Omdia’s 2025 Mobile Core Network Leaders: Huawei #1 in market share; Nokia #1 for portfolio competitiveness

Highlights of Omdia’s “Market Landscape: Core Vendors” Report:

1.   Market Share:

Five vendors control the 4G and 5G core market with a combined market share of 86.1% in 2025, down from 87.4% in 2024. The top three players collectively captured 70.9% of total revenue. With such a concentration of market power, each vendor is increasingly focused on asserting leadership, particularly as competition intensifies around the next-generation 5G core. However, measuring market leadership in this space has its challenges

In 2025, Huawei was the market leader. It was followed by Ericsson, ZTE, Nokia, NEC, and Samsung Electronics.

Ericsson, Huawei, and ZTE captured a combined 70.9% of global core revenue in 2025, up from 68.3% in 2024. When Nokia and NEC are added, these top five companies generated 86.1% of total core revenue in 2025, up from 87.4% in 2024. This is very high but still less than the 95.4% captured by these vendors in 2020, which indicates that upcoming vendors are collectively gaining market share.

Huawei gained 5.0 percentage points in market share thanks to a more favorable geographical mix and market share gains in emerging markets. Ericsson, ZTE, and Nokia, however, lost share.

• Market share remains an important component of vendor strategy. Some vendors deliberately trade short-term margins for increased share, leveraging competitive pricing to secure new business, especially within the 5G core space, which presents fresh monetization opportunities. Conversely, others may prioritize margin protection over top-line growth, consciously sacrificing share to maintain profitability. A single vendor may use both approaches depending on the geography, project scope, or timing.

Samsung Electronics and four other vendors including the new participant, AxyomCore, are in the upcoming mobile core vendors group. However, caution is required when benchmarking these vendors, given the relatively fewer network functions (NFs) that they develop and their smaller market reach compared with the larger players.

Note:  For 4G and 5G core revenue, Omdia did not include Communications Service Providers (CSPs)’ spending in NF virtualization infrastructure (NFVi) or server and management software.

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2.  Portfolio Competitiveness:

Nokia was ranked No. 1 for mobile core portfolio competitiveness with the Finland headquartered company a leader across all seven competitiveness categories: core portfolio breadth, cloud-native maturity, signaling, automation, core as a service, AI/ML and analytics, and implementations of other network functions.  The recognition reflects Nokia’s continued investment in mobile core technologies that help operators modernize their networks for the AI era. Recent deployments include the world’s first commercial mobile telco service based on 5G Core SaaS; Core SaaS Edge enabling local breakout for roaming subscribers; core network resilience solutions; telecom core modernization programs, and mission-critical network upgrades supporting the IoT, rail and utilities sectors.

“Core networks are becoming the intelligence layer of modern communications, connecting cloud-native operations, AI-driven automation and application innovation. This recognition from Omdia highlights the breadth and maturity of our portfolio across every major category operators are using to evaluate connectivity partners who can help them move toward more autonomous, resilient and programmable networks.” Kal De, SVP, Core Networks, Nokia.

“Nokia continues to distinguish itself as a technology leader in core networks, with advanced capabilities in categories spanning cloud native maturity, automation, AI/ML and analytics, and Core as a Service. These are no longer optional innovations but strategic requirements for telecommunication providers pursuing greater operational efficiency, service agility and monetization opportunities. Nokia’s comprehensive approach demonstrates a deep understanding of both current operator challenges and the future direction of the telecom market. Roberto Kompany, Principal Analyst, Mobile Infrastructure, Omdia.

3.  Selected Mobile Core Vendor Strategies:

Huawei and ZTE dominate the global 5G mobile core landscape, combined representing over half of the global market revenue. Unlike Western vendors who heavily rely on US-based hyperscalers (AWS, Microsoft Azure, Google Cloud) to realize a cloud core, Huawei and ZTE use an entirely different playbook. Their strategy relies on vertically integrated, proprietary Telco Clouds combined with intensive AI-native automation, while focusing geographically on domestic, Middle Eastern, African, and Asia-Pacific markets due to geopolitical restrictions in Europe and North America.

Huawei and ZTE sell the entire mobile core vertical stack: the underlying hardware, the cloud virtualization layer, and the mobile core software. 

  • Huawei’s Strategy: Huawei actively positions its Huawei Cloud and proprietary platform (Telco Intelligent Converged Cloud – TICC) as the direct alternative to AWS or Azure for global operators. Instead of validating their 5G core on American hyperscalers, they build end-to-end “Cloud-Network Synergy” environments using their own Kunpeng and Ascend chipsets. 
  • ZTE’s Strategy: ZTE deploys its 5G Common Core Solution. It uses their in-house Distributed Cloud infrastructure, which fully abstracts 2G/3G/4G/5G pipelines into a singular, containerized platform. They target extreme reliability through proprietary data layers (like their stateless cloud database) rather than outsourcing data management to a public cloud.

In sharp contrast, non-Chinese mobile core vendors (Nokia, Ericsson, Samsung) treat the mobile core as pure application software meant to run on hyperscaler  public clouds.

Nokia’s core portfolio supports deployment models spanning private, public and hybrid cloud environments and helps operators simplify core operations through automation, AI-driven analytics, resilient architectures and network exposure capabilities. The company’s approach enables telecom providers and mission-critical enterprises to accelerate service innovation while reducing operational complexity and improving network agility.  Nokia is a primary driver of the “Core on Multi-Cloud” strategy, intentionally designing its cloud-native 5G Standalone (SA) core to be completely infrastructure-agnostic. 

  • AWS: Nokia collaborates with AWS to deploy automated, cloud-native packet core and IMS voice functions natively on AWS infrastructure.
  • Google Cloud: Nokia utilizes Google Cloud infrastructure to run its 5G core while integrating Google’s advanced Generative AI and data analytics tools for autonomous network operations.
  • Microsoft Azure: Nokia tightly integrates its core applications with Azure’s carrier-grade hybrid cloud platforms, optimizing hosting configurations for low-latency enterprise and edge applications.
Ericsson focuses on adapting its dual-mode 5G Core software to run seamlessly across public cloud pipelines while keeping telco-grade security. 
    • Google Cloud: Ericsson deeply collaborates with Google Cloud to evolve its cloud-native packet core stack, optimizing it to run on Google’s autonomous cloud infrastructure paired with Google’s Cloud TPUs and GPUs for network AI scaling.
    • AWS: Ericsson partners with AWS to validate its 5G core functions on AWS Outposts, targeting hybrid cloud deployments for tier-1 operators.
Samsung has steadily increased its footprint in the 5G packet core space, expanding deployments via strategic cloud alignments. 
  • AWS: Samsung optimizes its cloud-native 5G Core on AWS to allow operators to quickly spin up network slices and private 5G instances.
  • Microsoft Azure & Google Cloud: Samsung partners with both hyperscalers to deliver end-to-end virtualized network functions (VNFs) at the enterprise edge

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References:

https://www.nokia.com/asset/215526/

https://www.nokia.com/newsroom/nokia-ranked-no-1-for-mobile-core-portfolio-competitiveness-in-omdias-2026-market-landscape-report/

Core networks (Nokia)

5G Core (Nokia)

Telco investments in mobile core networks surge 83% in 2025-Q4, but what about ROI?

5G in Europe: Broad coverage but 5G SA cloud native core network lags other major markets (Table)

Dell’Oro: Telecom carriers are on a 5G SA spending spree with more to come

GSA: 5G Non Terrestrial Networks, 5G SA and 5G Advanced gain momentum

Dell’Oro: Mobile Core Networks +15% in 2025; Ookla: Global Reality Check on 5G SA and 5G Advanced in 2026

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

 

5G in Europe: Broad coverage but 5G SA cloud native core network lags other major markets (Table)

Europe’s 5G market status appears increasingly uneven.  The region has achieved broad 5G population coverage, but its transition to the 5G Standalone (SA) core network—and the cloud-native 5G Core required to realize 5G features and capabilities—remains materially behind several major markets.

