Network Slicing Market By Component (Solutions, Services); By Application (eMBB, mMTC, URLLC); By End User (Telecom Operators, Enterprises, Government & Public Safety, Healthcare, Automotive, Manufacturing, Energy & Utilities); By Geography, Segment Revenue Estimation, Forecast, 2024–2030.

1. Introduction and Strategic Context

The Global Network Slicing Market will witness a robust CAGR of 32.8% , valued at $1.1 billion in 2024 , and is expected to expand dramatically, reaching $6.3 billion by 2030 , confirms Strategic Market Research. This growth trajectory highlights how pivotal network slicing is becoming in unlocking the full potential of 5G, enterprise connectivity, and mission-critical applications in the evolving digital economy.

 

Network slicing refers to the capability of segmenting a single physical network into multiple virtual networks, each optimized for specific types of services or customers. These slices can be customized based on latency, bandwidth, reliability, and security needs — enabling telecom operators and enterprises to deliver tailored connectivity experiences. From autonomous driving and augmented reality to smart factories and healthcare IoT, network slicing is essential in bridging use-case diversity with infrastructure uniformity.

 

As of 2024, the strategic importance of network slicing is intensifying due to the rapid deployment of 5G Standalone (SA) architectures , which natively support dynamic and programmable slicing capabilities. Governments are also increasingly focused on digital infrastructure transformation — particularly in regions like Europe, East Asia, and North America — with regulatory frameworks being developed to support vertical-specific 5G usage. In this context, network slicing is being positioned not just as a technical function but as a cornerstone of national innovation agendas.

 

Several macroeconomic and industry drivers underpin the market's expansion:

• Telecommunication operators are aggressively modernizing their core and radio networks to monetize 5G beyond traditional connectivity.

• Enterprises in sectors such as automotive, manufacturing, logistics, and energy are demanding ultra-reliable, low-latency networks for automation and AI-driven operations.

• Regulatory bodies and government agencies are promoting open interfaces and software-defined infrastructure that facilitate seamless integration and orchestration of network slices.

 

Key stakeholders include:

• Mobile Network Operators (MNOs) who control network infrastructure and service orchestration

• Network equipment vendors offering slicing-ready 5G solutions

• Cloud service providers and hyperscalers who enable edge-native computing in slicing ecosystems

• Enterprises and application developers seeking to integrate slice-aware features into their platforms

• Governments and regulators driving standards and industry collaboration

Strategically, network slicing represents the convergence of telecom and IT, enabling highly deterministic service performance that conventional networks cannot offer. It lays the foundation for industry-specific 5G monetization, digital twin ecosystems, and zero-touch service provisioning — making it indispensable for Industry 4.0 and beyond.

 

2. Market Segmentation and Forecast Scope

To provide a comprehensive analysis of the global network slicing market , the research uses a four-dimensional segmentation framework:

• By Component

• By Application

• By End User

• By Region

This multi-axis approach ensures a detailed understanding of the ecosystem, enabling stakeholders to identify growth pockets, align strategies, and assess investment viability.

By Component

The market is segmented into:

• Solutions

• Services

The Solutions segment dominates the landscape in 2024, accounting for approximately 61.3% of the market share , driven by rising demand for dynamic slice orchestration platforms, slice-aware network function virtualization (NFV), and programmable radio access networks (RAN). These solutions enable telecom operators to deliver differentiated services for consumer, enterprise, and IoT use cases.

The Services segment, including consulting, integration, and managed services, is projected to be the fastest-growing during the forecast period. With 5G SA becoming mainstream, enterprises require professional expertise to plan, deploy, and manage end-to-end slicing architectures across hybrid environments.

By Application

• Enhanced Mobile Broadband ( eMBB )

• Massive Machine-Type Communication ( mMTC )

• Ultra-Reliable Low-Latency Communication (URLLC)

In 2024, eMBB leads the application segment due to its foundational role in commercial 5G deployments — supporting high-speed, high-capacity applications such as HD video streaming, VR/AR, and cloud gaming. However, URLLC is expected to witness the highest CAGR during 2024–2030, supported by demand from mission-critical operations in sectors like smart manufacturing, connected vehicles, and remote healthcare.

