Core Network Equipment Global Market Report 2026

Core network equipment refers to the combination of hardware and software systems that constitute the central backbone of communication networks, responsible for handling key functions including data routing, switching, subscriber authentication, traffic management, and service delivery across mobile, fixed-line, and IP-based networks. Its role is to provide secure, dependable, and high-speed connectivity while enabling smooth communication between end users, devices, and external network systems.

The primary components of core network equipment include hardware, software, and services. Hardware refers to the physical networking infrastructure and devices used to enable core network operations. Key deployment models include on-premise, cloud-native, and hybrid approaches, while enterprise sizes are categorized into small and medium enterprises and large enterprises. Applications cover broadband aggregation, mobile backhaul, data center interconnect (DCI), cloud connectivity, voice and video services, and enterprise virtual private network (VPN) services. Key end users include telecommunications service providers, internet service providers (ISPs), managed service providers, cloud and content providers, and enterprises.

Tariffs are affecting the telecom core network equipment sector by increasing the cost of telecom-grade hardware, semiconductor components, and networking equipment, which in turn raises capital expenditure requirements for service providers and slows down infrastructure deployment timelines. Manufacturing centers in Asia-Pacific as well as import-dependent regions such as Europe and Latin America are experiencing the strongest effects, with critical components like routers, switches, and transmission systems facing disruptions due to reliance on globally distributed supply chains. These pressures have delayed the expansion of 5G networks and IP core upgrades, while also affecting broader service rollout plans. On the positive side, tariffs are encouraging the development of regional manufacturing bases, localized assembly operations, and diversified sourcing strategies, thereby enhancing domestic production strength and accelerating progress in software-driven and cost-optimized networking technologies.

The core network equipment market research report is one of a series of new reports from The Business Research Company that provides core network equipment market statistics, including core network equipment industry global market size, regional shares, competitors with a core network equipment market share, detailed core network equipment market segments, market trends and opportunities, and any further data you may need to thrive in the core network equipment industry. This core network equipment 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 core network equipment market size has grown strongly in recent years. It will grow from $26.44 billion in 2025 to $28.27 billion in 2026 at a compound annual growth rate (CAGR) of 6.9%. The growth in the historic period can be attributed to legacy circuit-switched infrastructure dominance, limited network virtualization adoption, hardware-centric core network architecture dependence, fragmented subscriber management systems, manual network provisioning processes.

The core network equipment market size is expected to see strong growth in the next few years. It will grow to $37.29 billion by 2030 at a compound annual growth rate (CAGR) of 7.2%. The growth in the forecast period can be attributed to cloud-native core network migration acceleration, increased 5g standalone core deployments, rising adoption of network automation and orchestration platforms, expansion of edge-core convergence architecture, growing demand for ultra-low latency and high-capacity connectivity. Major trends in the forecast period include virtualized network functions (vnf) adoption in core networks, software defined networking (sdn) driven centralized control of traffic flows, cloud-native telecom core transformation using containerized architectures, network slicing enabled differentiated service delivery for 5g and beyond, subscriber authentication and policy management modernization for secure connectivity.

The rising demand for high-speed data transmission is expected to propel the growth of the core network equipment market going forward. High-speed data transmission refers to the rapid transfer of large volumes of data across communication networks with minimal latency and high reliability. The demand for high-speed data transmission is rising due to the rapid growth of data-intensive digital services, which require faster and more reliable data transfer to ensure seamless performance and low latency. Core network equipment supports high-speed data transmission by enabling efficient data routing, network scalability, and enhanced bandwidth management across telecom infrastructures. For instance, in May 2025, according to the Federal Communications Commission, a US-based government agency, as of December 2024, approximately 110 million homes and small businesses, representing 95% coverage, had access to terrestrial fixed broadband services offering speeds of 100 Mbps download and 20 Mbps upload or higher, reflecting an increase of nearly one million locations compared with June 2024. Therefore, the rising demand for high-speed data transmission is driving the growth of the core network equipment market.