A recent workshop report from the EU-backed European 5G Observatory highlights stakeholder concern that European investment remains weighted toward radio-access coverage rather than toward core-network modernization. The underlying Observatory assessment also characterizes EU deployment as still predominantly NSA, meaning much of the installed 5G radio layer continues to rely on an LTE/EPC anchor rather than a service-based 5GC architecture.  Participants estimated that only 18% of European 5G investment is directed to the core network, compared with 40% in China and 34% in the United States, South Korea, and Japan. Although European 5G core investment reportedly rose 31% from 2024, the prevailing view was that the next phase of 5G deployment must prioritize SA-capable core infrastructure rather than further expansion of basic 5G coverage.

This distinction is technically significant. Much of Europe’s existing 5G footprint remains based on Non-Standalone (NSA) deployment, in which 5G NR radio access is anchored to the LTE/Evolved Packet Core domain. The 3GPP-defined SA architecture instead pairs 5G NR with the 5G Core (5GC), including its service-based architecture specified principally in 3GPP TS 23.501 and TS 23.502. A full SA implementation enables functions that NSA cannot support as comprehensively, including end-to-end network slicing, native 5G QoS flows, ultra-low-latency service support, exposure of network capabilities through APIs, and more flexible edge and enterprise-service integration.

Europe’s aggregate 5G investment level is reported at 50.6%, substantially above the proportion allocated to the core but below China’s 72.0%, the United States’ 62.0%, and Japan’s 58.0%. The imbalance helps explain why headline coverage statistics do not yet translate into comparably mature 5G SA availability or widespread advanced-service monetization.

The Observatory report indicates that basic 5G coverage now reaches nearly all EU citizens, corresponding to 96.8% of households overall and 88.9% of rural households. However, deployment of SA-capable sites remains limited: on average, only 21.6% of European base stations are reported to operate in 5G SA mode, compared with 36% in the United States and 35% in China.

The gap becomes more pronounced when considering commercial service availability. While 21.6% of European base stations may be SA-capable, commercial SA availability to end users is reported at only 2.8%. India provides a notable contrast: the report places its SA-capable base-station share at 10%, below Europe’s, but commercial SA availability at 50%. The comparison suggests that Europe’s challenge is not only deployment of SA-capable RAN and 5GC infrastructure, but also the operationalization, device enablement, service launch, and commercial scaling of SA offerings.

Stakeholders attributed the low European availability figures partly to the current concentration of SA deployment in enterprise and business-to-business applications. Germany reportedly has the EU’s highest proportion of SA-capable base stations, at 63.2%, yet commercial availability stands at only 2.5%. Austria has the highest reported EU SA availability, although that figure remains modest at 8.7%.

This enterprise emphasis is understandable. A 5G SA network provides the architectural basis for differentiated connectivity services specified across the 3GPP 5G system framework, including network slicing and dedicated QoS treatment. In particular, 3GPP TS 23.501 defines network-slice concepts and service requirements, while 3GPP TS 23.503 specifies policy and charging-control mechanisms that can support service differentiation. Private 5G networks, campus deployments, industrial automation, logistics, utilities, and critical-infrastructure applications are therefore among the most immediate candidates for SA-led value creation.

Workshop participants nevertheless agreed that broader 5G SA deployment, together with private-network expansion, will be necessary if Europe is to capture the full economic value of 5G. That requires investment not only in 5GC functions, but also in cloud infrastructure, transport capacity and synchronization, orchestration, security, operational automation, and interoperable exposure frameworks. In practical terms, the opportunity is to shift from a coverage-centric 5G model to one capable of delivering programmable, assured, and differentiated connectivity services.

The European Commission established the 5G Observatory in 2018 as an evidence-gathering and policy-support mechanism. The Commission reports that the EU had reached 75.3% harmonized spectrum assignment by 2025, with several Member States approaching or achieving full assignment. Spectrum progress is important, but it does not by itself ensure SA maturity: operators must still convert spectrum assets and broad NR coverage into commercially available 5GC-based services.

The investment challenge is substantial. A GSMA assessment published earlier this year estimates that Europe will require approximately $550 billion in mobile-network investment over the next decade, while operators may have access to only about $312 billion. That implies an investment gap of roughly $238 billion—one that could constrain Europe’s ability to close the SA, cloudification, and advanced-network-services gap with leading global markets.

Mr. Johannes Theiss, DG CNECT Head of Sector for Advanced Networking Technologies and Applications at the European Commission noted that 5G standalone (SA) will be crucial on the road towards 6G, though further work is needed to develop indicators that will be both meaningful and manageable. As preparations begin for how 6G progress will eventually be measured, the experience of tracking 5G provides a useful basis for identifying what worked well and what should be approached differently.

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5G SA -Europe vs RoW Comparison:

A 5G SA system requires both 5G NR radio access and a 3GPP 5G Core (5GC), rather than NR anchored to an LTE EPC as in NSA. The relevant architecture is defined principally in 3GPP TS 23.501 and associated procedures in TS 23.502. Accordingly, the table is best interpreted as an indication of how extensively each market has extended SA capability into the RAN—not as a direct count of deployed cores.

The EU’s 5G SA deployment footprint represented 20.9% of all mobile base stations in 2025, compared with 36.2% in the United States, 34.8% in China, 26.3% in Japan, and 26.2% in South Korea

5G SA deployment proxy – 5G SA base stations as a share of all mobile base stations (Source: Perplexity.ai):

Market 5G SA base stations as % of all mobile base stations Relative position vs. EU Notes
United States 36.2% +15.3 percentage points Highest level among the markets reported in the European 5G Observatory comparison
China 34.8% +13.9 points Large-scale SA deployment, supported by extensive 5G Core and NR rollout
Japan 26.3% +5.4 points Above EU aggregate
South Korea 26.2% +5.3 points Above EU aggregate
EU-27 / Europe 20.9% Baseline Deployment remains predominantly NSA, according to the Observatory
Australia 18.1% −2.8 points Below EU aggregate
Brazil 14.9% −6.0 points Below EU aggregate
India 10.0% −10.9 points Lower site-based SA share, despite relatively substantial commercial SA availability reported elsewhere

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References:

https://ec.europa.eu/newsroom/repository/document/2026-33/Event_report__5G_Observatory_workshop_2026_Yfvg0WkFFtq7gprZEPZktfRo_131841.pdf

https://www.gsma.com/about-us/regions/europe/wp-content/uploads/2026/05/Mobile-Investment-Needs-in-Europe-GSMA.pdf

Ookla: Uneven 5G deployment in Europe, 5G SA remains sluggish; Ofcom: 28% of UK connections on 5G with only 2% 5G SA

Ookla: Europe severely lagging in 5G SA deployments and performance

Dell’Oro: Telecom carriers are on a 5G SA spending spree with more to come

GSA: 5G Non Terrestrial Networks, 5G SA and 5G Advanced gain momentum

Dell’Oro: Mobile Core Networks +15% in 2025; Ookla: Global Reality Check on 5G SA and 5G Advanced in 2026

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

AT&T deploys nationwide 5G SA while Verizon lags and T-Mobile leads

Dell’Oro: Telecom carriers are on a 5G SA spending spree with more to come

Dell’Oro Group, says that telecom wireless carriers have spent 208% more on 5G Standalone (SA) than they had on 4G Core functions at the same point in the technology’s lifecycle. However, 5G Mobile Core Network revenue growth is expected to slow over the next two years, as carriers put off transformation projects due to elevated server costs.

“The way the 3GPP specifications unfolded created an offset between 5G RAN spending and the implementation of 5G SA,” said Siân Morgan, Senior Director at Dell’Oro Group. “However, the complexity of the 5G SA is driving cumulative vendor revenues much higher than they were at the same stage in the LTE Evolved Packet Core (EPC) lifecycle.

5G SA revenues have not yet peaked,” Morgan added. “The majority of mobile network operators haven’t made 5G SA services available to a broad base of their customers.  Some operators are delaying core transformation projects because memory shortages are driving up server prices, but we expect double-digit 5G Mobile Core Network revenue growth to resume in 2028.”

