial funding earmarked for 5G research and deployment. The acquisition behavior in these markets is influenced by stringent EU regulations, a focus on data privacy, and the demand for efficient, sustainable technologies. The Middle East is rapidly emerging as a leader in 5G, driven by initiatives in smart cities and industrial automation. Countries, including the UAE, boast of some of the earliest and most comprehensive 5G rollouts globally, serving an increasingly tech-savvy consumer base. The Asia Pacific region, particularly China, Japan, and India, stands at the forefront of the 5G revolution. With high population densities and a robust manufacturing sector, the demand for 5G is driven by both consumer and industrial needs. The country focuses on high-speed data services and is leveraging 5G for advancements in robotics, IoT, and smart cities.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the 5G Core Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers
- Proliferation of IoT smart equipment and devices across the globe
- Growing presence of cloud and service based architecture
- Rising demand for enhanced digital traffic aggregating solutions

Market Restraints
- High cost associated with 5G core deployment

Market Opportunities
- Rapidly rising investments in 5G technologies
- High demand for 5G core networks coupled with mMTC in industry 4.0

Market Challenges
- Complexity of network architecture and interoperability issues

Market Segmentation Analysis
- Network Functions: Growing significance of unified data management for personalized services and compliance with data regulations
- Deployment Model: Increasing preference for on-premises deployment due to security, and low latency

Market Disruption Analysis
Porter's Five Forces Analysis
Value Chain & Critical Path Analysis
Pricing Analysis
Technology Analysis
Patent Analysis
Trade Analysis
Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the 5G Core Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the 5G Core Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Nokia Announces New 4G and 5G Core Network Software Solutions for Mission Critical Needs of Enterprise Verticals

Nokia has introduced its enhanced core network software solutions, specifically designed for the demanding contexts of public safety and power utilities. Leveraging its extensive experience in core products, Nokia's core enterprise solutions aim to empower enterprises with secure, carrier-grade network capabilities, facilitating a digital transformation that promises heightened productivity and efficiency. [Published On: 2023-05-30]

TM and ZTE Malaysia Enter Into a Strategic Partnership to Develop Next-Generation Tech Through Hybrid Cloud 5G Core Network

Telekom Malaysia Berhad (TM) and ZTE Corporation Sdn Bhd announced a partnership to construct a hybrid cloud 5G core network to set a new standard for future technological advancements and applications. Over three years, this alliance is expected to spearhead innovation by incorporating cutting-edge technologies such as bare metal containers, an SDN-based architecture, hardware acceleration, CUPS, and 3-layer decoupling. [Published On: 2023-03-13]

Swisscom, Ericsson, and AWS Collaborate on 5G Core for Hybrid Cloud

Ericsson and Swisscom have collaborated to integrate Ericsson's 5G Core technologies with Amazon Web Services (AWS). The partnership initiates a Proof-of-Concept (PoC) trial, focusing on running Ericsson 5G Core applications on AWS, a step that signifies a strategic move towards leveraging hybrid cloud capabilities as an augmentation to current private cloud infrastructures. This collaboration, underscored by a shared vision with AWS, aims to explore the facilitation of telecom operators through hybrid and public cloud uses, particularly emphasizing the flexibility and scalability it offers. [Published On: 2023-03-01]

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the 5G Core Market. This critical assessment involves a thorough analysis of the organization's resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the 5G Core Market, highlighting leading vendors and their innovative profiles. These include A10 Networks, Inc., Alepo, Amdocs Management Limited, Casa Systems, Inc., Cisco Systems, Inc., Cumucore Oy, Dell Technologies Inc., Druid Software, Enea AB, Hewlett Packard Enterprise Company, Huawei Technologies Co., Ltd., Infosys Limited, Intel Corporation, IPLOOK Technologies, LG Electronics Inc., Mavenir Systems, Inc., Microsoft Corporation, NEC Corporation, Nokia Corporation, Oracle Corporation, Qualcomm Incorporated, Qucell Networks by Innowireless Co., Ltd., Samsung Electronics Co., Ltd., Telefonaktiebolaget LM Ericsson, and ZTE Corporation.

