5G Network Slicing Market Size Worth $4,829.3 Million By 2030

5G Network Slicing Market Growth & Trends

The global 5G network slicing market size is expected to reach USD 4,829.3 million by 2030, growing at a CAGR of 43.0% from 2023 to 2030, according to a new report by Grand View Research, Inc. 5G network slicing technology enables mobile network operators (MNOs) to make numerous virtual networks within a single physical infrastructure, providing increased flexibility, resource utilization, efficiency, and better user experiences. The growing need for flexible and tailored 5G networks that can cater to the various necessities of different industries is increasing the demand for 5G network slicing.

The need for 5G network slicing is expected to rise as the Internet of Things (IoT) becomes more widely used to enable communication between connected devices and sensors. Service providers can make sure that IoT devices have the resources and QoS they need to function effectively by designing special network slices. The market for 5G network slicing is anticipated to grow in the future years owing to the rising demand for IoT devices and applications.

Key market players are collaborating to develop network slicing solutions. For instance, in March 2022, Telefonaktiebolaget LM Ericsson and Vodafone Group plc announced a successful demonstration of the U.K.’s first 5G standalone network slicing trial in a joint lab. The network slicing is expected to offer dedicated performance and create on-demand 5G connectivity for enterprises and consumers.

The COVID-19 pandemic has had a mixed impact on the deployment of 5G network slicing. The pandemic highlighted the need for resilient and flexible networks to support remote work, education, and healthcare, which has increased the demand for 5G network slicing in some areas. Whereas, on the other hand, the pandemic disrupted global supply chains and slowed down the deployment of 5G networks in some regions. This has resulted in delays in the adoption of 5G network slicing in those areas.

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5G Network Slicing Market Report Highlights

• The solutions segment dominated the market in 2022 and is expected to witness significant growth over the forecast period. The growth can be attributed to the growing demand for network slicing solutions to support various 5G services such as massive machine-type communication (mMTC), ultra-reliable low-latency communication (URLLC), enhanced mobile broadband (eMBB), and Vehicle-to-Everything (V2X)

• The end-to-end slicing segment dominated the market in 2022 and is expected to witness significant growth over the forecast period. Increasing demand for uniform network connectivity to cater to various use cases is surging the demand for end-to-end network slicing

• The standalone segment is predicted to grow significantly during the forecast period. The standalone 5G network architecture has better performance as compared to non-standalone 5G network architecture which is driving the segment growth. Moreover, several players have started deploying standalone 5G networks, which is expected to propel the market growth

• Cloud-native architecture is expected to witness significant growth over the forecast period. Some key benefits of cloud-native architecture in 5G Network Slicing include improved scalability, faster time-to-market, better resource utilization, and improved reliability and resiliency. These benefits offered by cloud-native architecture are expected to drive the segment’s growth

• The transportation & logistics segment is expected to dominate the market in 2022. The segment's growth can be attributed to the growing demand for 5G network slicing for applications such as logistics optimization, fleet management, traffic management, and autonomous vehicles

• Asia Pacific is expected to dominate over the forecast period. The region's growth can be attributed to the early implementation of 5G technology, thereby increasing the adoption of network slicing services. Moreover, key players in the region are entering into strategic partnerships and agreements to jointly collaborate on the development of 5G network slicing solutions, which is expected to aid the growth

5G Network Slicing Market Segmentation

Grand View Research has segmented the global 5G network slicing market based on component, type, network architecture, vertical, and region:

5G Network Slicing Component Outlook (Revenue, USD Million, 2020 - 2030)

• Solutions

• Services

  • Managed Services

  • Professional Services

5G Network Slicing Type Outlook (Revenue, USD Million, 2020 - 2030)

• RAN Slicing

• Edge Slicing

• End-to-End Network Slicing

5G Network Slicing Network Architecture Outlook (Revenue, USD Million, 2020 - 2030)

• Standalone 

• Non-standalone

5G Network Slicing Vertical Outlook (Revenue, USD Million, 2020 - 2030)

• Manufacturing

• Healthcare

• Smart Cities

• Transportation & Logistics

• Energy & Utilities

• Media & Entertainment

• Retail

• Others (Financial Services, Public Safety, IT & Telecom, Others)

5G Network Slicing Regional Outlook (Revenue, USD Million, 2020 - 2030)

• North America

  • U.S.

  • Canada

• Europe

  • U.K.

  • Germany

  • France

• Asia Pacific

  • China

  • India

  • Japan

  • Australia

  • South Korea

• Latin America

  • Brazil

  • Mexico

• Middle East & Africa

  • Kingdom of Saudi Arabia (KSA)

  • UAE

  • South Africa

List of Key Players in the 5G Network Slicing Market

• AT&T, Inc.

• Verizon Communications, Inc.

• Telefonaktiebolaget LM Ericsson

• Nokia Corporation

• Huawei Technologies Co., Ltd.

• Cisco Systems, Inc.

• Deutsche Telekom AG

• Amdocs, Inc.

• Vodafone Group plc

• ZTE Corporation