Additional highlights from Mobile Core Network and Multi-access Edge Computing 5-Year Forecast July 2026 Report include:

  • EMEA (Europe, Middle East and Africa) will drive the most Mobile Core Network revenue over the next five years.
  • Despite being superseded by 5G, 4G core revenue grew in 2025, and Dell’Oro Group raised the forecast for this market.
  • AI will have a variable impact on mobile core networks, with opportunities for efficiency and revenue generation, alongside a risk of escalating costs.

 

About the Report

The Dell’Oro Group Mobile Core Network & Multi-Access Edge Computing Quarterly Report offers complete, in-depth coverage of the market with tables covering manufacturers’ revenue, shipments, and average selling prices for Traditional Packet Core, Evolved Packet Core, 5G Packet Core, Policy, Subscriber Data Management, Signaling, Circuit Switched Core, and IMS Core by geographic regions. To purchase this report, please contact us at [email protected].

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From Perplexity.ai and Ericsson:

Analysis:

5G SA differs from NSA because it uses a 5G core rather than relying on 4G core (EPC) anchoring, which makes it better suited for advanced capabilities like network slicing and more flexible service control. All 5G features and functions, e.g. 5G security, network slicing, MEC, etc require a 5G SA core network.  5G network operators can package differentiated services instead of treating 5G only as a faster broadband layer.

Adoption is already broadening geographically. Ericsson says more than 60 service providers had deployed or launched public 5G SA networks by the end of September 2024, with early leadership in North America, China, Southeast Asia, and Australia, and with deployments expanding into Latin America, the Gulf Cooperation Council, and South Africa.

Device readiness is also improving quickly. Ericsson notes that the share of announced 5G devices supporting SA was about 70 percent by the end of June 2024, which lowers one of the biggest historical blockers to mass adoption.

From a vendor and operator perspective, the value of SA is shifting from coverage to monetization. Dell’Oro says many operators already use SA for enterprise and fixed wireless access, even if they have not yet opened it broadly to consumers, which suggests the strongest initial revenues may come from business services before mass-market consumer plans.

Market Forecast:

The strongest public forecast in the sources is subscriber growth: Ericsson projects global 5G SA subscriptions will reach about 1.2 billion by the end of 2024 and approximately 3.6 billion by 2030, which would represent nearly 60 percent of all 5G subscriptions by that time.

On the infrastructure side, Dell’Oro expects the 5G mobile core network market to grow at a 6 percent CAGR from 2024 to 2029, largely driven by SA adoption, while MEC is forecast to grow faster at 17 percent CAGR because of network slicing, RedCap, and network APIs tied to Open Gateway.

A reasonable market view is that 2025–2027 will be the period when SA shifts from launch announcements to scale, especially as more operators convert consumer traffic, expand enterprise use cases, and retire older core dependencies. By the late 2020s, growth should be driven less by “first deployment” and more by monetization density: more SA subscribers, more eligible devices, and more services built on top of the SA core.ericsson+1

What to watch:

  • Consumer rollout pace. Operators that keep SA limited to enterprise and FWA will likely monetize more slowly than those that open it to consumers.

  • Device defaults. SA-enabled devices matter less if SA is not the default setting, so default-on support is an important adoption catalyst.

  • Enterprise use cases. Slicing, private wireless integration, and low-latency applications are likely to produce the clearest near-term ROI.

  • Regional timing. China and India are expected to remain major contributors, while Europe and parts of the Americas close the gap later in the decade.

References:

5G Standalone Revenue Triples 4G Core at Same Stage of Tech Cycle, According to Dell’Oro Group

GSA: 5G Non Terrestrial Networks, 5G SA and 5G Advanced gain momentum

Dell’Oro: Mobile Core Networks +15% in 2025; Ookla: Global Reality Check on 5G SA and 5G Advanced in 2026

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

AT&T deploys nationwide 5G SA while Verizon lags and T-Mobile leads

Ericsson CEO’s strong statements on 5G SA, WRC 27, and AI in networks

Optus and Ericsson achieve 180MHz across 2.3GHz and 3.5GHz bands using carrier aggregation on a live 5G SA network

Australian telco Optus has demonstrated advanced 5G NR carrier aggregation (5G NR-CA) performance on its 5G standalone (SA) network by implementing four-component carrier aggregation (4CC CA) across low-, mid-, and upper-mid-band spectrum. Using Ericsson 5G SA network equipment and software, the configuration aggregates FDD bands at 900 MHz (Band n8) and 2.1 GHz (Band n1) with TDD bands at 2.3 GHz (Band n40) and 3.5 GHz (Band n78).  Two-Component Carrier (2CC CA) uplink aggregation

This combined Optus’ unique two mid-band TDD spectrum holdings across 2.3GHz and 3.5GHz, achieving a record 180MHz TDD spectrum aggregation. In particular:

  • Four-Component Carrier aggregation enabled 220MHz downlink bandwidth, leveraging spectrum across four different bands of 900MHz, 2.1GHz, 2.3GHz and 3.5GHz
  • Two-Component Carrier uplink aggregation combined one Frequency Division Duplex (FDD) band from 900MHz and 2.1GHz with one TDD band from 2.3GHz and 3.5GHz
  • Achieved peak speeds of 3.4Gbps (downlink) and 200Mbps (uplink) in a live network site with commercial devices, including the Samsung Galaxy S26 Ultra

The demonstration aligns with 3GPP Release 16 and Release 17 5G NR-CA enhancements (TS 38.300, TS 38.101-1/2), which extend carrier aggregation capabilities across heterogeneous duplex modes (FDD+TDD) and multiple frequency ranges within FR1. The downlink configuration leverages cross-band scheduling and advanced MIMO layers (likely up to 4×4 or higher per component carrier, depending on band support) to maximize spectral efficiency across aggregated carriers.

On the uplink, Optus and Ericsson reported 200 Mbps throughput using two-component carrier aggregation (2CC CA), combining FDD (n8/n1) and TDD (n40/n78) spectrum. This implementation is consistent with 3GPP Release 16 uplink enhancements, including uplink carrier aggregation and transmit (Tx) switching (TS 38.213), which enables efficient utilization of UE power resources across multiple uplink carriers, particularly in mixed duplex scenarios.

All results were achieved on a live commercial 5G SA network at Optus’ Sydney campus using commercial off-the-shelf (COTS) user equipment, including the Samsung Galaxy S26 Ultra. This indicates full compliance with 3GPP-defined UE capability signaling (TS 38.306) and the availability of device-side support for complex NR-CA band combinations, including inter-band and cross-duplex aggregation.

“This achievement demonstrates how we are translating cutting-edge 5G technology into meaningful benefits for customers in real-world environments. Through our ongoing collaboration with Ericsson, we are unlocking greater capacity and performance across our 5G network, enabling faster speeds and more reliable connectivity,” said Optus CTO Sri Amirthalingam. “This milestone marks an important step in our network evolution towards 5G Advanced, reinforcing our commitment to remain at the forefront of innovation and to deliver tangible value for our customers.”

Ludvig Landgren, head of Ericsson Australia and New Zealand operations said: “Optus continues to demonstrate strong leadership in adopting advanced 5G capabilities, and this milestone highlights the strength of our partnership. By expanding and combining multiple spectrum assets with Ericsson technology, we are helping Optus deliver meaningful performance improvements that translate directly into better everyday experiences for their customers.”

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From a broader industry perspective, these results build on ongoing  5G NR-CA advancements. T-Mobile US has demonstrated approximately 6 Gbps downlink throughput using six aggregated carriers in FR1, as well as 550 Mbps uplink throughput leveraging uplink Tx switching across sub-6 GHz bands. In Europe, Vodafone and MediaTek achieved 277 Mbps uplink throughput using NR uplink CA, while Elisa, Ericsson, and MediaTek demonstrated 12CC aggregation reaching 8 Gbps downlink—highlighting the scalability of NR-CA as defined in 3GPP Release 17 and evolving into Release 18 (5G-Advanced).

Within Australia, Telstra has deployed Ericsson’s automated carrier aggregation (CA) optimization solution across more than 50 live 5G Advanced sites, leveraging dynamic CA configuration and traffic-aware scheduling—capabilities aligned with 3GPP Release 18 objectives for AI-assisted RAN optimization.