By End User

• Telecom Operators

• Enterprises

• Government & Public Safety

• Healthcare

• Automotive

• Manufacturing

• Energy & Utilities

Telecom operators are currently the largest end-user group, leveraging network slicing to develop tiered service portfolios and optimize resource utilization. However, automotive and manufacturing sectors are rapidly emerging as high-growth segments, where dedicated slices support vehicle-to-everything (V2X) communication, predictive maintenance, and autonomous operations.

By Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East & Africa

North America currently holds the largest share, primarily due to early 5G SA deployments and strong enterprise digitization. However, Asia Pacific is projected to grow at the fastest pace, led by government-backed initiatives in China , Japan , and South Korea to operationalize vertical-specific network slices.

This segmentation framework provides actionable insight for decision-makers seeking to align product development, go-to-market, and investment strategies with evolving market dynamics.

 

3. Market Trends and Innovation Landscape

The network slicing market is experiencing a wave of structural transformation, driven by innovation across software-defined networking, orchestration frameworks, and AI-assisted automation. As the demand for use-case-specific networks accelerates, industry stakeholders are intensifying R&D investments, forging ecosystem alliances, and developing standards to operationalize slicing at scale.

Key Innovation Trends

• Shift Toward Cloud-Native Network Functions (CNFs): Traditional monolithic architectures are being replaced by microservices-based CNFs. This shift enables flexible slice instantiation, scalability, and resilience — critical to serving industries with real-time or high-availability needs. Operators are integrating CNFs into their 5G core environments to support differentiated performance across slices.

• AI-Driven Slice Management and Assurance: Machine learning algorithms are being embedded into slice lifecycle management platforms to optimize resource allocation, forecast demand spikes, and mitigate SLA violations in real time. This trend is transforming slice orchestration into an intelligent, autonomous process — reducing OPEX while improving network efficiency.

• Convergence of Slicing and Edge Computing: Slices are increasingly being deployed in conjunction with Multi-Access Edge Computing (MEC) to serve latency-sensitive applications such as telesurgery, autonomous driving, and remote industrial control. The fusion of slicing with edge-native architectures is giving rise to distributed, ultra-reliable, and secure networks.

• Integration with Open RAN and Network-as-a-Service ( NaaS ): Open and disaggregated RAN systems are enabling modular deployment of slices across different vendors and hardware layers. This promotes vendor-neutral ecosystems and supports the rise of NaaS models, where enterprises can dynamically provision network services through APIs and self-service portals.

Mergers, Partnerships, and Ecosystem Collaboration

• Strategic Alliances: Companies like Nokia , Ericsson , and Samsung Networks are entering multi-year partnerships with telecom operators to deliver slicing-ready 5G SA cores and RAN components. These collaborations are crucial for pilot deployments in sectors like smart ports, public safety, and next-gen retail.

• Joint R&D Ventures: Several Tier-1 carriers and tech giants are co-investing in slicing testbeds. In 2024, multiple pilot projects in Europe and East Asia validated the feasibility of URLLC-based slicing for autonomous mobile robots in factories and real-time video analytics for law enforcement.

• Standards and Interoperability Efforts: Bodies such as 3GPP , ETSI , and GSMA are actively shaping interoperability guidelines for inter-slice communication, slice security, and tenant-based isolation. These efforts are vital to avoid vendor lock-in and ensure seamless service provisioning across networks.

Pipeline Developments and Future Outlook

• Intent-Based Networking (IBN): IBN will emerge as a cornerstone for network slicing, allowing operators to translate high-level business goals (e.g., latency under 10 ms ) into real-time slice configurations without manual intervention.

• API Monetization Models: Slicing will fuel new revenue streams through network exposure functions (NEFs), where developers can request specific network conditions for AR/VR apps, industrial automation, or connected medical devices.

Looking ahead, innovation in network slicing will move from infrastructure readiness to dynamic monetization, giving rise to platform-based ecosystems where connectivity, compute, and control are delivered as programmable services.