Market Segmentation & Coverage

This research report categorizes the 5G Core Market to forecast the revenues and analyze trends in each of the following sub-markets:

Component
- Services
  - Managed Services
  - Professional Services

Solutions

Network Functions
- Application Function
- Authentication Server Function
- Mobility Management Function
- Network Exposure Function
- Network Repository Function
- Network Slice Selection Function
- Policy Control Function
- Session Management Function
- Unified Data Management
- User Plane Function

Deployment Model
- Cloud
- On-Premises

End-User
- Enterprises
- Telecom Operators

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

Product Code: MRR-501246437BBD

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Proliferation of IoT smart equipment and devices across the globe
  - 5.1.1.2. Growing presence of cloud and service based architecture
  - 5.1.1.3. Rising demand for enhanced digital traffic aggregating solutions
- 5.1.2. Restraints
  - 5.1.2.1. High cost associated with 5G core deployment
- 5.1.3. Opportunities
  - 5.1.3.1. Rapidly rising investments in 5G technologies
  - 5.1.3.2. High demand for 5G core networks coupled with mMTC in industry 4.0
- 5.1.4. Challenges
  - 5.1.4.1. Complexity of network architecture and interoperability issues
5.2. Market Segmentation Analysis
- 5.2.1. Network Functions: Growing significance of unified data management for personalized services and compliance with data regulations
- 5.2.2. Deployment Model: Increasing preference for on-premises deployment due to security, and low latency
5.3. Market Disruption Analysis
5.4. Porter's Five Forces Analysis
- 5.4.1. Threat of New Entrants
- 5.4.2. Threat of Substitutes
- 5.4.3. Bargaining Power of Customers
- 5.4.4. Bargaining Power of Suppliers
- 5.4.5. Industry Rivalry
5.5. Value Chain & Critical Path Analysis
5.6. Pricing Analysis
5.7. Technology Analysis
5.8. Patent Analysis
5.9. Trade Analysis
5.10. Regulatory Framework Analysis

6. 5G Core Market, by Component

6.1. Introduction
6.2. Services
6.3. Solutions

8. 5G Core Market, by Deployment Model

8.1. Introduction
8.2. Cloud
8.3. On-Premises

9. 5G Core Market, by End-User

9.1. Introduction
9.2. Enterprises
9.3. Telecom Operators

10. Americas 5G Core Market

10.1. Introduction
10.2. Argentina
10.3. Brazil
10.4. Canada
10.5. Mexico
10.6. United States

11. Asia-Pacific 5G Core Market

11.1. Introduction
11.2. Australia
11.3. China
11.4. India
11.5. Indonesia
11.6. Japan
11.7. Malaysia
11.8. Philippines
11.9. Singapore
11.10. South Korea
11.11. Taiwan
11.12. Thailand
11.13. Vietnam

12. Europe, Middle East & Africa 5G Core Market

12.1. Introduction
12.2. Denmark
12.3. Egypt
12.4. Finland
12.5. France
12.6. Germany
12.7. Israel
12.8. Italy
12.9. Netherlands
12.10. Nigeria
12.11. Norway
12.12. Poland
12.13. Qatar
12.14. Russia
12.15. Saudi Arabia
12.16. South Africa
12.17. Spain
12.18. Sweden
12.19. Switzerland
12.20. Turkey
12.21. United Arab Emirates
12.22. United Kingdom

13. Competitive Landscape

13.1. Market Share Analysis, 2023
13.2. FPNV Positioning Matrix, 2023
13.3. Competitive Scenario Analysis
- 13.3.1. Nokia Announces New 4G and 5G Core Network Software Solutions for Mission Critical Needs of Enterprise Verticals
- 13.3.2. TM and ZTE Malaysia Enter Into a Strategic Partnership to Develop Next-Generation Tech Through Hybrid Cloud 5G Core Network
- 13.3.3. Swisscom, Ericsson, and AWS Collaborate on 5G Core for Hybrid Cloud
13.4. Strategy Analysis & Recommendation

14. Competitive Portfolio

14.1. Key Company Profiles
14.2. Key Product Portfolio