5G Public Cloud Market Size, Share, Opportunities, And Trends By Software (5G Core, IMS Core, VRAN), By Infrastructure (Servers, Storage), By Deployment (Non-Standalone, Standalone), And By Geography - Forecasts From 2023 To 2028

The global 5G public cloud market is expected to grow at a CAGR of 65.96% from US$392.273 million in 2022 to US$8,196.957 million in 2028.

GROWTH DRIVERS

• 5G standalone networks Deployment

The potential of 5G is exciting, offering new possibilities like reduced latency, higher bandwidth, and faster mobility. Communication Service Providers (CSPs) transitioning to 5G standalone (SA) core on the cloud must adapt their network operations, go-to-market strategies, and service delivery. Many providers are still deciding how to collaborate with large cloud companies, especially in utilizing the public cloud as a base for 5G SA deployments and harnessing hyper-scale infrastructure for expanded network coverage. Moreover, building ecosystems and partnerships is crucial for CSPs to provide dynamic network infrastructure benefits to their enterprise customers.

For instance:

• In September 2021, Anritsu revealed its introduction of 5G Standalone Network Service Assurance in the AWS public cloud. This innovation comes as a result of Anritsu's collaboration with both its Mobile Network clients and AWS. Together, they have presented a solution that facilitates the complete implementation of Service Assurance systems within the public cloud. Anritsu remains committed to investing in advancement and supporting its clients in achieving their 5G Standalone investments, continuing to partner with them as they embark on this exciting venture into the realm of the public cloud.
• In June 2021, Nokia made an exciting announcement, revealing its plan to implement its 5G Standalone (SA) Core on Amazon Web Services, Inc. (AWS) for DISH. Although DISH had previously disclosed agreements with both companies, this development stands as a groundbreaking achievement, marking the world's first instance of 5G deployment in the public cloud. This deployment is designed to bolster DISH's cloud-native, OpenRAN-based 5G network, ensuring scalability, top-notch performance, and enhanced security. Nokia's deployment of the 5G SA Core on AWS aims to introduce the necessary automation to meet the ever-evolving needs of its customers.

Unabated rise in adoption of advanced technologies  

The increasing adoption of cutting-edge technologies like big data, artificial intelligence (AI), and machine learning (ML), among others, is poised to expedite the demand for 5G cloud services. These innovative technologies are revolutionizing the landscape by aiding users in the oversight, analysis, and representation of raw data. Incorporating these emerging technologies in tandem with cloud-based solutions would empower businesses to enhance their data visualization capabilities and simplify the accessibility and usability of intricate data sets.

In September 2023, Ericsson and Google Cloud extended their fruitful partnership with the introduction of their Cloud RAN offering. This collaborative solution incorporates advanced automation and orchestration techniques, leveraging artificial intelligence (AI) and machine learning (ML). It empowers communications service providers (CSPs) with accelerated service deployment, heightened operational efficiency, and enhanced prospects for flexibility and optimization within their network infrastructure.

In September 2022, Mavenir unveiled a significant development, announcing the seamless integration of cloud-native 5G solutions with public cloud infrastructure on Google Cloud. This expansion aligns with Mavenir's overarching "One Network, Any Cloud All Software" strategy. The partnership between Mavenir and Google Cloud enables Communication Service Providers (CSPs) to effectively implement Mavenir's 5G offerings and applications using Google Cloud's scalable infrastructure, container deployment capabilities, management technologies, and robust big data analytics services.

In June 2023, Amazon Web Services, Inc. (AWS) introduced a new initiative aimed at aiding customers in the efficient development of generative AI solutions known as the AWS Generative AI Innovation Centre. This initiative involves collaborating AWS's machine learning (ML) and AI experts with clients worldwide to support the conceptualization, development, and implementation of innovative generative AI products, services, and processes.

INCREASING NUMBER OF 5G MOBILE SUBSCRIPTIONS

The market growth is primarily driven by the increasing demand for 5G mobile subscriptions and the penetration of smartphones worldwide. The surge in mobile subscriptions is significantly propelling the growth of the public cloud market. As more enterprises embrace mobile devices and access cloud-based services, demand for cloud infrastructure and services soars.

According to the Ericsson 2023 Mobility Report, the global landscape is witnessing a robust surge in 5G mobile subscriptions, with projections indicating that they will surpass 1.5 billion by the close of 2023. The data also reveals as of 2022, 950 million mobile subscriptions reached and the momentum continues to build, with a significant addition of 125 million 5G subscriptions during the first quarter of 2023, bringing the total to 1.1 billion worldwide.

EMERGING OPPORTUNITIES IN THE 5G Public Cloud Market

Multicloud Infrastructure

Multicloud has emerged as the prevailing trend in corporate technology. Over recent years, the term "cloud" has become almost synonymous with IT, as businesses aim to attain greater flexibility and operational efficiency through this technology. With cloud services playing a pivotal role in business achievements, organizations are increasingly focused on gaining a competitive edge through their cloud strategies. Opting for a single cloud provider is no longer considered the most advantageous choice. Instead, the primary goal is to access the best-in-class services. As companies encountered new challenges like heightened remote work and collaborations with new partners and suppliers, they adopted a multi-cloud approach to acquire the flexibility and scalability needed to address this evolving landscape.

5G standalone (SA) core on cloud

The deployment of a 5G standalone (SA) core on the cloud involves core network functions conforming to 3GPP 5G standards. Deploying this cloud-native 5G standalone core (5GC) on multi-cloud platforms unlocks opportunities for broader ecosystem innovation, facilitates ongoing software updates, and enables quick scalability to meet on-demand requirements. This approach is underpinned by increased resilience and security. Communication service providers (CSPs) can gain advantages by deploying their core on a hyper scaler's cloud infrastructure, leveraging its ecosystem and partnerships, and harnessing private, public, or hybrid cloud models.

In March 2023, Swisscom and Ericsson joined forces with Amazon Web Services (AWS) to conduct a Proof-of-Concept (PoC) aimed at exploring the potential use cases for a hybrid cloud in the context of 5G. This collaborative effort seeks to uncover the advantages that these use cases can bring to telecom operators. The PoC will focus on scenarios that leverage the unique attributes of hybrid and public cloud solutions.

GEOGRAPHICAL PRESENCE

In June 2022, Tele2 AB ("Tele2") unveiled a partnership with Amazon Web Services (AWS) to augment its cloud services and cloud management offerings, facilitating rapid and adaptable cloud access for enterprises. With this partnership with AWS, Tele2 is now more proficient in assisting its customers in the Nordic and Baltic regions to expedite their transformation and leverage new possibilities created by the convergence of 5G and edge cloud computing.

In July 2021, Bell joined forces with Google Cloud to provide Canadians with next-generation network experiences. Bell Canada and Google Cloud unveiled a strategic partnership aimed at fueling Bell's comprehensive digital transformation, improving its network and IT infrastructure, and facilitating a more environmentally sustainable future.

MAJOR PLAYERS IN THE MARKET

Some of the leading players in the market include Microsoft, Amazon, and Google among others. The product offerings of the major corporations include the following:

5G Public Cloud Market Scope:

SEGMENTATION

The global 5G public cloud market has been analyzed through the following segments: 

• By Software
  • 5G Core
  • IMS Core
  • vRAN
• By Infrastructure
  • Servers
  • Storage
• By Deployment
  • Non-Standalone
  • Standalone
• By Geography
  • Americas
    • United States
    • Others
  • EMEA
    • Germany
    • UK
    • Others
  • APAC
    • China
    • Japan
    • South Korea
    • Others