A notable aspect of the Optus/Ericsson demonstration is the aggregation of 180 MHz of mid-band spectrum across n40 (2.3 GHz) and n78 (3.5 GHz). While not a headline peak-rate milestone, this represents a first in terms of contiguous mid-band NR-CA deployment at this bandwidth scale. Mid-band aggregation is particularly significant within the 3.3–4.2 GHz “golden band” range defined in global 5G spectrum harmonization efforts, as it offers an optimal balance between coverage and capacity.

Operationally, this configuration is expected to deliver immediate gains in high-traffic scenarios—such as dense urban environments, transport hubs, and large venues—by increasing available cell throughput and improving user-level quality of service (QoS). Furthermore, the expanded mid-band capacity directly benefits fixed wireless access (FWA) deployments, where sustained throughput and cell-edge performance are critical. Because the demonstrated CA combinations are already supported by commercial UE categories, deployment can proceed without requiring new device classes, accelerating time-to-impact.

Ericsson was recently selected to modernize and expand SoftBank’s core networks, as well as accelerate the Japanese giant’s 5G SA adoption. Expanding on a previous 5G SA deal centered around its radio access network (RAN) products, Ericsson is providing SoftBank with its Core Networks’ portfolio, including a dual-mode 5G Core solution running on Ericsson’s Cloud Native Infrastructure Solution (CNIS).

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References:

https://www.ericsson.com/en/press-releases/7/2026/optus-and-ericsson-achieve-world-first-180mhz-across-2-3ghz-and-3-5ghz-5g-standalone-carrier-aggregation-on-live-network-using-commercial-devices-boosting-5g-customer-experience

https://www.telecoms.com/5g-6g/optus-and-ericsson-use-carrier-aggregation-to-notch-up-3-4-gbps-on-a-live-5g-sa-network

https://www.sdxcentral.com/news/ericsson-and-optus-claim-5g-sa-world-first/

https://www.ericsson.com/en/press-releases/7/2026/optus-and-ericsson-trial-ai-to-boost-5g-downlink

https://www.nokia.com/mobile-networks/ran/carrier-aggregation/5g-carrier-aggregation-explained/

China Unicom-Beijing and Huawei build “5.5G network” using 3 component carrier aggregation (3CC)

Nokia, BT Group & Qualcomm achieve enhanced 5G SA downlink speeds using 5G Carrier Aggregation with 5 Component Carriers

Finland’s Elisa, Ericsson and Qualcomm test uplink carrier aggregation on 5G SA network

T-Mobile US, Ericsson, and Qualcomm test 5G carrier aggregation with 6 component carriers

Ericsson and MediaTek set new 5G uplink speed record using Uplink Carrier Aggregation

BT tests 4CC Carrier Aggregation over a standalone 5G network using Nokia equipment

T-Mobile US achieves speeds over 3 Gbps using 5G Carrier Aggregation on its 5G SA network

 

GSA: 5G Non Terrestrial Networks, 5G SA and 5G Advanced gain momentum

5G NTNs:

During an April 16th webinar titled “GSA Snapshot: 5G networks, spectrum & devices,Joe Gardiner, market analyst at CCS Insight and a member of the GSA research team, said GSA data through March 31st reveal that 97 operators in 70 countries have announced they are investing in LEO satellite D2D technology.

“There’s a lot of interest in this area, but there’s also a lot of interest and movement towards 3GPP standards (see Note below), and the convergence of the terrestrial and the non-terrestrial standards map” starting with 3GPP Release 17, Gardiner observed.

Skylo, for example, is following a standards-based approach and already has D2D partnerships with operators such as Orange in France, Verizon and Vodafone IoT. 

“Other players are [also] looking to use the standards-based approach, and looking to purchase the spectrum that’s compatible with the standards,” Gardiner said. 

Note that 3GPP is not a SDO- it depends on ETSI and ITU-R to rubber stamp its specs and transpose them into official standards.

Image credit:  GSA

He said that “Part of the reason Amazon is acquiring satellite Globalstar, was because of the spectrum assets that Globalstar has.”  Gardiner added that a “lot of trials are taking place that are looking at the next stage of the standards, Release 18 with 5G NR NTN services.”

Gardiner referenced the trial announced by the European Space Agency (ESA), together with Airbus Defence and Space, Eutelsat OneWeb, and industry partners in November 2025.

In addition, Spain’s Sateliot is following the standards-based approach and has launched a Series C financing round to raise €100 million (US$117 million) to help fund the deployment its IoT-focused 5G satellite constellation. “We expect more trials like this to take place over the next few months and years,” Gardiner said.  There is a “movement towards using mobile satellite services (MSS) spectrum,” although the drawback with this spectrum is the current lack of compatible mobile devices on the market.

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5G SA and 5G Advanced:

Ian Fogg, a research director at CCS Insight, who also works within the research team at the GSA, talked up the move towards 5G standalone (SA) and 5G Advanced networks.

“Globally, we have 184 operators in 74 countries investing in 5G standalone. This is publicly. 28.5% of all 5G networks are now 5G standalone. So there’s real momentum happening here,” Fogg said.

Source: GSA

5G Advanced “is something that’s happening at the moment. We have 36 operators globally publicly saying they’re investing in 5G Advanced. We’ve seen eleven 5G Advanced networks commercially launched,” Fogg said, citing activity in China, Canada, Japan, Kuwait and Vietnam.

“I think what will happen in the next few years is we’ll see the gap between an operator adopting 5G standalone and 5G Advanced narrowing, because if you go to 5G standalone, it’s a natural thing to move fairly quickly on to 5G Advanced, if possible, because you get a lot more capabilities once you’re on a 5G advanced network,” he added.

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References:

https://www.lightreading.com/satellite/satellite-d2d-moving-into-the-mainstream-for-mobile-players—gsa

https://gsacom.com/webinar/5g-networks-spectrum-devices/

Orange set to claim European satellite first

Skylo’s trajectory toward the ‘standardized sky’ looks to include multiple orbits

MWC2026: Skylo makes universal connectivity a reality; Vodafone IoT teams with Skylo for satellite connectivity

Non-Terrestrial Networks (NTNs): market, specifications & standards in 3GPP and ITU-R

ITU-R recommendation IMT-2020-SAT.SPECS from ITU-R WP 5B to be based on 3GPP 5G NR-NTN and IoT-NTN (from Release 17 & 18)

Analysis: Amazon <- Globalstar – a strategic move for D2D and spectrum parity

Enterprise IoT and the Transformation of UK Telecom Business Models – Part 1

From LPWAN to Hybrid Networks: Satellite and NTN as Enablers of Enterprise IoT – Part 2

Keysight Technologies Demonstrates 3GPP Rel-19 NR-NTN Connectivity in Band n252

Telecoms.com’s survey: 5G NTNs to highlight service reliability and network redundancy

Dell’Oro: Mobile Core Networks +15% in 2025; Ookla: Global Reality Check on 5G SA and 5G Advanced in 2026

Dell’Oro: RAN Market Stabilized in 2025 with 1% CAG forecast over next 5 years; Opinion on AI RAN, 5G Advanced, 6G RAN/Core risks

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

AT&T deploys nationwide 5G SA while Verizon lags and T-Mobile leads

The Financial Trap of Autonomous Networks: Scaling Agentic AI in the Telecom Core

By Pavan Madduri with Ajay Lotan Thakur

The telecom industry wants autonomous, self-healing networks, but nobody is looking at the GPU bill. Running Agentic AI 24/7 “just in case” will bankrupt your IT department and ruin your ESG goals. The only way to survive the autonomous era is ruthless, event-driven orchestration that scales cognitive compute to absolute zero.

Introduction – The Compute Crisis:

The Compute Crisis Nobody is Talking About

Everyone in telecom right now is obsessed with “self-healing” autonomous networks. The vendor pitch sounds amazing. Just drop in some Agentic AI, let it watch your data plane, and watch it fix anomalies without a human ever touching a keyboard. But there’s a massive trap hiding underneath all that hype, and enterprise architects are completely ignoring it. It comes down to the raw physics of AI compute.

