PUBLISHER: The Business Research Company | PRODUCT CODE: 2009730
PUBLISHER: The Business Research Company | PRODUCT CODE: 2009730
Packet core represents the central segment of a mobile telecommunications network responsible for controlling data flow, managing subscriber sessions, authenticating users, and connecting access networks to external systems. It enables delivery of voice, data, and multimedia services across mobile infrastructures. This core architecture underpins advanced network technologies including next generation mobile standards.
The primary components of packet core include hardware, software, and services. Hardware comprises the physical infrastructure that supports core network operations for managing and routing data packets. Technologies include traditional packet core, virtualized evolved packet core, and cloud native packet core. Deployment modes consist of cloud based, on premise, and hybrid solutions, supporting Internet of Things IoT and machine to machine M2M networks, mobile private networks MPN, mobile virtual network operators MVNO, broadband wireless access BWA, LTE, Voice over LTE VoLTE, Voice over WiFi VoWiFi, 5G non standalone core, and 5G standalone core. End users include telecom operators, enterprises and industrial verticals, government and public safety agencies, cloud service providers, and mobile virtual network enablers MVNE or MVNO.
Tariffs on imported networking equipment, core routers, and packet gateways are affecting the packet core market by increasing procurement and production costs, particularly for hardware and NFV software components. Regions like North America and Europe, which depend on imported components, are most impacted, affecting telecom operators and cloud service providers. While tariffs increase costs and can delay deployments, they also encourage local manufacturing, development of cost-optimized solutions, and supply chain diversification, which may improve long-term market resilience and innovation.
The packet core market research report is one of a series of new reports from The Business Research Company that provides packet core market statistics, including packet core industry global market size, regional shares, competitors with a packet core market share, detailed packet core market segments, market trends and opportunities, and any further data you may need to thrive in the packet core industry. This packet core market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The packet core market size has grown strongly in recent years. It will grow from $13.08 billion in 2025 to $14.17 billion in 2026 at a compound annual growth rate (CAGR) of 8.3%. The growth in the historic period can be attributed to growing adoption of 4g and lte networks, increasing mobile data traffic, expansion of telecom infrastructure, rising demand for high-speed mobile connectivity, and development of core network hardware and software solutions.
The packet core market size is expected to see strong growth in the next few years. It will grow to $19.67 billion in 2030 at a compound annual growth rate (CAGR) of 8.6%. The growth in the forecast period can be attributed to rapid rollout of 5g networks, increasing virtualization and cloud adoption in telecom, growing demand for iot and m2m connectivity, rising deployment of mobile private networks and mvnos, and increasing adoption of sa and nsa 5g core. Major trends in the forecast period include rising adoption of cloud-native packet core solutions, increasing deployment of virtualized evolved packet core (vepc), growing focus on network function virtualization (nfv) and sdn integration, expansion of 5g standalone (sa) and non-standalone (nsa) core networks, increasing demand for managed core network services.
The increasing adoption of 5G networks is expected to propel the packet core market in the coming years. 5G networks are fifth generation wireless systems that provide high speed data, low latency, and reliable connectivity to support advanced applications such as internet of things, autonomous systems, and immersive media. Adoption is expanding due to demand for faster speeds, minimal latency, and enhanced connectivity for emerging technologies. Packet core solutions manage data traffic, route connections, and ensure seamless communication between devices and applications while supporting network slicing and high speed data transfer. In December 2024, 5G Americas stated that global 5G connections surpassed 2 billion by the third quarter of 2024, reflecting a 48 percent year on year increase. Therefore, the increasing adoption of 5G networks is driving the growth of the packet core market.
Prominent companies in the packet core market are focusing on developing compact and cloud native packet core solutions such as pre configured lifecycle automation to simplify software upgrades, enhance reliability, and support 5G Standalone deployments. Pre configured lifecycle automation enables operators to automatically install, configure, and upgrade core network software with minimal manual intervention, reducing operational complexity and downtime. For instance, in December 2024, Telefonaktiebolaget LM Ericsson, a Sweden based telecommunications equipment company, launched Compact Packet Core integrating control plane and user plane functions with preset parameters and automation tools. The solution improves scalability and network performance, enabling operators to deploy 5G Standalone, increase regional capacity, and manage upgrades centrally while maintaining telecom grade reliability.
In March 2025, Telefonaktiebolaget LM Ericsson, a Sweden based telecommunications company, partnered with Econet Wireless Zimbabwe Limited to support deployment of fifth generation standalone networks, expand core network capacity, and enable service exposure functionality. Through this collaboration, Ericsson and Econet plan to modernize Econet mobile core network by deploying Ericsson fifth generation packet core, improving scalability and operational efficiency, and enabling new service and revenue opportunities through application programming interface exposure. Econet Wireless Zimbabwe Limited is a Zimbabwe based mobile network operator that manages packet core networks to deliver fourth generation and fifth generation services to subscribers.
Major companies operating in the packet core market are Samsung Electronics Co. Ltd., Huawei Technologies Co. Ltd., IBM Corporation, Cisco Systems Inc., Intel Corporation, Ericsson AB, NEC Corporation, Nokia Corporation, ZTE Corporation, Tech Mahindra Limited, Mavenir Systems Inc., Parallel Wireless Inc., Casa Systems Inc., Affirmed Networks Inc., Telrad Networks Ltd., Tecore Networks, Druid Software Ltd., IPLOOK Technologies Co. Ltd., Cumucore Oy, and Athonet S.p.A.
North America was the largest region in the packet core market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the packet core market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the packet core market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The packet core market consists of revenues earned by entities by providing services such as mobile data management, network traffic routing, subscriber session management, and core network virtualization services. The market value includes the value of related goods sold by the service provider or included within the service offering. The packet core market also includes sales of products, including core network routers, gateways, packet gateways, and network function virtualization (NFV) tools. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Packet Core Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses packet core market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for packet core ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The packet core market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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