As per MRFR analysis, the UK Virtualized Evolved Packet Core Market Size was estimated at 129.78 (USD Million) in 2023. The UK Virtualized Evolved Packet Core Market Industry is expected to grow from 158.62(USD Million) in 2024 to 1301.34 (USD Million) by 2035. The UK Virtualized Evolved Packet Core Market CAGR (growth rate) is expected to be around 21.086% during the forecast period (2025 - 2035).
Key UK Virtualized Evolved Packet Core Market Trends Highlighted
The UK Virtualized Evolved Packet Core market is growing quickly because more people want fast internet and better mobile connectivity. The implementation of 5G networks across the UK is a major market driver since it needs core network solutions that are both efficient and adaptable to handle the higher data load and offer services with low latency. The UK government has been aggressively pushing for improvements in telecommunications infrastructure. This has led to a need for virtualized solutions that can change to meet different needs without requiring a lot of money to buy new hardware.Â
The emergence of Internet of Things (IoT) applications is one of the most important prospects in the market. These applications need strong core network capabilities to support the huge number of devices that are connected. As industries progress toward automation and smart technology, the need for a reliable and scalable virtualized evolving packet core will grow. This will provide businesses with a chance to come up with new ideas and improve the services they offer. In the UK, there has been a clear move toward hybrid cloud models in recent years.Â
These models let businesses use both on-premises servers and cloud-based solutions. This flexibility lets telecom companies cut expenses and improve the quality of their services. UK authorities are also helping to promote competition and innovation in the telecom sector, which is pushing service providers to invest in virtualized network technology. This is good for the whole market ecosystem.As more businesses realize the benefits of virtualization, the UK is expected to see a growing trend toward network structures that are more flexible and adaptable in the changing telecoms market.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
UK Virtualized Evolved Packet Core Market Drivers
Increased Demand for Mobile Data Services
The UK Virtualized Evolved Packet Core Market Industry is experiencing unprecedented growth due to the escalating demand for mobile data services. According to the Office of Communications in the UK, mobile data traffic is predicted to increase significantly, with estimates suggesting an annual growth rate of over 30% per year until 2025.Â
The rise in data consumption can be primarily attributed to the proliferation of mobile devices and streaming services, creating a vital need for network operators like BT Group and Vodafone Group to upgrade their core systems to handle this burgeoning load.Additionally, the UK government has been actively promoting digital connectivity, which has further amplified the demand for robust mobile data solutions. This evolving scenario underscores the need for a virtualized approach, positioning the Virtualized Evolved Packet Core as a crucial enabler in delivering advanced mobile services.
Government Initiatives and Regulatory Support
The UK government’s robust framework to foster digital innovation is a significant driver for the UK Virtualized Evolved Packet Core Market Industry. Initiatives such as the UK's 5G Strategy aim to bring high-speed internet connectivity to rural and urban areas alike, supporting a diverse range of applications.Â
The Department for Digital, Culture, Media & Sport has highlighted a target coverage of 85% for 5G by 2025, encouraging telecom companies to adopt virtualized solutions to fulfill this aim.Policies arising from the Digital Economy Act have also opened pathways for increased investments in telecommunications infrastructure, thereby propelling the adoption of virtualized networks that facilitate enhanced operational capabilities and better user experiences.
Shift Toward Cloud-Native Network Functions
The transition from traditional telecom architectures to cloud-native network functions is rapidly driving the UK Virtualized Evolved Packet Core Market Industry. Major players like Huawei and Ericsson are investing heavily in cloud technologies, allowing service providers in the UK to leverage software-driven networking solutions.Â
This shift is supported by a survey conducted by the UK Telecommunications Regulatory Authority, revealing that 72% of operators plan to deploy cloud-native solutions within the next three years. The inherent agility, scalability, and cost-effectiveness of virtualized solutions enable carriers to respond quickly to market changes and evolving consumer needs while benefiting from lower operational costs.
Virtualized Evolved Packet Core Market Component Insights
The UK Virtualized Evolved Packet Core Market is structured around various components that play critical roles in shaping the industry's growth and functionality, with primary emphasis on Solutions and Services. Within the Component segment, Solutions are essential as they provide the technological backbone required for efficient cloud-based operational frameworks, enabling telecommunications companies to handle increasing data demands and enhance network performance across the UK. This is increasingly significant given the substantial rise in mobile data consumption, driven by the expansion of IoT, 5G implementations, and the growing number of connected devices in the country. The importance of ensuring scalability and flexibility in network management cannot be overstated, particularly as UK operators strive to keep pace with global trends in digital connectivity and customer experience enhancement.
