5G Edge Cloud Network and Services Market Analysis

Solution Segment Analysis

The hardware segment is expected to account for 52% of the 5G edge cloud network and services market share during the forecast period, remaining the predominant physical layer required for distributed edge computing installations. The segment includes the critical infrastructure components like purpose-built servers, network gear, accelerators, and edge data center buildouts at or near the bottom of the 5G tower base stations. The requirement for pre-positioning computer capacity close to end-users for ultra-low latency applications drives the capital investment in hardware. This strategic physical build-out is key to growth in the market, as exemplified in the build-out of carrier-neutral infrastructure. For instance, in January 2025, EdgeConneX completed a major buildout of edge data centers across North America and Europe, mainly targeting 5G/MEC integrations and distributed CDN infrastructure for hyperscale workloads.

Enterprise Size Segment Analysis

The large enterprises segment is anticipated to hold 65% of market share through 2035, consolidating its lead with the forthcoming, high-volume needs for private 5G networks and custom Multi-access Edge Compute (MEC) solutions. These companies possess the capital and operational maturity to hand to fund massive investment in dedicated, secure edge infrastructure to facilitate industrial automation and real-time data processing. Their high-performance and high-hold demands on sensitive data make them first-order consumers of managed edge services. This can be simply seen in terms of enterprise focus, where in August 2025, Canalys recorded a steep increase in telco-hyperscaler partnerships for edge cloud that are enabling 5G private networks and low-latency applications. Major business projects usually comprise several sites, where a scalable, centrally managed distributed architecture is needed.

Industry Segment Analysis

The automotive industry segment is projected to account for 49% of the 5G edge cloud network and services market by 2035, driven by the sector's stringent requirement for low-latency and high-reliability networks that have the capability of serving use cases like autonomous driving, V2X communication, and intelligent manufacturing. Edge cloud provides the essential real-time processing feature required to enable safety and functionality for mission-critical automotive applications. The mass of sensor data generated by connected manufacturing and cars demands localized computing. This strategic industry focus generates special software and hardware combinations. For example, in November 2024, Dell and SK Telecom announced an MEC-in-a-box appliance integration for telco networks that could deploy 5G edge cloud slices at deployment speeds for vertical enterprise use cases like manufacturing and logistics.

Our in-depth analysis of the 5G edge cloud network and services market includes the following segments: