5G Standalone Revenue Triples 4G Core at Same Stage of Tech Cycle, According to Dell'Oro Group
Escalating Hardware Costs Will Stretch Revenue Curve
REDWOOD CITY, Calif., July 29, 2026 /PRNewswire/ -- According to a recently published report from Dell'Oro Group, the trusted source for market information on the telecommunications, security, networks, and data center industries, carriers have spent 208 percent more on 5G Standalone (SA) than they had on 4G Core functions at the same point in the technology's lifecycle. However, 5G Mobile Core Network revenue growth is expected to slow over the next two years, as carriers put off transformation projects due to elevated server costs.
"The way the 3GPP standards unfolded created an offset between 5G RAN spending and the implementation of 5G SA," said Siân Morgan, Senior Director at Dell'Oro Group. "However, the complexity of the 5G SA is driving cumulative vendor revenues much higher than they were at the same stage in the LTE Evolved Packet Core (EPC) lifecycle.
"5G SA revenues have not yet peaked," Morgan added. "The majority of mobile network operators haven't made 5G SA services available to a broad base of their customers. Some operators are delaying core transformation projects because memory shortages are driving up server prices, but we expect double-digit 5G Mobile Core Network revenue growth to resume in 2028."
Additional highlights from Mobile Core Network and Multi-access Edge Computing 5-Year Forecast July 2026 Report include:
- EMEA (Europe, Middle East and Africa) will drive the most Mobile Core Network revenue over the next five years.
- Despite being superseded by 5G, 4G core revenue grew in 2025, and Dell'Oro Group raised the forecast for this market.
- AI will have a variable impact on mobile core networks, with opportunities for efficiency and revenue generation, alongside a risk of escalating costs.
The Dell'Oro Group Mobile Core Network & Multi-Access Edge Computing Quarterly Report offers complete, in-depth coverage of the market with tables covering manufacturers' revenue, shipments, and average selling prices for Traditional Packet Core, Evolved Packet Core, 5G Packet Core, Policy, Subscriber Data Management, Signaling, Circuit Switched Core, and IMS Core by geographic regions. To purchase this report, please contact us at [email protected].
Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, security, enterprise networks, and data center infrastructure markets. Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit https://www.delloro.com.
SOURCE Dell'Oro Group
Share this article