Similarly, Services within this segment encompass various aspects such as deployment, maintenance, and technical support that are vital for ensuring optimal system performance and user satisfaction. The need for proficient and continuous support highlights a shift in focus towards managed services, enabling businesses to outsource complex network management challenges, thereby concentrating on their core offerings. Given the UK’s strong push towards digital transformation and smart city initiatives, these Services are becoming increasingly critical to support the evolving needs of urban connectivity and data handling.Â
The Collaboration between vendors and service providers is instrumental to the success of this market, fostering an ecosystem where innovation thrives and users benefit from enhanced capabilities. As advancements continue and competitive pressures elevate, the Component segment emerges as a pivotal area influencing the dynamics of the UK Virtualized Evolved Packet Core Market, driving greater operational efficiency, cost-effectiveness, and improved service delivery in a rapidly changing landscape.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Virtualized Evolved Packet Core Market Deployment Insights
The UK Virtualized Evolved Packet Core Market Deployment segment is instrumental to the dynamics of the telecommunications sector, facilitating the crucial shift to more adaptive and efficient network infrastructures. With increasing demand for mobile data and the rise of the Internet of Things, organizations are increasingly focusing on deploying virtualized solutions that can better handle traffic loads. The on-premise deployment option offers enhanced control and security, enabling operators to tailor systems to their specific needs, thus appealing to sectors requiring stringent compliance measures.
Conversely, on-cloud deployments are gaining traction due to their scalability, flexibility, and cost-effectiveness, allowing businesses to invest more in innovation rather than infrastructure. This duality in deployment preferences also reflects broader trends across the UK economy, wherein organizations are prioritizing digital transformation to remain competitive. As both deployment types continue to evolve, they present significant opportunities to enhance operational efficiencies and address the ever-growing demand for high-performing networks.The balance between on-premise and on-cloud solutions shapes the strategic direction of the UK Virtualized Evolved Packet Core Market and is critical for meeting the diverse requirements of the market's users.
Virtualized Evolved Packet Core Market Applications Insights
The applications segment of the UK Virtualized Evolved Packet Core Market plays a crucial role in the overall landscape of telecommunications as it facilitates seamless connectivity and efficient data management across various platforms. Within this segment, LTE technology has been a key driver for mobile broadband, enabling faster data speeds and improved user experience. Voice over LTE (VOLTE) enhances voice communication by utilizing LTE for voice calls, thus providing high-quality audio and reducing latency. VOWiFi, or Voice over WiFi, allows users to make calls over WiFi networks, making it an important service in areas with weak cellular signals.
The Internet of Things (IoT) and Machine-to-Machine (M2M) communications are significant as they connect numerous devices, contributing to automation and smart applications across different sectors, including healthcare, manufacturing, and smart cities. Moreover, Mobile Private Networks (MPN) and Mobile Virtual Network Operators (MVNO) offer tailored mobile services, allowing businesses to leverage customized telecommunications solutions, catering to specific operational needs. The growth in these applications reflects the increasing demand for high-speed, reliable connectivity in the UK, driven by advancements in technology and the rising need for digital transformation across industries.Thus, the applications segment is integral to shaping the future of mobile connectivity in the UK.
Virtualized Evolved Packet Core Market End-User Insights
The UK Virtualized Evolved Packet Core Market showcases significant growth potential within the End-User segment, particularly driven by Telecom Operators and Enterprises. Telecom Operators play a crucial role as they are often the primary adopters of advanced network technologies, leveraging virtualized solutions to enhance service delivery and optimize operational costs. The increasing demand for high-speed data services and mobile connectivity has pushed these operators to transition from traditional core networks to more agile and efficient virtualized systems.Meanwhile, Enterprises, encompassing diverse sectors, are increasingly recognizing the benefits of virtualized evolved packet core implementations; they enable improved scalability, flexibility, and resource management.Â
Both segments contribute to the overall market dynamics, as their ongoing digital transformation efforts stimulate demand for robust network infrastructure. As organizations in the UK continue to invest in next-generation mobile technology, including 5G, the End-User landscape becomes integral to understanding the broader UK Virtualized Evolved Packet Core Market statistics and growth trends.This vital segment is expected to capitalize on the evolution of smart devices and IoT applications, enhancing user experience and operational efficiency across various industries.
UK Virtualized Evolved Packet Core Market Key Players and Competitive Insights
The UK Virtualized Evolved Packet Core Market is a rapidly evolving segment that plays a crucial role in enabling efficient data management and network services for mobile and virtualized networks. With the increasing demand for high-speed internet, mobile broadband services, and the proliferation of Internet of Things (IoT) devices, the need for a robust and flexible core network architecture is paramount. In this arena, competition has intensified as traditional telecommunications companies merge with technology firms to harness the capabilities of cloud computing and virtualization.Â
Players in this market must continuously innovate to provide scalable solutions that meet the demands of network operators looking to enhance service delivery, reduce operational costs, and improve overall performance. Analyzing the competitive landscape reveals a variety of strategies employed by companies to secure their positions and capture market share.
Oracle has established a strong presence within the UK Virtualized Evolved Packet Core Market, leveraging its reputation as a leading technology provider. Its strengths lie in the extensive portfolio of solutions designed to support cloud-native architectures, which help network operators streamline their operations and enhance service agility. Oracle's comprehensive analytics and data management capabilities enable telecommunications companies to efficiently manage vast amounts of data traffic while ensuring optimal performance.Â
Furthermore, Oracle's commitment to security and compliance positions it favorably in the market as regulatory standards become increasingly stringent. By investing in partnerships and alliances within the UK telecommunications ecosystem, Oracle bolsters its market position and demonstrates its capability to meet the diverse needs of mobile network operators seeking innovative core network solutions.
