The Mobile Core Network (MCN) market growth slides downhill to minus percent year-over-year (Y/Y) in 4Q 2024, according to a new report from Dell’Oro Group. The market ended 2024 with -4 percent Y/Y growth rate, driven by 15 percent decline in the China market for 4Q 2024.
“The market has struggled to gain traction in the last three years, with three of the four quarters having flat or negative Y/Y growth rates. In 2024, we saw the lowest at -4 percent Y/Y. However, the results for 2024 were not balanced across the technologies we track—while Signaling and Wireless Packet Core revenues were down, Policy, Subscriber Data Management, and IMS Core revenues were up Y/Y,” stated Dave Bolan, Research Director at Dell’Oro Group. “On a regional basis, China’s growth rate was negative, and to a lesser extent, the worldwide market (excluding China) was also negative. However, both market areas are projected to return to positive growth in 2025.
“We remain cautiously optimistic about 2025, as more 5G Standalone (5G SA) networks are projected to launch than in 2024, and more subscribers continue to migrate to the existing 5G SA networks. Additionally, voice networks look to be returning to growth, with more IMS Core networks being implemented as Circuit Switched Core networks are phased out, plus new voice over New Radio (VoNR) networks are introduced,” added Bolan.
Additional highlights from the 4Q 2024 Mobile Core Network and Multi-Access Edge Computing Report include:
- The 5G MCN market is expected to fuel the uptick in growth with an accelerating growth rate in 2025.
- The MEC market is expected to continue growing in 2025, though at a decelerating growth rate.
- Top vendor rankings remain unchanged in 2024: Huawei, Ericson, Nokia, and ZTE.
