The global network slicing market size is anticipated to reach USD 12.48 billion by 2030, registering a CAGR of 50.7% over the forecast period, according to a new report by Grand View Research, Inc. A network slice is a concept of creating several virtual networks on shared multi-domain infrastructure and comprises various state-of-the-art technologies based on open-source community and standardization. It is an independent end-to-end network and includes dedicated or shared resources capable of providing service quality. Each network slice specifies full network functionality comprising core network functions and radio access network functions. An assembly of systems/platforms is required to create and manage a sliced virtual network inclusive of well-designed tools and mechanisms. Network slicing solution provides customized network services to meet the service provider’s requirements utilizing limited network resources.

Moreover, network slicing customization enables efficient network capabilities such as data security, massive connectivity, energy efficiency, reduced latency, reachability, and guaranteed quality of service (QoS). The rising adoption of network slicing-enabled 5G in several verticals such as BFSI, healthcare, retail & e-commerce, among others, are contributing positively to the network slicing market growth. Network slicing enables efficient usage and management of network services resulting in a maximized return on investment (ROI). It also provides access to businesses and organizations to customize networks tailored to meet specific requirements efficiently and cost-effectively governed by a service level agreement.

Network slicing allows sharing of resources and functional components and customization in each slice to a particular service level agreement. Additionally, it enables operators to provide economic models and premium services to end-users offering business opportunities to existing and new sectors to gain higher ROI. The European Telecommunications Standard Institute defined NFV architectural information and framework to support network slicing.

Gather more insights about the market drivers, restrains and growth of the Network Slicing Market

Network Slicing Market Report Highlights

• The market is expected to witness a CAGR of 50.7% over the forecast period owing to a rise in the adoption of smartphones and mobiles globally. Also, the growing adoption of IoT solutions and growing emphasis on the usage of cloud services has increased the adoption of network slicing services among end-users during the COVID-19 pandemic

• Based on the component, the solution segment accounted for the largest revenue share of over 60.3% in 2021 as the network slicing platform is extensively used in several verticals such as retail & e-commerce, BFSI, travel and hospitality, and healthcare. The adoption of network slicing solutions by CSPs will accelerate the delivery of network slicing applications and services

• Based on end-user, the communication service providers segment dominated the market in 2021 and is expected to witness a significant CAGR of 49.9% over the forecast period owing to the increasing demand for better bandwidth connectivity to meet the end user's requirement

• Based on industry vertical, the healthcare industry dominated the market owing to the increasing adoption of innovative 5G technologies and network slicing solutions in the healthcare sector. The healthcare industry is expected to witness a technological transformation with an increasing number of network slicing use cases in the industry, such as robotic surgeries, IoT, and AI

• North America accounted for the largest revenue share of more than 35.5% in 2021, owing to the increasing penetration of smartphones, the growing proliferation of internet services, and the number of internet subscribers in the region. Considerable adoption of IoT and rapid development of smart cities are expected to provide numerous opportunities for the region over the forecast period

Network Slicing Market Segmentation

Grand View Research has segmented the global network slicing market based on component, end-user, industry vertical, and region:

Network Slicing Component (Revenue, USD Million, 2017 - 2030)

• Solution

• Services

o Professional services

o Managed services

Network Slicing End-user (Revenue, USD Million, 2017 - 2030)

• Communication Service Providers

• Enterprises

Network Slicing Industry Vertical (Revenue, USD Million, 2017 - 2030)

• Healthcare

• Government

• Transportation & Logistics

• Energy & Utilities

• Manufacturing

• Media & Entertainment

• Financial Services

• Retail

• Others

Network Slicing Regional Outlook (Revenue, USD Million, 2017 - 2030)

• North America

o U.S.

o Canada

o Mexico

• Europe

o U.K.

o Germany

o France

o Italy

• Asia Pacific

o China

o Japan

o India

o South Korea

• South America

o Brazil

• Middle East & Africa

Order a free sample PDF of the Network Slicing Market Intelligence Study, published by Grand View Research.