BELMONT, CA – March 3, 2025 – Exact Ventures has released its latest report on the global 5G Core (5GC) and Evolved Packet Core (EPC) market, highlighting significant trends and projections for the industry. In Q4 2024, the combined market grew by an impressive 37% sequentially due to seasonal spending patterns. However, year-over-year comparisons revealed an 11% decline, driven by a 19% drop in 5G Non-Standalone (NSA) revenues and a sharp 47% decrease in 4G EPC sales. Despite these challenges, 5G Standalone (SA) revenues increased by 28%, underscoring the growing importance of standalone networks.

For the full year of 2024, the total market contracted by 11%, finishing just under $3 billion. Key highlights include:

                  •               5G SA Growth: Revenues increased by 12%, accounting for 42% of the total market, up from 34% in 2023.

                  •               5G NSA Stability: Sales remained flat and represented approximately one-third of the market, up from 30% in the previous year.

                  •               4G EPC Decline: Revenues continued to fall and accounted for the remaining quarter of the market.

Challenges and Opportunities

The slower-than-expected growth of 5G SA core network functions can be attributed to economic pressures on operators’ business models and capital expenditures, a lack of compelling use cases, and barriers to deploying cloud-native infrastructure. Additionally, adapting existing processes to support cloud-native networks has proven time-consuming and costly. Despite these hurdles, operators face limited alternatives as they work to modernize their networks for long-term competitiveness.

2025 Market Outlook

Exact Ventures forecasts an 11% growth in the total market for 2025. Key projections include:

                  •               5G SA Revenues: Expected to grow by an impressive 28% and accounting for approximately 42% of total packet core network spending.

                  •               5G NSA Spending: Projected to peak with a year-over-year growth rate of 7%.

                  •               4G EPC Sales: Anticipated to reach $670 million as demand in developing regions such as Latin America, Africa, and Asia supports market stability.

The report emphasizes that operators must continue investing in cloud-native infrastructure to deploy standalone networks effectively. As emerging markets bolster demand for EPC solutions and advanced technologies like Massive IoT gain traction globally, Exact Ventures remains optimistic about sustained growth opportunities within the packet core network market.

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About Exact Ventures:

Exact Ventures is a market intelligence firm that provides in-depth analysis and strategic insights for the telecommunications and networking industries. With a focus on emerging technologies and market trends, Exact Ventures helps clients make informed decisions in rapidly evolving technology and communications markets.