 

4. Competitive Intelligence and Benchmarking

The network slicing market is characterized by intense competition among global telecom infrastructure vendors, software innovators, and cloud service providers. These players are pursuing diverse strategies to establish leadership in a market poised for exponential growth, emphasizing innovation, strategic partnerships, and global footprint expansion.

Key Market Players

• Nokia Nokia leverages its comprehensive 5G portfolio, including core network solutions and radio access technology, to offer end-to-end slicing capabilities. Its strategy emphasizes integrating AI-driven automation for slice lifecycle management and deepening partnerships with telecom operators in Europe and Asia. Nokia’s focus on open architecture and interoperability positions it as a preferred vendor for multi-vendor network slicing deployments.

• Ericsson Ericsson’s approach centers on software-centric innovation with a strong emphasis on cloud-native 5G cores and slicing orchestration. The company invests heavily in R&D and has established numerous pilot programs with Tier-1 operators globally. Ericsson differentiates itself through modular slicing solutions that enable rapid deployment and flexible service customization.

• Huawei Despite geopolitical challenges, Huawei remains a formidable player, especially in Asia Pacific and emerging markets. Its network slicing solutions integrate tightly with its expansive 5G infrastructure portfolio, offering robust slicing frameworks optimized for ultra-reliable low-latency communication . Huawei’s competitive edge lies in its cost-effective, scalable solutions adapted for large-scale industrial applications.

• Samsung Networks Samsung is rapidly gaining traction with its cloud-native 5G core and slicing software. It targets both telecom operators and enterprise customers with modular, programmable network slicing products. Samsung’s strategy includes aggressive expansion in South Korea and Southeast Asia , supported by government-backed 5G initiatives.

• Cisco Systems Cisco’s network slicing offerings focus on the orchestration and management layers, leveraging its strengths in IP networking and software-defined infrastructure. Cisco aims to bridge telecom and enterprise IT environments by providing secure, programmable slice management solutions integrated with cloud and edge platforms.

• NEC Corporation NEC is carving a niche through its AI-enabled network automation and slicing orchestration platforms. Its collaborations with telecom operators in Japan and Europe focus on integrating slicing with network function virtualization (NFV) and network slicing as a service ( NSaaS ) models .

• Juniper Networks Juniper emphasizes software innovation in routing and security for network slices. Its portfolio includes slice-aware security functions designed to isolate and protect vertical-specific slices, making it a key player for industries with stringent compliance requirements like finance and healthcare.

Competitive Landscape Insights

• Partnerships and Ecosystem Building: Collaboration among vendors, operators, and cloud providers is critical for delivering integrated slicing solutions. Leading companies have entered strategic alliances to co-develop slicing platforms, sharing expertise across domains.

• Differentiation through Software and AI: As slicing matures, companies that embed AI for real-time management, predictive analytics, and autonomous optimization will gain a competitive edge.

• Global Reach vs. Regional Specialization: While players like Nokia and Ericsson maintain a broad global presence, others such as Huawei and Samsung focus on regional dominance with tailored solutions for local markets and regulations.

• Focus on Vertical Markets: Vendors are increasingly tailoring slicing solutions for specific industries such as automotive, manufacturing, and public safety, positioning themselves as solution providers rather than pure network equipment suppliers.

This competitive dynamic is expected to intensify as 5G adoption deepens, with differentiation increasingly driven by software intelligence, ecosystem partnerships, and customer-centric service models.

 

5. Regional Landscape and Adoption Outlook

The global network slicing market exhibits significant regional variation influenced by factors such as 5G deployment maturity, regulatory environment, infrastructure investment, and industry demand. Understanding these regional dynamics is essential for stakeholders aiming to capitalize on localized opportunities.

North America

North America currently leads the network slicing market, propelled by early 5G Standalone (SA) rollouts in the United States and Canada. The region benefits from a robust telecom infrastructure, high enterprise digitization, and aggressive investment in edge computing. Leading operators are actively piloting slicing for applications in smart cities, autonomous vehicles, and industrial automation. Regulatory support for innovation and spectrum allocation fosters a fertile environment for advanced slicing deployments.

