Global Small Cell 5G Network Market Size, Forecast, and Trend Highlights Over 2025-2037
Small Cell 5G Network Market size was valued at USD 4.12 billion in 2024 and is set to exceed USD 480.23 billion by 2037, registering over 44.2% CAGR during the forecast period, i.e., between 2025 and 2037. In 2025, the industry size of small cell 5G networks is evaluated at USD 5.67 billion.
The small cell 5G network industry is experiencing significant expansion in recent years, projecting the need for more than 8,00,00 small cells by the end of 2026 to meet the rising need for secure and fast mobile data worldwide. The U.S. government has initiated significant investments to support the expansion and rising demand. In December 2024, the National Telecommunications and Information Administration (NTIA) invested more than USD 445 million in wireless software innovation, especially for Open RAN technologies to reduce overall cost integration and complexity. Investments like these are expected to strengthen the 5G supply chain and guarantee enhanced security and resilience of next-generation wireless networks and technology.
Small Cell 5G Network Sector: Growth Drivers and Challenges
Growth Drivers
- Rising mobile data traffic across the globe: The rising mobile data consumption across the globe for video streaming, mobile gaming, social media, or cloud services is a key factor expected to fuel the global market during the forecast period. According to a report released by Ericsson in 2024, the global mobile traffic is expected to cross 420 exabytes per month by the end of 2026. This has resulted in increasing investments for small cell 5G infrastructure. For instance, in December 2024, the UK’s Competition and Markets Authority (CMA) approved the € 16.6 billion merger between Vodafone UK and Three UK to expand the 5G operations nationwide. The agreement aims to enhance network coverage, reliability, and capacity, catering to the rising demand for mobile data.
- Increasing urbanization: Increasing urbanization in many parts of the globe has resulted in high demand for low-latency and high-speed internet. In 2023, the global urban population reached around 4.8 billion, almost 1.6% more than the previous year. Small cells offer high-capacity coverage in dense populations and can be easily mounted on street furniture, making them best suited for urban environments. Moreover, urban areas offer better infrastructure, such as municipal partnerships and fiber backhaul, which can facilitate the deployment of small cells.
Technological Trends Reshaping the Small Cell 5G Network Landscape
The global small cell 5G network market is rapidly transforming due to technological advancements to enhance network performance and expand applications across several sectors. Key trends such as integration with edge computing, rising adoption of virtualized architectures, and deployment of Open RAN technology and solutions. Below is a list of key trends and their adoption across particular industries:
|
Trend |
Industry Adoption & Impact |
Example |
|
Virtualized Small Cell Architecture |
Telecom: 66.4% adoption rate for increased flexibility, scalability, and cost-efficiency. |
In July 2023, Bharti Airtel signed a multi-billion-dollar deal with Ericsson for Open RAN-ready virtualized networks.
|
|
Open RAN Deployment |
Telecom: Encourages vendor interoperability, reduces costs, and fuels innovation. |
In February 2024, Mavenir launched 5G small cells for high-capacity in-building coverage using Open RAN standards. |
|
mmWave Frequency Utilization |
Telecom: Governments releasing high-frequency spectrum for ultra-fast connectivity. |
In October 2022, the U.S. FCC released mmWave bands for use in AR/VR, smart transportation, and ultra-reliable communications. |
|
Private 5G Networks |
Manufacturing & Healthcare: Provide secure, dedicated networks tailored to critical operations. |
Australia’s private 5G market is booming, especially in mining, ports, hospitals, and agriculture. |
Pricing Trends in the Global Small Cell 5G Network Market (2020–2024)
The global market has witnessed noteworthy price fluctuations over the past few years, owing to rapid technological advancements and changing regional dynamics. For instance, the average price per unit decreased by around 4.5% annually, dropping from USD 98 in 2020 to USD 75 in 2024. Meanwhile, Asia Pacific witnessed a surge of 14% in prices between 2020 and 2024 due to the rising rollout of 5G infrastructure and growing demand for high-speed connectivity. The table below provides details about different regions and key factors, including the pricing trends:
|
Region |
2020 Price (USD) |
2024 Price (USD) |
Annual Change (%) |
Key Influencing Factors |
|
Nort America |
USD 98 |
USD 75 |
-4.5% |
Reduction in production costs after AI and cloud integration |
|
Asia Pacific |
USD 83 |
USD 95.5 |
+4% |
Rising rollout of 5G |
|
Europe |
USD 91 |
USD 98.2 |
+2.3% |
Regulatory changes and increasing investments in 5G |
Challenges
- Site acquisition and infrastructure challenges: One of the major challenges that the global market is currently facing is the deployment of small cells at public infrastructure, as it often requires municipal or government approvals. The process is long, inconsistent, and untimely. Moreover, finding suitable locations with proper backhaul and power availability can be difficult, especially in urban areas.
