Asia-Pacific 5G Core Market Outlook and Forecast (2020-2035)
The Asia-Pacific 5G Core Market is experiencing rapid growth as the demand for advanced connectivity and industry digitization intensifies across the region. The market is driven by the widespread rollout of 5G networks, adoption of cloud-native core technologies, and increasing investments from telecom operators and governments. The core network’s role in enabling ultra-low latency, network slicing, and massive IoT connectivity is central to ongoing digital transformation in sectors like manufacturing, healthcare, automotive, retail, and energy.
Latest Market Dynamics
Key Drivers
- Accelerated 5G network deployments across major APAC countries, supported by government initiatives and spectrum auctions. For example, China Mobile continues aggressive expansion, investing in standalone 5G core infrastructure.
- Rising demand for industry automation and IoT connectivity, especially in manufacturing and healthcare verticals. For instance, Samsung is collaborating with smart factories in South Korea to deliver edge-powered 5G solutions.
Key Trends
- Increase in adoption of standalone (SA) 5G Core networks, enabling network slicing and ultra-reliable low latency communications. Huawei is leading deployments with SA rollouts in China and Southeast Asia.
- Integration of cloud-native and software-defined networking (SDN) technologies to enhance scalability and agility of 5G networks. Ericsson and Nokia are both accelerating NFV integration in APAC pilot projects.
Key Opportunities
- Expansion of 5G in underserved and rural regions, driven by public-private partnerships. Recent efforts by Jio in India and Globe in the Philippines highlight market entry opportunities.
- New revenue streams via tailored private 5G networks for enterprises, with players like NEC Corporation enabling customizable solutions for large campuses and industrial zones.
Key Challenges
- High initial capital expenditure and complexity for nationwide 5G Core deployments, especially for smaller operators. This challenge is faced by new entrants like Mavenir, pushing for open RAN models.
- Security and data privacy concerns, as the 5G Core becomes a critical control point for sensitive information. ZTE has boosted investment in security solutions for APAC mobile operators to address this.
Key Restraints
- Limited spectrum availability and regulatory uncertainties in certain countries, slowing the pace of 5G adoption. Regulatory issues have delayed expansion efforts for players like Rakuten Symphony in some Southeast Asian markets.
- Lack of skilled workforce and interoperability challenges due to diverse vendor ecosystems. Juniper Networks is addressing this by partnering with local universities for training programs.
Market Share by Type (2025)
Standalone (SA) and Non-Standalone (NSA) architectures dominate the APAC 5G Core Market landscape in 2025. Standalone implementations are gaining momentum as operators seek advanced network features such as network slicing and IoT management. Nonetheless, Non-Standalone networks maintain a significant presence, supporting legacy LTE infrastructures and initial 5G rollouts.
Market Share by Application (2025)
The manufacturing sector holds the largest share in the Asia-Pacific 5G Core Market by application in 2025, reflecting the region’s push for smart factories and industrial IoT. Healthcare follows closely due to the surge in remote diagnostics and telemedicine powered by 5G. Automotive applications, like autonomous vehicles and V2X communications, are also rapidly expanding.
Asia-Pacific 5G Core Market Revenue (2020-2035)
The Asia-Pacific 5G Core Market is projected to grow from USD 1,250 Million in 2020 to USD 18,650 Million by 2035. The roll-out of 5G coupled with increasing enterprise digitization and rising adoption of network virtualization solutions are key contributors. Year-on-year growth is expected to accelerate during 2025-2028, with the market maturing towards 2035 as standalone deployments dominate.
Asia-Pacific 5G Core Market YOY Growth (%) (2020-2035)
Year-on-year (YOY) growth for the Asia-Pacific 5G Core Market is robust in the early years, peaking at 42% in 2025 as initial 5G deployments escalate. Growth moderates to 26% by 2030 as the market matures, and further slows to 8% by 2035 as widespread adoption leads to stable expansion and lower incremental gains.
Market Share by Region (2025)
China commands the largest share of the Asia-Pacific 5G Core Market in 2025, reflecting major investments and nationwide 5G deployments. Japan and South Korea are prominent leaders, driven by advanced technological ecosystems and fast-tracked operator investments. India is emerging swiftly, with recent spectrum auctions and infrastructure deployment boosting its share.
Market Share by Players (2025)
Huawei leads the Asia-Pacific 5G Core Market with a significant share, owing to its dominant position and extensive operator partnerships. Ericsson and Nokia hold notable shares due to innovative solutions and regional collaborations. Samsung, ZTE and NEC Corporation follow, driving deployments in East and Southeast Asia. Market Share by Buyers (2025)
Telecom operators remain the primary buyers in the Asia-Pacific 5G Core Market, accounting for over half the total share. Large enterprises and government entities are increasingly significant buyers, leveraging private networks and enhanced connectivity. SMEs and system integrators are emerging, seeking to enable niche and localized 5G deployments.
Study Coverage
| Metrics | Details |
|---|
| Years | 2020-2035 |
| Base Year | 2025 |
| Market Size | Revenue (USD Million) |
| Regions | China, India, Japan, Taiwan, Vietnam, Philippines, Singapore, Australia, South Korea, Rest of APAC |
| Segments | By Type (Standalone, Non-Standalone), By Application (Manufacturing, Healthcare, Automotive, Retail, Energy & Utilities, Others), By Distribution Channels, By Technology, By Organization Size |
| Players | Huawei, Ericsson, Nokia, Samsung, ZTE, NEC Corporation, Cisco, Mavenir, Juniper Networks, HPE, Oracle, Affirmed Networks, Casa Systems, Athonet, Rakuten Symphony |
Key Recent Developments
- June 2024: Huawei partners with China Telecom to launch a new SA 5G core network for enterprise IoT applications.
- July 2024: Ericsson announces successful pilot with NTT Docomo for network slicing in Japan automotive sector.
- August 2024: Nokia secures deal with Singapore's M1 for full-scale 5G SA core deployment on cloud-native infrastructure.
- September 2024: NEC Corporation introduces advanced 5G security and analytics suite for the APAC market.
- October 2024: Samsung collaborates with SK Telecom on edge-enabled private 5G networks for smart manufacturing in South Korea.
