According to new data from market research firm Omdia (owned by Informa), 2025 Q4 investments 5G SA Core networks surged 83% year-over-year. For OEMs, this uptick suggests a pivot away from the stagnant 5G Standalone (SA) momentum of recent years. Omdia identified North America and EMEA as the primary growth engines for the quarter.  “The surge in 5G core investment underscores CSPs’ strategic focus on enabling new revenue streams and digital transformation,” said Roberto Kompany, Principal Analyst Mobile Infrastructure at Omdia, in a statement. “This momentum is reflected in AT&T’s nationwide 5G SA and RedCap deployment and Verizon’s launch of a new enterprise-grade fixed wireless access (FWA) slice,” he said.

Ookla and Omdia recently noted accelerating 5G SA adoption in Europe, but the region continues to trail global leaders due to its low baseline. Spain remains a standout exception. Telefónica recently achieved a domestic milestone by deploying 5G SA in-building coverage via a Vantage Towers DAS, and has partnered with Airbus Helicopters to integrate 5G SA into manned and unmanned rotary-wing platforms for the Spanish armed forces. Despite broader deployments in the UK and Germany, a significant performance gap remains.

The GCC region ( Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE.) currently delivers median 5G SA download speeds up to five times faster than European averages. This disparity highlights a capability gap rather than a coverage issue between mature and emerging markets. The industry footprint is expanding, with Omdia reporting 88 commercial 5G SA deployments to date—a notable increase from the 72 reported by Dell’Oro in late 2025.

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While Dell’Oro confirms the 5G SA Core market growth, it emphasized that subscriber migration and active utilization, rather than just “flags in the ground,” are the true long-term drivers for infrastructure spend.  For the first time, the 5G Mobile Core Network (MCN) market accounted for 50 percent share of the total MCN market.

“In 2025, the MCN market recorded its highest year-over-year revenue growth rate since 2014,” stated Dave Bolan, Research Director at Dell’Oro Group. “This was driven by record-setting growth rates in all market segments: 4G MCN (highest since 2019), 5G MCN (highest since 2022), and Voice Core (highest since 2007). 4G MCN gains came from Caribbean and Latin America (CALA) and Europe, Middle East, Africa (EMEA) regions; 5G MCN from all regions; and Voice Core, primarily from Asia Pacific and EMEA regions.

“5G MCNs led the way in 2025 growth, as 5G Standalone (5G SA) networks reached an inflection point and moved towards mass market appeal, as more 5G SA networks expand in population coverage in urban, suburban, and rural areas. Voice Core was the next major contributor to growth in 2025, driven by planned 3G MCN shutdowns, which required upgrades from Circuit Switched Core to IMS Core, and IMS Core modernization to a cloud-native IMS Core for VoNR in 5G SA networks. Meanwhile, 4G MCNs expanded due to subscriber growth in Africa and South America,” added Bolan.

Looking ahead, Omdia forecasts sustained double-digit growth for 5G Core investments through 2026, fueled by the requirement for nationwide service parity and increased network capacity. This outlook favors the leading 5G Core vendors—Huawei, Ericsson, and Nokia—who currently maintain the highest market shares.

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ROI for 5G SA Core Networks?

• Operational Efficiency: 5G SA cores are cloud-native, allowing for microservices that can be deployed in hours rather than days. This reduces long-term operational costs (OpEx) by automating network functions and improving energy efficiency per gigabyte transmitted.
• New Revenue Streams: Unlike 5G Non-Standalone (NSA), the SA core enables Network Slicing and Ultra-Reliable Low-Latency Communications (URLLC). These are essential for high-margin B2B services like industrial robotics, emergency services, and “SuperMobile” slicing for enterprises.
• Monetization of “Capability”: In regions like the GCC (Gulf Cooperation Council), 5G SA delivers speeds up to five times faster than European averages, allowing operators to charge for performance-based tiers rather than just data volume.
• Consumer Benefits: Early data from the UK indicates that 5G SA can extend device battery life by 11% to 22% due to its unified control plane, creating a tangible value proposition for premium consumer plans.

• The “Value Perception Gap”: Despite nationwide rollouts, some operators (like AT&T in late 2025) saw mobile service revenue grow by only 3.4%, barely outpacing inflation.
• Regional Disparity: ROI is strongest in North America and China, where industrial policy and sovereign wealth have accelerated deployment. In contrast, Europe faces a “regulatory quagmire” and higher costs for removing legacy equipment, slowing its path to profitability.
• The 6G Factor: Some operators are hesitant to invest billions in a full 5G SA overhaul if the technology is viewed as a “transitional” generation that may be superseded by 6G-ready cores in the late 2020s. 

References:

https://www.telecoms.com/5g-6g/telcos-spend-more-on-the-core-as-5g-sa-picks-up

https://www.linkedin.com/pulse/february-newsletter-4q25-fy25-wireless-infrastructure-update-ug9ec/

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