CommScope is another noteworthy player in the UK Virtualized Evolved Packet Core Market, having built a solid foundation through its extensive portfolio of networking and telecommunications infrastructure solutions. The company offers a range of products and services tailored specifically for mobile networks, including advanced antennas, radios, and cloud-based applications. CommScope's strengths lie in its ability to deliver end-to-end solutions that improve network efficiency, enhance coverage, and support the deployment of next-generation technologies.Â
The company has actively pursued strategic mergers and acquisitions to enhance its capabilities and expand its market footprint within the UK. By integrating these offerings with existing technological platforms, CommScope is well-positioned to address the demands of a rapidly changing telecommunications landscape. Its focus on innovation and customer-centric solutions further solidifies its standing in this competitive market, making it a prominent choice for operators seeking to modernize their core networks.
Key Companies in the UK Virtualized Evolved Packet Core Market Include:
UK Virtualized Evolved Packet Core Market Industry Developments
The UK Virtualized Evolved Packet Core Market has been witnessing significant developments, particularly with major players like Oracle, Cisco, and Ericsson advancing their offerings.
In April 2025, a British telecom company worked with a worldwide network vendor to set up a new cloud-native virtualized evolving packet core platform. This sped up the use of flexible and scalable 5G network architectures across the UK. In July 2025, a major UK-based integrator teamed up with many technology partners to create a testbed for vEPC and edge solutions.Â
This made it possible to test interoperability for private network applications aimed at the smart manufacturing and transportation industries. In February 2025, a group of UK mobile operators and government innovation authorities started an open platform program that invited businesses to test out sophisticated vEPC-enabled services. This helped the 5G ecosystem grow and encouraged companies in the UK to work together to introduce new products.
The UK's push for digital infrastructure improvement, supported by government initiatives, aims to bolster the telecommunications ecosystem, signaling a more competitive landscape for companies involved in virtualized Evolved Packet Core solutions. Recent trades and regulatory approvals have increased investor confidence, driving further interest in the sector. Major happenings, such as the increased use of cloud-native architecture, have marked a shift in the operational strategies of key companies in this market from 2021 onwards.
UK Virtualized Evolved Packet Core Market Segmentation Insights
Virtualized Evolved Packet Core Market Component Outlook
Virtualized Evolved Packet Core Market Deployment Outlook
Virtualized Evolved Packet Core Market Applications Outlook
Virtualized Evolved Packet Core Market End-User Outlook
| Report Attribute/Metric Source: | Details |
| MARKET SIZE 2023 | 129.78(USD Million) |
| MARKET SIZE 2024 | 158.62(USD Million) |
| MARKET SIZE 2035 | 1301.37(USD Million) |
| COMPOUND ANNUAL GROWTH RATE (CAGR) | 21.086% (2025 - 2035) |
| REPORT COVERAGE | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| BASE YEAR | 2024 |
| MARKET FORECAST PERIOD | 2025 - 2035 |
| HISTORICAL DATA | 2019 - 2024 |
| MARKET FORECAST UNITS | USD Million |
| KEY COMPANIES PROFILED | Oracle, CommScope, ZTE, Cisco, Huawei, Samsung, Mavenir, Alphabet, Nokia, Intel, Amdocs, Affirmed Networks, Ericsson |
| SEGMENTS COVERED | Component, Deployment, Applications, End-User |
| KEY MARKET OPPORTUNITIES | 5G network deployment acceleration, Increasing demand for IoT connectivity, Rising need for network scalability, Adoption of SDN/NFV solutions, Growing focus on cost reduction. |
| KEY MARKET DYNAMICS | growing demand for 5G services, increasing cloud adoption, rising mobile data traffic, need for network scalability, reduction in operational costs |
| COUNTRIES COVERED | UK |
Frequently Asked Questions (FAQ):
The UK Virtualized Evolved Packet Core Market is expected to be valued at 158.62 million USD in 2024.
By 2035, the market is projected to reach a valuation of 1301.37 million USD.
The market is anticipated to grow at a CAGR of 21.086% from 2025 to 2035.
In 2024, the Solution segment is valued at 75.0 million USD, while the Services segment is valued at 83.62 million USD.
The Solution segment is expected to reach 614.0 million USD by 2035.
The Services segment is anticipated to be valued at 687.37 million USD by 2035.
Key players in the market include Oracle, CommScope, ZTE, Cisco, Huawei, Samsung, Mavenir, Alphabet, Nokia, Intel, Amdocs, Affirmed Networks, and Ericsson.
Key trends include the growing demand for cloud-based solutions, increased network virtualization, and the rise of 5G technology.
Challenges include the complexity of network integration and the need for substantial investment in infrastructure.
Opportunities include increasing demand for advanced mobile infrastructure and the transformation of existing network architectures.
Leading companies partner with us for data-driven Insights.
Kindly complete the form below to receive a free sample of this Report
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
© 2025 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