Unlike your standard microservices, which just run deterministic, compiled code on cheap CPU cycles, Agentic AI needs massive foundation models. To actually reason through a network failure, these models have to load gigabytes of weights into Video RAM and generate tokens. You need dedicated GPUs for this. We aren’t talking about cheap, stateless API calls here. These are the most expensive, power-hungry workloads in your entire datacenter.

If a telco tries to run an autonomous core the old-fashioned way by keeping high-end GPU nodes spinning 24/7 just in case a BGP route flaps, their cloud bill is going to wipe out any operational savings the AI was supposed to deliver.

The reality is that autonomy is no longer just a software problem. It’s a financial one. The telcos that actually win will not be the ones with the smartest AI. They will be the ones who figure out how to build a strict “scale-to-zero” environment. They need to spin up that expensive cognitive compute exactly when it is needed, and kill it the exact second the job is done.

Why Traditional Auto-scaling is Broken for AI:

When platform engineers first see the compute costs of running these AI agents, their first instinct is usually just to slap standard Kubernetes Horizontal Pod Autoscaling (HPA) on the cluster and call it a day. But standard HPA was built for stateless web servers, not massive cognitive engines. If you try to use it for Agentic AI in a telecom core, you’re going to fail for two big reasons.

The Cold-Start Penalty: Traditional autoscaling is entirely reactive. It sits around waiting for a CPU to hit 80% before it decides to scale up. In telecom, SLAs are measured in sub-milliseconds. If you wait for an anomaly to spike your CPU, then provision a new GPU node, pull a massive AI container image, and load the model weights into VRAM, you are talking about minutes of delay. By the time your AI agent actually wakes up to fix the problem, you have already breached your SLA.

CPU Utilization is a Liar: For AI workloads, standard hardware metrics are completely misleading. A GPU could be pegged at 90% utilization just thinking through a minor log warning, while a massive, critical network failure is stuck waiting in the queue. If your scaling logic is tied to hardware metrics instead of the actual severity of the event queue, you are just going to burn budget scaling blindly.

We have to abandon reactive resource metrics entirely and move to event-driven orchestration.

The Fix – Event-Driven Orchestration:

If standard HPA is broken for this, what is the fix? You have to completely decouple the infrastructure from the workload using strict, event-driven orchestration.

Instead of keeping baseline infrastructure running just to maintain a state, you treat cognitive compute as 100% ephemeral. You don’t scale based on how hard the CPU is working. You scale based on the exact depth and severity of the anomaly queue.

To actually build this, architects need purpose-built event-driven scalers like KEDA (Kubernetes Event-driven Autoscaling). KEDA lets your cluster completely bypass those reactive hardware metrics and listen directly to the network’s data plane.

But how do you avoid the cold-start latency of booting a fresh GPU pod? KEDA solves this by reacting to the event queue length itself rather than waiting for an existing pod’s CPU to max out. By the time a traditional HPA notices a CPU spike, the system is already overwhelmed. (To solve this exact issue in production, I open-sourced a custom KEDA scaler specifically designed to scrape and react to native GPU metrics, allowing the orchestrator to scale cognitive workloads preemptively. You can view the architecture on [GitHub])

KEDA intercepts the telemetry trigger at the source. When paired with a warm pool of paused GPU nodes and pre-pulled container images, KEDA can scale a pod from zero to active in milliseconds. The infrastructure is anticipating the load based on the queue, not reacting to the stress of it.

Here is what the workflow actually looks like when you do it right:

  1. The Trigger: Telemetry picks up a severe anomaly ,like a sudden 5G slice degradation, and pushes an event straight to a message broker like Kafka.
  2. The Scale-Up: KEDA intercepts that exact metric and instantly provisions a dedicated, GPU-backed AI pod from a warm standby pool.
  3. The Execution: The Agentic AI loads into VRAM, figures out the blast radius of the anomaly, and executes a fix. This is usually by reconciling the state through a GitOps controller.
  4. The Kill Switch: The absolute millisecond that the event queue clears and the network is stable, the orchestrator aggressively terminates the pod and gives the GPU back to the node pool.

You only pay the premium GPU tax during moments of active reasoning. The 24/7 idle tax is gone.

Architecting the Scale-to-Zero Core:

To make this scale-to-zero dream a reality, you have to fundamentally change how you handle network observability. The biggest mistake I see architects make is tightly coupling their monitoring tools with their AI execution layer. If your observability stack is running on the same hardware as your AI engine, you are literally wasting premium GPU compute just to watch logs.

You need a strict, physical separation of concerns:

The Watchers (The Lightweight Control Plane):
Your network data plane needs to be monitored by lightweight, CPU-efficient edge collectors like Prometheus or OpenTelemetry. These sit right at the edge, continuously eating millions of telemetry data points and BGP state changes. Because they don’t do any complex reasoning, they run incredibly cheap on standard CPU nodes.

The Thinkers (The Heavyweight Execution Plane):
Your expensive AI models are completely isolated in a separate, GPU-backed node pool that literally defaults to zero instances.

When the Watchers spot an anomaly, they don’t try to fix it. They just fire an alert to KEDA. KEDA then wakes up the Thinkers, spinning up the exact number of GPU pods needed to handle that specific blast radius. By decoupling the watchers from the thinkers, you guarantee that not a single cycle of GPU compute is wasted on baseline monitoring.

The Bottom Line:

Autonomous telecom networks are going to happen. But trying to brute-force the infrastructure provisioning is a fast track to bankrupting your IT department. The smartest Agentic AI in the world is useless if you can’t afford the cloud bill to run it.

Furthermore, this isn’t just about protecting the IT budget. Running idle GPUs 24/7 creates a massive, unnecessary carbon footprint. By enforcing a scale-to-zero architecture, telcos can drastically reduce the energy consumption of their autonomous networks, turning a massive ESG liability into a sustainable operational model.

Autonomy is no longer just a software engineering problem. It is an infrastructure balancing act. If Agentic AI is going to survive in the telecom core, we have to ditch legacy threshold scaling and embrace strict, event-driven orchestration.

Tools like KEDA give us the ability to build networks that are both cognitively brilliant and financially ruthless. We can spin up massive intelligence at the exact millisecond of failure and scale right back to zero the moment the network is healed.

References and Further Reading:

Building and Operating a Cloud Native 5G SA Core Network

How Network Repository Function Plays a Critical Role in Cloud Native 5G SA Network

HPE Aruba Launches “Cloud Native” Private 5G Network with 4G/5G Small Cell Radios

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About the Author:

Pavan Madduri is a Cloud-Native Architect, CNCF Golden Kubestronaut, and active IEEE researcher specializing in enterprise infrastructure automation, Agentic SREs, and Kubernetes networking. He designs scalable, zero-trust cloud environments and frequently writes about the intersection of AI governance and cloud-native infrastructure.

Connect with Pavan Madduri on [LinkedIn] .

Disclaimer: The author acknowledges the use of AI-assisted tools for structural formatting, language refinement, and copyediting during the drafting of this article. The core architectural concepts, technical opinions, and engineering strategies remain entirely original.

Telco investments in mobile core networks surge 83% in 2025-Q4, but what about ROI?

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?

The return on investment (ROI) for 5G Standalone (SA) core networks is currently at a critical inflection point. While initial years were marked by “bemoaning” slow momentum, 2025 and 2026 have seen a shift from pilot testing to an execution-driven phase with measurable, albeit varied, returns.  In the 2025–2026 market, enterprise ROI for 5G Standalone (SA) is primarily driven by three high-growth segments: Private 5G NetworksRedCap IoT, and Network Slicing. While public 5G consumer returns remain steady, these B2B use cases are where Mobile Network Operators (MNOs) are finding the most immediate “killer applications.”