The U.S. government’s push for 5G innovation and secure networks is accelerating adoption in public safety and defense sectors. The presence of major vendors like Cisco and Juniper further accelerates ecosystem development.

Europe

Europe is a strong adopter of network slicing, driven by comprehensive 5G rollout strategies across the EU and significant funding through programs like Horizon Europe. The region focuses heavily on industrial digitization, with Germany, France, and the UK spearheading slicing use cases in manufacturing, energy, and healthcare. European regulators emphasize data privacy and interoperability , encouraging open standards and multi-vendor networks.

Pilot projects involving 5G-enabled factories and connected logistics hubs are common, highlighting Europe's focus on Industry 4.0 applications. However, fragmented regulatory frameworks across countries can pose challenges for cross-border slice deployment.

Asia Pacific

Asia Pacific is expected to be the fastest-growing region in the network slicing market through 2030. Countries like China , Japan , and South Korea lead with aggressive 5G SA network builds and government-backed digital infrastructure programs. The massive industrial base and burgeoning IoT ecosystem fuel demand for slicing tailored to smart manufacturing, autonomous transport, and urban management.

China’s large-scale pilot projects combining network slicing and AI-enabled edge computing represent a global innovation benchmark. Southeast Asian nations are also increasingly adopting slicing to support digital transformation in smart cities and agriculture.

Latin America

Latin America is in the early stages of network slicing adoption, with market growth constrained by slower 5G rollout and limited infrastructure investment. However, countries like Brazil and Mexico are gradually exploring slicing to enhance mobile broadband experiences and support emerging IoT applications in agriculture and energy.

Growing interest in private 5G networks for mining and manufacturing sectors presents future growth potential. Partnerships between global vendors and regional operators are key to accelerating adoption.

Middle East & Africa

The Middle East and Africa (MEA) region shows mixed adoption levels. The Gulf Cooperation Council (GCC) countries, particularly the UAE and Saudi Arabia, are advancing quickly with 5G and slicing pilots focused on smart city initiatives and oil & gas industry digitization. In contrast, sub-Saharan Africa faces infrastructural and regulatory challenges that limit widespread slicing deployment.

The region’s high investment in digital infrastructure and vision for smart economies signal rising demand for network slicing over the coming years.

Overall, while North America and Europe currently dominate, Asia Pacific’s rapid industrial digitization and supportive policies position it as the market’s growth engine. Emerging regions like Latin America and MEA hold significant white space opportunities that could reshape the global landscape by 2030.

 

6. End-User Dynamics and Use Case

The adoption of network slicing varies significantly across different end-user segments, each leveraging the technology to address unique connectivity challenges and operational goals. Understanding these dynamics is crucial for tailoring slicing solutions to meet sector-specific demands and unlocking new value propositions.

Telecom Operators

Telecom operators are the primary adopters and enablers of network slicing. They utilize slicing to segment their 5G infrastructure, offering customized service tiers for consumers and enterprises. Operators focus on maximizing network efficiency and monetization by dynamically allocating resources to slices with distinct performance requirements. Services such as enhanced mobile broadband ( eMBB ) for consumers and ultra-reliable low-latency communication (URLLC) for enterprises enable diversified revenue streams.

Enterprises

Enterprises in manufacturing, automotive, healthcare, and energy sectors increasingly adopt network slicing to create private or dedicated networks tailored to their operational needs. Slicing enables low-latency, secure, and high-bandwidth connectivity essential for automation, real-time monitoring, and remote operations. Enterprises benefit from improved quality of service, operational agility, and cost savings compared to building standalone networks.

Government and Public Safety

Government agencies leverage slicing for mission-critical communications, especially in public safety, emergency response, and defense . Network slices provide isolated, secure, and reliable connectivity that supports real-time video surveillance, drone operations, and command-and-control systems. This enhances situational awareness and response effectiveness during emergencies.

Healthcare

In healthcare, network slicing supports telemedicine, remote surgery, and patient monitoring applications by ensuring guaranteed bandwidth and ultra-low latency. Hospitals and healthcare providers use slices to maintain uninterrupted connectivity for critical medical devices and data transmission, enhancing patient outcomes and operational efficiency.

