Virtualized Evolved Packet Core Market by Component (Services, Solutions), Network (4G Network, 5G Network), Deployment Mode, End-User - Global Forecast 2024-2030

Virtualized Evolved Packet Core Market by Component (Services, Solutions), Network (4G Network, 5G Network), Deployment Mode, End-User - Global Forecast 2024-2030

The Virtualized Evolved Packet Core Market size was estimated at USD 9.00 billion in 2023 and expected to reach USD 10.26 billion in 2024, at a CAGR 14.45% to reach USD 23.16 billion by 2030.

The virtual evolved packet core(vEPC) refers to the framework for virtualizing the functions of the evolved packet core (EPC), which has traditionally been utilized in LTE networks. By harnessing the principles of network functions virtualization (NFV), vEPC enables the core network functions to be run on generic servers rather than on specialized hardware, allowing for greater scalability, flexibility, and efficiency in the management and deployment of network services. Government initiatives to achieve digitalization capabilities in diverse industrial sectors, including telecommunication and network infrastructure, are also gaining traction. However, complexities in integrating vEPC with existing mobile core and back office systems and the possibility of privacy breaches and loss of data security pose hurdles to the widespread adoption of the technology. However, major players are continuously exploring the integration of new technologies such as AI, Ml, and IoT to overcome regulatory and technical challenges. Furthermore, the proliferation of 4G LTE networks and the transition towards 5G can provide new avenues of growth for the industry. With the ability to provide higher throughput, lower latency, and massive device connectivity, 5G deployment serves as a major driver for widening applications of vEPC technology.

Regional Insights

North America, being a developed market, witnesses higher use and production of virtually evolved packet cores (vEPC), primarily due to advanced technology implementations and dense network infrastructures. Compatibility with 4G LTE and 5G networks has increased vEPC's popularity in the region. Major telecom companies actively involved in vEPC are based in the U.S. and Canada, and South America exhibits a growing trend for vEPC. Asia exhibits a dynamic picture of vEPC use, with rapidly growing economies such as India and China witnessing huge demand due to massive mobile data consumption and infrastructure development. A significant penetration rate of 4G and impending 5G adoption are driving up the vEPC market in the region. Countries such as Japan and South Korea are leading in production capabilities, with some regional companies at the forefront. In Europe, vEPC is extensively utilized due to the proliferation of LTE networks and the emphasis on network virtualization. High-end smartphone usage and the rising need for high-speed data are contributing factors. Western Europe, especially the UK, Germany, and France, show high production rates with the government spearheading the 5G initiative. The rise in data traffic, IoT proliferation, and the advent of 5G are factors encouraging companies to invest heavily in vEPC solutions in the Middle East & Africa.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Virtualized Evolved Packet Core Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

• Growing investments in the digitalization of industries
• Increasing consumer demand for faster networks worldwide

Market Restraints

• Complexities in integrating vEPC with existing mobile core and back office systems

Market Opportunities

• Continuous improvements in virtualized evolved packet core technologies
• Rising commercialization of 5G network across economies

Market Challenges

• Rising security and data privacy concerns

Market Segmentation Analysis

• Component: Adoption of various vEPC solutions to improve network reliability
• Network: Rising utility of vEPC in advanced 5G networks
• Deployment: Rising requirement for cloud deployment of vEPC to achieve scalability and flexibility in business operations
• End-User: Ongoing R&D initiatives and expansion activities to provide optimum vEPC services to telecom operators

Market Disruption Analysis

• Porter’s Five Forces Analysis
• Value Chain & Critical Path Analysis
• Pricing Analysis
• Technology Analysis
• Patent Analysis
• Trade Analysis
• Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Virtualized Evolved Packet Core Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Virtualized Evolved Packet Core Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Microsoft Launches Azure Operator Nexus 5G Cloud Platform

Microsoft launched its Azure Operator Nexus platform to support 5G telecom services. This platform, specifically designed for operators, provides a pre-validated telecom infrastructure that spans from the cloud to the edge. With the Azure Operator Nexus platform, operators can leverage Microsoft's advanced technology to deliver efficient and reliable telecom services.

HPE Completes Acquisition of Private 5G Company Athonet

HPE finalized the acquisition of Athonet, a provider of Virtualized Evolved Packet Core (EPC) technology and private 5G solutions. This integration enables HPE to offer more streamlined deployment options for private 5G networks to telecommunications companies and enterprises. Moreover, including Athonet further solidifies HPE's presence in wireless connectivity, empowering telcos to explore new avenues for generating revenue and facilitating the swift deployment of private cellular networks.

Mavenir Raises USD 100 Million of Capital to Accelerate Investments in Strategic Growth Products

Mavenir, a network software provider, has recently concluded a successful capital raise, securing USD 100 million in funding. The infusion of capital further supports Mavenir's innovative approach to digitizing telco networks by utilizing cloud-native applications, including IMS, Converged Packet Core, and Open RAN. The financing round was led by Siris, a technology-focused private equity firm and Mavenir's equity holder. Additionally, Mavenir received a strategic investment from two ecosystem partners, further solidifying their position in the industry. This funding aims to empower Mavenir to continue developing cutting-edge solutions and driving advancements within the telecommunications sector.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Virtualized Evolved Packet Core Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Virtualized Evolved Packet Core Market, highlighting leading vendors and their innovative profiles. These include Athonet S.r.l. by Hewlett Packard Enterprise Company, Cisco Systems, Inc., Cumucore Oy, Druid Software, F5, Inc., Huawei Technologies Co., Ltd., Intel Corporation, IPLOOK Technologies, Juniper Networks, Inc., LEMKO Corporation, Mavenir Systems, Inc., Microsoft Corporation, NEC Corporation, Nokia Corporation, Parallel Wireless, Inc., Polaris Networks by Motorola Solutions, Inc., Radisys Corporation by Jio Infocomm Limited, Red Hat, Inc. by International Business Machines Corporation, Samsung Electronics Co., Ltd., Tech Mahindra Limited, Tecore Inc., Telefonaktiebolaget LM Ericsson, Telrad Networks by Cassava Technologies, VMware, Inc., and ZTE Corporation.

Market Segmentation & Coverage

This research report categorizes the Virtualized Evolved Packet Core Market to forecast the revenues and analyze trends in each of the following sub-markets:

Component

• Services
• Consulting
• Integration & Deployment
• Managed Services
• Professional Services
• Training & Support
• Solutions
• HSS
• MME
• PDN-GW
• S-GW
• Network
• 4G Network
• 5G Network
• Deployment Mode
• Cloud
• On-Premises
• End-User
• Enterprises
• Telecom Operators

Region

• Americas
• Argentina
• Brazil
• Canada
• Mexico
• United States
• California
• Florida
• Illinois
• New York
• Ohio
• Pennsylvania
• Texas
• Asia-Pacific
• Australia
• China
• India
• Indonesia
• Japan
• Malaysia
• Philippines
• Singapore
• South Korea
• Taiwan
• Thailand
• Vietnam
• Europe, Middle East & Africa
• Denmark
• Egypt
• Finland
• France
• Germany
• Israel
• Italy
• Netherlands
• Nigeria
• Norway
• Poland
• Qatar
• Russia
• Saudi Arabia
• South Africa
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year