ROI Drivers in 2026:
  • 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.
Current Market Challenges:
  • 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.
Strategic Outlook for 2026:
Market research from the Dell’Oro Group projects the 5G Mobile Core Network market to grow at a 12% CAGR through 2030, reaching historic highs in 2026. For most operators, the consensus is that 5G SA is a strategic necessity to maintain competitiveness, even if the short-term financial returns are uneven.
In his February 2026 Newsletter, Stephane Teral wrote, “2026 points to a more mixed environment—RAN slightly down, 5G Core continuing to grow—against a backdrop of uncertain capex and an accelerating shift toward opex and software-driven models.”
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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/

Dell’Oro: Mobile Core Networks +15% in 2025; Ookla: Global Reality Check on 5G SA and 5G Advanced in 2026

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

Téral Research: 5G SA core network deployments accelerate after a very slow start

Analysts: Telco CAPEX crash looks to continue: mobile core network, RAN, and optical all expected to decline

Building and Operating a Cloud Native 5G SA Core Network

MCN Market Roared Back in 2025 With 15 Percent Growth, According to Dell’Oro Group

Nokia to showcase agentic AI network slicing; Ericsson partners with Ookla to measure 5G network slicing performance

Executive Summary:

Today, Nokia announced a strategic collaboration with Amazon (AWS)Du, and Orange to debut an industry-first agentic AI-driven network slicing [1.] capability on a 5G SA core network.  Du and Orange will deploy this new technology which uses Nokia’s 5G AirScale base stations, MantaRay SMO and Agentic AI modules in tandem with Amazon’s Bedrock Artificial Intelligence platform. Autonomous AI agents are used to ingest and process real-time telemetry—including geospatial data, event triggers, and traffic patterns—the framework enables adaptive network slicing.  This architecture allows communications service providers (CSPs) to dynamically orchestrate resources in response to fluctuating demand, such as prioritizing mission-critical throughput for first responders during emergency incidents.

Note 1.  There are no ITU standards for network slicing or the 5G SA Core network required to implement that capability.  3GPP specifications define end-to-end network slicing architecture, covering slice management (TS 28.552, TS 28.554), service requirements, and security (NSSAA – Network Slice Specific Authentication and Authorization).  The NSA and CISA have released specific, recognized guidance on designing, deploying, and maintaining secure 5G standalone (SA) network slices.   ETSI publishes and adopts 3GPP technical specifications (specifically the 28-series) as European standards for network slicing management, including 5G RAN, core network, and NFV-MANO architecture. ETSI, as a 3GPP partner, ensures these specifications cover the lifecycle of network slices.

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The orchestration involves a multi-layer framework that integrates Autonomous AI Agents with 3GPP-specified network functions to transition from static to intent-based slicing.  It is also supposed to help improve network performance during data traffic surges, emergencies or mass gatherings.  Autonomous network slicing can apparently resolve suboptimal service quality and inefficient resource utilization by adapting to varying traffic conditions.
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Technical Orchestration Workflow:
  • Data Ingestion & Inference: Agentic AI modules, hosted on Amazon Bedrock, ingest real-world contextual data (e.g., emergency alerts, traffic sensors, weather) alongside live network KPIs.
  • Intent-Based Policy Generation: The AI agents analyze this telemetry to determine the optimal network configuration required to meet specific Service Level Agreements (SLAs) or emergency “intents'”
  • NEF & SMO Integration: These high-level intents are translated into actionable policies and pushed to Nokia’s MantaRay SMO (Service Management and Orchestration).
  • Dynamic RAN/Core Adjustment: The Network Exposure Function (NEF) acts as the secure gateway, allowing the AI agents to interface with the 5G Core. It exposes network capabilities so the agents can dynamically adjust RAN policies and resource allocation across the 5G AirScale base stations.
  • Autonomous Feedback Loop: The system operates in an autonomous mode where agents continuously monitor the results of their adjustments, performing forensic analysis to refine slicing parameters in real-time.

Nokia will host live technical demonstrations of this AI network slicing capability at its 2026 Mobile World Congress (MWC) Barcelona exhibit.

Network slicing lets network operators create virtual networks optimized for specific users or types of users. Image courtesy of William Malik, Trend Micro 
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Quotes:

“This innovation marks a major milestone in the evolution of AI-native networks,” said Pallavi Mahajan, Chief Technology and AI Officer at Nokia. “By combining Nokia’s advanced network slicing capabilities with agentic AI, we are enabling operators to deliver premium, intent-based services that adapt dynamically to real-world conditions. Nokia is advancing connectivity by unlocking new value streams for telecommunication providers and supporting next-generation applications and differentiated services for enterprises, industries and consumers.”

Amir Rao, Global Director, GTM & Telco Solutions at AWS added: “Network slicing has long promised to unlock new revenue streams for operators, but manual configuration and static policies have prevented end customers from accessing on-demand provisioning. By integrating agentic AI capabilities through Amazon Bedrock with Nokia’s application, operators can now deliver intelligent, context-aware network slicing that responds dynamically to real-world conditions from traffic surges to emergency situations. This transforms network slicing from a technical capability into a true business enabler, allowing operators to monetize their 5G investments through differentiated, premium services that adapt automatically to customer needs. Agentic Network Slicing is the beginning of an era that will enable telecommunications providers to enable real-time intent-based service provisioning for end customers.”

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Competitive Network Slicing Solution:

Rival wireless equipment vendor Ericsson yesterday gave a preview of a network slicing related offering which it will be demonstrating at the 2026 MWC. Together with Ookla it has developed a specialized test version of its Speedtest app designed to measure and validate 5G network slicing performance.  The tool enables the Speedtest app to identify and test specific network slices, which apparently demonstrates how Service Level Agreements (SLAs) for differentiated services can be verified in real-time by consumers and service providers.

Ericsson reported in its latest Mobility report that there were 65 commercial network slicing services worldwide providing so-called “differentiated connectivity” offerings. That’s out of a total of 118 network slicing cases discovered by Ericsson’s researchers.  Yet in the UK, none of the three mobile network operators have launched a commercial 5G network slicing capability yet. According to Ofcom’s latest Connected Nations report, 5G SA is available across 83% of outside areas in the country and 5G SA accounts for nearly one-third of 5G traffic. However, 4G accounts for 72% of total monthly data traffic.

“Network slicing is no longer a future concept; it is a commercial reality. However, you cannot manage what you cannot measure,” said Tibor Rathonyi, Senior Advisor at Ookla. “Our work with Ericsson is a pivotal first step in providing the transparency needed to prove the value of these premium 5G services to both consumers and enterprises.”

Philipp Bichsel, Executive Vice President Mobile Network & Services at Swisscom, said: “Swisscom has retained the title as the country’s best-performing mobile network over many years by truly prioritizing the delivery of the best possible customer experience. This has meant embarking on a journey to fully exploit automation to enhance reliability and efficiency without compromising the service quality our customers expect. As we advance towards self-learning, autonomous networks, enabling Swisscom to build smarter and more adaptive network operations, we are leveraging the SMO framework as the foundation for this evolution. Within this framework, partner solutions such as Ericsson’s Intelligent Automation Platform and its ecosystem of rApps play an important role in helping us explore the potential of AI driven automation.”

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References:

https://www.telecoms.com/5g-6g/nokia-and-aws-show-off-agentic-ai-powered-5g-advanced-network-slicing

https://www.telecoms.com/5g-6g/ericsson-and-ookla-launch-network-slicing-measurement-tool

https://www.lightreading.com/5g/eurobites-network-slicing-enjoying-a-moment-finds-ericsson-report

https://www.ericsson.com/en/reports-and-papers/mobility-report/reports/november-2025

https://www.lightreading.com/5g/5g-network-slicing-not-ready-for-prime-time-in-uk

https://www.awardsolutions.com/portal/resources/network-slicing

ABI Research: 5G network slicing market to hit $67.52 billion in 2030 with Asia Pacific in the lead

5G network slicing progress report with a look ahead to 2025

FCC Draft Net Neutrality Order reclassifies broadband access; leaves 5G network slicing unresolved

Telstra achieves 340 Mbps uplink over 5G SA; Deploys dynamic network slicing from Ericsson

ABI Research: 5G Network Slicing Market Slows; T-Mobile says “it’s time to unleash Network Slicing”

Ericsson, Intel and Microsoft demo 5G network slicing on a Windows laptop in Sweden

Ericsson and Nokia demonstrate 5G Network Slicing on Google Pixel 6 Pro phones running Android 13 mobile OS

Nokia and Safaricom complete Africa’s first Fixed Wireless Access (FWA) 5G network slicing trial

Is 5G network slicing dead before arrival? Replaced by private 5G?

