BELMONT, CA — May 26, 2026 — Exact Ventures recently published its Signaling Network Function (DSC and 5G Signaling) Market Share and Total Market Analysis for 1Q 2026.

The signaling market continues its long arc from legacy Diameter (DSC) infrastructure toward native 5G signaling functions. Diameter Signaling Controller revenue softened in 1Q26, with declines concentrated outside North America and Asia Pacific, while 5G signaling — spanning SCP, BSF, and SEPP network functions — grew year-over-year even amid a sequential pullback, reflecting both the maturity gap between the two markets and the early but accelerating buildout of native 5G SA signaling infrastructure. As the chart below illustrates, this generational transition — from SS7 through Diameter and toward native 5G signaling — has been reshaping the market for several years and is expected to accelerate through the forecast period.

Within DSC, the shift to software-based network functions continues steadily, with virtual and cloud-native (VNF/CNF) deployments now representing the large majority of TPS license sales — though CNF adoption itself remains in its early stages, constrained by the operational complexity of revamping supporting BSS/OSS systems. Within 5G signaling, SCP leads adoption as operators prioritize protection against signaling storms, topology simplification, and protocol normalization across multi-vendor networks. BSF and SEPP remain earlier-stage opportunities tied to longer-term catalysts — native 5G voice and the maturation of 5G roaming standards, respectively. As the second chart below shows, SCP currently dominates 5G signaling revenues, while BSF and SEPP are positioned for meaningful growth as 5G SA networks mature.

Signaling infrastructure, alongside subscriber data management, sits in a uniquely high-stakes position for operators: a single signaling failure can disrupt service network-wide, drawing immediate visibility and regulatory scrutiny. As operators continue investing in cloud-native readiness and 5G SA monetization, signaling will remain a critical, closely watched layer of the network.

How are vendors positioned across the Diameter-to-5G-Signaling transition, and which are best capturing early SCP, BSF, and SEPP opportunities? Our 1Q26 report breaks down vendor-by-vendor share across DSC and 5G Signaling (SCP/BSF/SEPP), by region, along with a full 5-year forecast through 2030.

For more information or to request the full report, contact:
Greg Collins
Exact Ventures
greg@exactventures.com