What are key trends shaping 5G and network transformation in 2025?

GSMA Intelligence has identified five key trends shaping 5G and network transformation in 2025. The emergence of 5G-Advanced standards and solutions has spurred deployment plans, with three-quarters of operators aiming to launch within the next two years, driven by expectations for improvements in network performance, management, and efficiency.

5G base station US
5G base station US

However, there is tension between these aspirations and the less critical view of B2B and B2C use cases, despite their strategic importance, Peter Jarich, Head of GSMA Intelligence, said. AI’s role continues to grow, with a renewed focus on leveraging generative AI (genAI) to improve customer experience, generate new revenue streams, and enhance operational efficiencies. Most genAI impact is expected in network operations, predictive maintenance, and software development, underscoring its internal use cases over external revenue generation.

Momentum around open RAN persists, supported by advances from major operators and suppliers. While it has lost some priority compared to other technologies like 5G-Advanced and AI, operators still recognize open RAN’s potential, especially as 5G-Advanced catalyzes its deployment.

However, challenges around security, performance, and integration remain. Security concerns are pervasive, extending beyond open RAN to all network technologies, given the rising complexity of threats, the critical nature of data carried by networks, and the risks posed by AI-enabled attacks. Operators are prioritizing security as a cross-cutting imperative, integrating it across diverse technologies, from edge computing to private networks.

Recently, Dell’Oro Group said the worldwide RAN market is expected to advance at a low single-digit rate in 2025, powered by growth in North America and Asia Pacific, excluding China. The Chinese RAN market is on track to decline in 2024 and 2025.

User experience remains a fundamental measure of network transformation success. Coverage, capacity, data speeds, and network performance visibility continue to define experience, reflecting a focus on essential capabilities over ambitious innovations. While these basics may seem unexciting, they underpin operators’ decisions around 5G-Advanced and future 6G deployments, ensuring that foundational capabilities like massive IoT and ultra-reliable low-latency communications remain central to their strategies.

The implications of 5G and network transformation trends for operators and vendors are multifaceted, shaping strategies and operational priorities. For mobile operators, the need to accelerate 5G standalone (SA) deployments remains critical, as the full potential of 5G, particularly for B2B use cases, depends on SA.

While the focus on 5G-Advanced is encouraging, operators must ensure it does not delay their SA plans, which are essential for delivering on 5G’s promise. Additionally, operators must refine their approach to 5G-Advanced use cases. The lack of clear priorities among these use cases risks complicating investment decisions and delaying returns, especially with insufficient focus on B2B and B2C opportunities. Operators need to temper their ambitions for technologies beyond 5G, including 6G, by setting realistic expectations to avoid disappointment when these technologies arrive.

For vendors, addressing deployment challenges is essential. The maturity of new technologies and their seamless integration into existing networks are top operator concerns, making it imperative for vendors to emphasize the readiness and integration capabilities of their solutions. Vendors must also approach 6G messaging cautiously. While operators have high hopes for 6G’s potential, the focus remains on monetizing 5G, suggesting that vendors should balance discussions of 6G advancements with a measured approach to avoid undermining 5G’s ongoing business case. Lastly, vendors have an opportunity to align coverage and capacity improvements with broader technological priorities.

By demonstrating how foundational network enhancements can enable forward-looking initiatives, such as ubiquitous IoT support or high-capacity services, vendors can position themselves as partners in both current and future growth strategies.

Baburajan Kizhakedath

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