5G Network Slicing Tutorial + Ericsson releases 5G RAN slicing software

Dell’Oro: Mobile Core Networks +15% in 2025; Ookla: Global Reality Check on 5G SA and 5G Advanced in 2026

A recent Dell’Oro market research report estimates that 4G/5G Mobile Core Network (MCN) revenues rose 15% YoY in 2025, which was the fastest growth since 2014. For the first time, the 5G MCN market accounted for 50% share of the total MCN market.

Editor’s Note: The 4G and 5G Non Standalone (NSA) mobile core network market (Evolved Packet Core) is experiencing  long-term decline as investments are finally shifting toward 5G standalone (SA) networks.

“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.

Additional highlights from the 4Q 2025 Mobile Core Network and Multi-Access Edge Computing Report include:

  • The top four vendors (Huawei, Ericsson, Nokia, and ZTE) posted very strong growth rates in 2025. Collectively, they accounted for about the same amount of market share as in 2024.
  • The Multi-access and Edge Computing (MEC) market segment (a subsegment of the 5G MCN market) attained the highest growth rate of any MCN segment in 2025, with the China region remaining the dominant region for MEC implementations.
  • Standard-setting bodies, vendors, and Mobile Network Operators (MNOs) communities are collaborating to expand the ecosystem with new products, applications, and monetization features that are expected to deliver future benefits.
  • Examples include RedCap radios, which reduce the cost of IoT devices for consumer wearables and industrial applications; network slicing for both mission-critical and on-demand applications; IMS data channels to increase monetization opportunities and enhance user experience; and Open APIs that enable developers to scale their applications across all MNOs, attracting the app development community.
  • Agentic AI is expected to change data traffic patterns and alter the duration that subscribers remain connected to the network as agents operate on their behalf. This could represent a paradigm shift in the future, requiring increased MCN capacity, expanded vendor opportunities, and enhanced monetization for MNOs through pricing tiers.

About the Report:

The Dell’Oro Group Mobile Core Network & Multi-Access Edge Computing Quarterly Report offers complete, in-depth coverage of the market with tables covering manufacturers’ revenue, shipments, and average selling prices for Traditional Packet Core, Evolved Packet Core, 5G Packet Core, Policy, Subscriber Data Management, Signaling, Circuit Switched Core, and IMS Core by geographic regions. To purchase this report, please contact us at [email protected].

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Related:  The second edition of Ookla and Omdia’s report on the global state of 5G Standalone core network confirms that the technology has moved beyond launch announcements into an execution-driven phase. By the close of 2025, the “coverage gap” between major economic blocs had narrowed, but a more consequential “capability gap” has emerged, reflecting divergent spectrum strategies, investment depth, and the extent to which operators have moved beyond baseline SA deployment toward end-to-end network optimization.

For government and regulatory bodies, 5G Standalone (SA) has evolved into a high-stakes strategic imperative. The intersection of national competitivenessdigital sovereignty, and AI readiness is fundamentally reshaping Capex priorities across Tier-1 markets.

Major policy frameworks—including the European Commission’s Digital Networks Act, the U.S. supply chain diversification initiatives, and China’s 5G-Advanced integration into its 15th Five-Year Plan—underscore that SA is no longer viewed as a simple RAN upgrade. Instead, it is being positioned as foundational national infrastructure critical to scaling AI workloads. This year’s report expands our analytical scope to address the technical and commercial maturity of the ecosystem. For the first time, our research provides deep-dive analysis on:
  • User Equipment (UE) Performance: Impact of 5G SA on battery life and the transition to Voice over New Radio (VoNR).
  • Application-Layer QoE: Benchmarking latency and jitter for cloud-native and gaming infrastructure.
  • Commercial Monetization: A review of the first commercial deployments of Network SlicingEnterprise SLAs, and 5G-Advanced (Release 18) segmentation.
  • Geopolitical Drivers: Assessing how sovereign AI strategies in the GCC and legislative shifts in Europe are dictating the global SA evolutionary path.

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5G Core network investment is accelerating as monetization transitions from concept to selective execution:

Omdia’s latest forecasts confirm the industry’s shift toward software-defined core capability as the primary driver of next-cycle investment. Global 5G SA core network software spending is projected to grow at an 8.8% CAGR between 2025 and 2030, with EMEA leading at 16.7%, significantly outpacing North America (5.5%) and Asia & Oceania (4.2%). This reflects EMEA’s later position in the deployment cycle, as the region is entering its period of peak 5G core adoption, while North America’s 5G core spending trajectory is expected to have peaked in 2025 following the commercial launches by AT&T and Verizon. By end of Q3 2025, 83 operators worldwide had deployed 5G core networks, with 5G core investment accounting for 63.6% of global core network function software spending.

5G Core Investment Accelerates Across Regions:

Other Highlights:
  • 5G SA availability based on Speedtest® sample share reached 17.6% in Q4 2025, up modestly from 16.2% a year earlier, indicating that roughly one in six 5G Speedtests worldwide now occurs on a 5G standalone network. The headline global median SA download speed of 269.51 Mbps represents a 52% premium over non-standalone networks, though this figure masks significant regional variation driven by spectrum allocation depth, carrier aggregation maturity, and user-plane engineering.
  • Asia leads in 5G availability: China continues to dominate with 80.9% 5G SA sample share and over 10 million 5G Advanced subscribers.
  • Globally, 5G SA connections delivered a 52% download speed premium to 5G NSA (mostly an artifact of rich spectrum allocation and lower network load) and improved median multi-server latency by over 6% compared to NSA. However, this year’s report finds that a standalone core migration alone does not guarantee a better end-user experience. Quality of experience analysis reveals a nuanced picture: SA improves video and cloud infrastructure latency in Europe versus NSA, but underperforms NSA for gaming latency within the same region. North America records the lowest absolute SA cloud and gaming latency, consistent with dense hyperscaler adjacency and mature interconnect ecosystems.
  • The Gulf Cooperation Council (GCC) was the global 5G SA performance leader, with the UAE setting the speed benchmark Led by e& and du’s aggressive 5G Advanced deployments, the delivered the world’s fastest 5G SA median download speeds in Q4 2025 at 1.13 Gbps, nearly five times that of Europe. The UAE alone reached a median of 1.24 Gbps on SA networks, a speed that would be considered exceptional even for full-fiber broadband in developed markets. The deployment of four-carrier aggregation and enhanced MIMO technology, coupled with the strategic allocation of premium mid-band spectrum to the SA network, demonstrates the performance ceiling that a fully realized 5G SA architecture can achieve.
  • South Korea followed at 767 Mbps, driven by wide 3.5 GHz channel bandwidth, with the U.S. at 404 Mbps following the completion of nationwide SA deployments by all three Tier-1 operators. Europe, at 205 Mbps, trails all developed regions, though the region’s SA networks still deliver a 45% download speed premium over NSA, confirming the performance value of the SA transition where material spectrum depth is allocated.

Europe’s 5G SA sample share more than doubled from 1.1% to 2.8% between Q4 2024 and Q4 2025, driven by accelerated deployments in Austria (8.7%), Spain (8.3%), the United Kingdom (7.0%), and France (5.9%). These four markets now account for the vast majority of European SA connections. The United Kingdom and France registered the strongest year-on-year acceleration in Europe, each gaining 5.3 percentage points, reflecting the impact of investment-linked merger conditions and competition in the United Kingdom, as well as targeted R&D policy support in France.

Among European markets, France (41ms to cloud endpoints), Austria (48ms), and Finland (50ms) demonstrate what is achievable where backbone quality, peering density, and routing discipline are strong. These outcomes reflect an underappreciated end-to-end network stack optimization dividend, encompassing data-center proximity, fiber backhaul depth, and user-plane topology, rather than a pure “SA dividend” alone.