Automotive

The automotive sector is an early adopter of URLLC slicing to enable vehicle-to-everything (V2X) communication, essential for autonomous driving, traffic management, and safety applications. Dedicated network slices ensure reliable, low-latency data exchange between vehicles, infrastructure, and cloud platforms, facilitating real-time decision-making and collision avoidance.

Use Case Highlight: South Korean Tertiary Hospital

A tertiary hospital in South Korea implemented a network slicing solution to support its telemedicine and remote diagnostic services during the COVID-19 pandemic. The hospital utilized a dedicated slice with guaranteed ultra-low latency and high security to connect remote consultation rooms with specialist centers . This slice ensured uninterrupted, high-definition video streams and real-time access to patient data, significantly reducing consultation delays and improving diagnostic accuracy.

This implementation demonstrated how network slicing enhances healthcare delivery by providing tailored connectivity that meets stringent performance and security requirements. The success prompted expansion plans to other hospitals nationwide, positioning network slicing as a critical enabler for digital healthcare transformation.

 

7. Recent Developments + Opportunities & Restraints

Recent Developments (2023–2025)

• Ericsson and Verizon Collaborate on 5G Network Slicing Pilots (2024): Ericsson partnered with Verizon to launch advanced network slicing trials focused on industrial automation and smart city applications in the United States, showcasing real-time URLLC performance.

• Nokia Launches AI-Enabled Network Slicing Orchestration Platform (2023): Nokia introduced an AI-driven orchestration solution that automates slice lifecycle management, improving resource efficiency and reducing operational complexity.

• Samsung Expands 5G Core and Network Slicing Solutions in South Korea (2024): Samsung announced commercial availability of its cloud-native 5G core with embedded slicing capabilities, targeting telecom operators and enterprises in Korea.

• China Mobile Deploys Network Slicing for Smart Manufacturing (2023): China Mobile implemented dedicated network slices in multiple factories, enabling real-time data analytics and autonomous robot control in pilot projects across Guangdong province.

• Cisco and AWS Partner on Network Slicing for Edge Cloud (2024): Cisco collaborated with AWS to offer slice-aware edge computing solutions, facilitating low-latency services for applications like AR/VR and telehealth.

 

Opportunities

• Expansion in Emerging Markets: Increasing 5G infrastructure investment in regions such as Asia Pacific, Latin America, and the Middle East presents significant opportunities for network slicing adoption, especially in industrial and public sector verticals.

• AI and Automation Integration: Leveraging AI for autonomous slice management reduces operational costs and enhances SLA adherence, creating demand for intelligent orchestration platforms.

• Remote Monitoring and Industry 4.0: Network slicing enables reliable connectivity for critical industrial applications, facilitating digital transformation and predictive maintenance in manufacturing and energy sectors.

 

Restraints

• Regulatory and Standardization Challenges: Fragmented regulatory policies and evolving standards across regions delay large-scale slicing deployments and complicate interoperability.

• High Capital and Operational Expenditure: Initial investments in 5G standalone infrastructure and slicing management systems are substantial, and many operators face challenges in justifying ROI during early adoption phases.

 

Report Coverage Table

Report Attribute	Details
Forecast Period	2024 – 2030
Market Size Value in 2024	USD 1.1 Billion
Revenue Forecast in 2030	USD 6.3 Billion
Overall Growth Rate	CAGR of 32.8% (2024 – 2030)
Base Year for Estimation	2023
Historical Data	2017 – 2021
Unit	USD Million, CAGR (2024 – 2030)
Segmentation	By Component, Application, End User, Region
By Component	Solutions, Services
By Application	eMBB, mMTC, URLLC
By End User	Telecom Operators, Enterprises, Government & Public Safety, Healthcare, Automotive, Manufacturing, Energy & Utilities
By Region	North America, Europe, Asia Pacific, Latin America, Middle East & Africa
Country Scope	U.S., Canada, Germany, UK, China, Japan, South Korea, Brazil, Mexico, UAE, Saudi Arabia
Market Drivers	Rising 5G SA deployment, Growing Industry Digitization, Demand for Custom Connectivity Solutions
Customization Option	Available upon request