Leading companies operating in the core network equipment market are focusing on technological advancements in 5G core network technologies, such as cloud-native standalone (SA) core architectures with service-based interfaces, to improve network scalability, enable ultra-low latency communication, and support advanced use cases including network slicing and edge computing. Cloud-native standalone core architectures with service-based interfaces refer to next-generation core network frameworks that decompose network functions into microservices, enabling dynamic orchestration, containerized deployment, and real-time communication between network functions through APIs to enhance flexibility and performance. For example, in May 2024, Ericsson, a Sweden-based telecommunications company, collaborated with XL Axiata, an Indonesia-based mobile telecommunications services operator, to introduce its dual-mode 5G Core solution, which enables full cloud-native deployment with containerized network functions, incorporates built-in network slicing capabilities for differentiated service delivery, and supports service-based architecture (SBA) with API-driven communication to improve scalability and interoperability across telecom networks.

In June 2023, Hewlett Packard Enterprise, a US-based provider of edge-to-cloud enterprise solutions, completed the acquisition of Athonet for an undisclosed sum. Through this acquisition, Hewlett Packard Enterprise seeks to strengthen its 5G core network portfolio by incorporating Athonet's mobile core technology, facilitating the deployment of cloud-native and private core network solutions. Athonet is an Italy-based provider of mobile core network software tailored for private LTE and 5G core network deployments across various industries.

Major companies operating in the core network equipment market are Samsung Electronics Co. Ltd., Huawei Technologies Co. Ltd., International Business Machines Corporation, Cisco Systems Inc., Oracle Corporation, Broadcom Inc., Hewlett Packard Enterprise Company, Fujitsu Limited, Ericsson AB, NEC Corporation, Nokia Corporation, ZTE Corporation, Arista Networks Inc., FiberHome Telecommunication Technologies Co. Ltd., Ciena Corporation, F5 Inc., Ubiquiti Inc., Extreme Networks Inc., Viavi Solutions Inc., Calix Inc., NetScout Systems Inc., Himachal Futuristic Communications Limited, Aviat Networks Inc., Ceragon Networks Ltd., Gilat Satellite Networks Ltd.

North America was the largest region in the core network equipment market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the core network equipment market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the core network equipment market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The core network equipment market consists of revenues earned by entities by providing services such as network design and integration, installation and deployment, managed network services, maintenance and technical support, software upgrades, network optimization, cybersecurity services, consulting, cloud migration support, and training services. The market value includes the value of related goods sold by the service provider or included within the service offering. The core network equipment market also includes sales of servers, processors, switching equipment, and network infrastructure systems. 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 that 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.

Core Network Equipment 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 core network equipment 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.

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Where is the largest and fastest growing market for core network equipment ? 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 core network equipment 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.

• The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
• The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
• The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
• The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
• The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
• The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
• Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.

Scope

• Markets Covered:1) By Component: Hardware; Software; Services
• 2) By Deployment Model: On-Premise; Cloud-Native; Hybrid
• 3) By Enterprise Size: Small And Medium Enterprises; Large Enterprises
• 4) By Application: Broadband Aggregation; Mobile Backhaul; Data Center Interconnect (DCI); Cloud Connectivity; Voice And Video Services; Enterprise Virtual Private Network (VPN) Services
• 5) By End User: Telecommunications Service Providers; Internet Service Providers (ISP); Managed Service Providers; Cloud And Content Providers; Enterprises
• Subsegments:
• 1) By Hardware: Routers; Switches; Gateways; Servers; Transmission Equipment
• 2) By Software: Network Management Software; Virtualization Software; Routing Software; Traffic Management Software; Security Software
• 3) By Services: Installation Services; Integration Services; Maintenance Services; Managed Services; Consulting Services
• Companies Mentioned: Samsung Electronics Co. Ltd.; Huawei Technologies Co. Ltd.; International Business Machines Corporation; Cisco Systems Inc.; Oracle Corporation; Broadcom Inc.; Hewlett Packard Enterprise Company; Fujitsu Limited; Ericsson AB; NEC Corporation; Nokia Corporation; ZTE Corporation; Arista Networks Inc.; FiberHome Telecommunication Technologies Co. Ltd.; Ciena Corporation; F5 Inc.; Ubiquiti Inc.; Extreme Networks Inc.; Viavi Solutions Inc.; Calix Inc.; NetScout Systems Inc.; Himachal Futuristic Communications Limited; Aviat Networks Inc.; Ceragon Networks Ltd.; Gilat Satellite Networks Ltd.
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain
• Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time Series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data Segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
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