However, Europe still trails North America by 27% and emerging Asia by 30%. At the global level, the U.S. remains the largest accelerator in absolute terms over the last year, with SA sample share rising 8.2 percentage points to 31.6% year-on-year, driven by the sequential rollout of SA across all Tier-1 operators beyond T-Mobile. Firmware fragmentation, where handset OEMs gatekeep SA network access pending individual carrier certification, and tariff structures that fail to incentivize migration from NSA, remain the primary barriers to faster European adoption.

The report also presents early evidence that battery life is a tangible consumer benefit of 5G SA. In the UK, devices on EE’s 5G SA network recorded median discharge times approximately 22% longer than those on 5G NSA, with O2 showing an 11% advantage. These gains likely stem from features like SA’s unified control plane, which eliminates the dual-connectivity overhead of NSA configurations.

Consumer strategies now span speed tiers (primarily Europe), 5G network slicing (Singapore, France, and the U.S.), and 5G Advanced segmentation packages (China). Enterprise 5G network slicing presents the much larger long-term revenue opportunity, with T-Mobile’s SuperMobile representing the first nationwide commercial B2B slicing service in the U.S. Countries with coordinated regulatory frameworks, implementing clear coverage obligations, investment incentives, or infrastructure consolidation policies with deployment remedies, consistently outperform those with fragmented or reactive approaches, reinforcing the report’s finding that policy has emerged as a primary competitive differentiator in 5G SA outcomes globally.

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References:

MCN Market Roared Back in 2025 With 15 Percent Growth, According to Dell’Oro Group

https://www.ookla.com/articles/5g-sa-2026

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

AT&T deploys nationwide 5G SA while Verizon lags and T-Mobile leads

Ericsson CEO’s strong statements on 5G SA, WRC 27, and AI in networks

Ookla: Uneven 5G deployment in Europe, 5G SA remains sluggish; Ofcom: 28% of UK connections on 5G with only 2% 5G SA

Ericsson reports ~flat 2Q-2025 results; sees potential for 5G SA and AI to drive growth

Téral Research: 5G SA core network deployments accelerate after a very slow start

Google Fiber and Nokia demo network slicing for home broadband in GFiber Labs

Analysts: Telco CAPEX crash looks to continue: mobile core network, RAN, and optical all expected to decline

Global 5G Market Snapshot; Dell’Oro and GSA Updates on 5G SA networks and devices

Dell’Oro: Mobile Core Network market has lowest growth rate since 4Q 2017

ABI Research: 5G network slicing market to hit $67.52 billion in 2030 with Asia Pacific in the lead

ABI Research forecasts that the global 5G network slicing market will surge from $6.1 billion in 2025 to $67.52 billion by 2030, reflecting a compound annual growth rate (CAGR) of 70%. This represents a sharp upward revision from its 2023 outlook, which projected a market value of $19.5 billion by 2028.

Editor’s Note: 5G network slicing, as  well as ALL 5G features and functions (including 5G Security) require a 5G Standalone (SA) core network, which up until recently had not been widely deployed.  Also, there are no ITU standards or recommendations for either 5G SA or 5G network slicing or any other 5G features/functions. Those are all specified by 3GPP, for example TS 23.501 5G Systems Architecture which includes network slicing.

In a recent blog post, Dimitris Mavrakis stated that the ABI’s revised forecast is driven by intensified monetization efforts from major network operators, including China Mobile, Deutsche Telekom and T-Mobile US, together with the growing installed base of 5G Standalone (SA)-capable smartphones. At the same time, he highlighted that progress is moderated by the proven complexity of integrating 5G SA cores and cloud-native tooling into existing telco network and IT environments.

ABI indicates that so-called “carpeted” industry verticals—like retail, stadiums, and financial services do not deal with mission- and safety-critical applications. Therefore, slicing deployments are more simplistic and provide a quicker Return on Investment (ROI) than in more demanding industry sectors such as oil and gas.  ABI says that industrial manufacturing will remain an important vertical for network slicing, albeit at a substantially slower growth rate than carpeted verticals.

The analysis further suggests that, for certain enterprises, network slicing delivered over public 5G infrastructure is becoming a more attractive option than 5G private networks, which introduces additional headwinds for the private networking market. While B2B use cases are expected to account for 64% of total network slicing market value by 2030, consumer applications are projected to be the single largest segment, contributing approximately $24.3 billion of revenue by the end of the period.

Table 1: Global Network Slicing Market Size by Vertical, 2025 to 2030 (Actual)

(Source: ABI Research)

Vertical 2025 2026 2027 2028 2029 2030
Agriculture 45,135,899 66,328,596 98,731,790 148,128,522 222,157,049 328,789,848
Financial Services 217,791,718 275,410,364 388,737,849 621,058,706 1,093,243,913 1,987,452,573
Healthcare 14,561,927 28,697,357 57,998,184 119,022,834 243,398,211 479,131,046
Industrial Manufacturing 1,452,821,565 2,023,282,530 2,847,646,002 4,004,402,345 5,606,270,988 7,757,917,818
Logistics 11,560,695 17,040,896 25,292,169 37,786,116 56,482,223 83,554,039
Oil, Gas and Mining 11,756,644 17,191,692 25,422,929 37,970,879 56,636,426 83,636,088
Retail 1,034,842,722 1,899,449,510 3,558,575,667 6,709,876,673 12,606,214,299 23,000,179,505
Stadiums 400,453,772 739,937,769 1,388,276,279 2,624,113,738 4,943,632,982 9,039,453,106
Transport & Infrastructure 95,806,113 130,032,226 177,039,581 241,545,146 329,148,966 444,482,638
Consumer 2,780,110,406 4,144,271,579 6,161,243,544 9,314,618,587 14,643,960,464 24,284,948,954
Grand Total 6,064,841,461 9,341,642,521 14,728,963,994 23,858,523,547 39,801,145,521 67,489,545,615

Asia-Pacific is, by far, the regional leader in the network slicing market, representing 91% of global revenue as of 2025. In this case, the Asia-Pacific opportunity is tied to China, which accounts for >95% of revenue in the region. China has been the most aggressive in terms of 5G Standalone (SA) deployments, making for a smooth transition to network slicing.

While Asia-Pacific will continue its market dominance, its global revenue share will drop to 73% as other regions catch up. North America will lag behind Europe and the Middle East & Africa for some time before taking the second spot in 2029.

ABI Research’s updated network slicing forecast reflects recent market trends, including telco rollouts, consumer device support, etc. The following was factored into our revised market update:

  • Integrating 5G SA and cloud-native tools into telco networks has proven more difficult than originally expected.
  • While penetrating the business sector has been challenging, mobile operators like China Mobile, T-Mobile USA, DT Germany, and others have begun monetizing network slicing services.
  • ABI’s methodology also factors in the maturity of SA-capable smartphones, which expands the consumer addressable market.

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References:

5G network slicing progress report with a look ahead to 2025

ABI Research: 5G Network Slicing Market Slows; T-Mobile says “it’s time to unleash Network Slicing”

Ericsson, Intel and Microsoft demo 5G network slicing on a Windows laptop in Sweden

Ericsson and Nokia demonstrate 5G Network Slicing on Google Pixel 6 Pro phones running Android 13 mobile OS

BT Group, Ericsson and Qualcomm demo network slicing on 5G SA core network in UK

Telstra achieves 340 Mbps uplink over 5G SA; Deploys dynamic network slicing from Ericsson

Samsung and KDDI complete SLA network slicing field trial on 5G SA network in Japan

Is 5G network slicing dead before arrival? Replaced by private 5G?

5G Network Slicing Tutorial + Ericsson releases 5G RAN slicing software

Network Slicing and 5G: Why it’s important, ITU-T SG 13 work, related IEEE ComSoc paper abstracts/overviews

Dell’Oro: RAN market stable, Mobile Core Network market +14% Y/Y with 72 5G SA core networks deployed

Téral Research: 5G SA core network deployments accelerate after a very slow start

Building and Operating a Cloud Native 5G SA Core Network

 

 

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