Small Cell 5G Network Market: Key Insights
| Report Attribute | Details |
|---|---|
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
44.2% |
|
Base Year Market Size (2024) |
USD 4.12 billion |
|
Forecast Year Market Size (2037) |
USD 480.23 billion |
|
Regional Scope |
|
Small Cell 5G Market Segmentation
Radio Access Technology (Standalone, Non-Standalone)
The non-standalone (NSA) segment is expected to account for around 81.8% share during the forecast period, owing to NSA’s ability to seamlessly integrate with existing 4G infrastructure. Thus, by reusing current 4G assets, including core networks, sites, and transport, operators can minimize the capital expenditure during early-phase 5G implementation. In December 2024, Bharti Airtel and Ericsson entered into a multi-billion-dollar agreement to enhance its 4G and 5G network coverage across India. Through this partnership, the companies aim to deploy centralized RNA and Open RAN, while upgrading 4G radio software.
Cell Type (Femtocell, Picocell, Microcell)
The femtocell segment in small cell 5G network market is likely to hold a revenue share of 37.5% between 2025 and 2037, owing to its effectiveness in strengthening indoor coverage in residential as well as small business settings. These cells are cost-effective, consume low power, and are capable of covering gaps in apartments, basements, high rises, and remote residential areas. In January 2025, Nokia partnered with Zain KSA to address the mobile coverage challenges and enhance enterprise connectivity in Saudi Arabia.
End user (Residential, Commercial, Industrial)
The commercial segment is projected to register rapid growth during the stipulated timeframe. This growth can be attributed to the growing demand for low-latency, high-capacity, and highly reliable 5G connectivity in office buildings, retail stores, hospitals, healthcare facilities, hotels, and large commercial complexes. Other factors such as steady shift towards remote work and digital collaboration, rising proliferation of IoT and smart building technologies, and support for government initiatives for small cell deployment sharing models are expected to fuel segment growth going ahead.
Our in-depth analysis of the global small cell 5G network market includes the following segments:
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Radio Access Technology |
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Cell Type |
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Component |
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Frequency Band |
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Application |
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End user |
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Customize this ReportSmall Cell 5G Network Industry - Regional Synopsis
Asia Pacific Market Forecast
APAC small cell 5G network market is expected to account for 35.3% revenue share of the global market between 2025 and 2037, owing to rising consumption of mobile data among a vast urban population and rising investments in 5G infrastructure. Rapid urbanization in countries like India, Japan, Vietnam, and Indonesia has resulted in network congestion. The governments are thus implementing smart city projects to enhance network coverage in densely populated areas. For instance, SoftBank, a Japan-based investment firm, announced its plans to invest around USD 1.8 billion to expand its 5G network to around 65% of populated areas by the end of 2025.
The China market is expected to expand at a rapid pace due to its robust 5G infrastructure. As of April 2024, China has over 3.8 million 5G base stations. The government initiatives to support 5G small cell deployment for dense urban populations and growing demand for high-frequency, low-latency mobile data are expected to fuel market growth going ahead.
North America Market Statistics
North America is expected to register rapid growth of 26.5% during the forecast period, owing to rising investments in 5G infrastructure and supportive initiatives by the government and private sectors. Government programs, including the 5G FAST Plan by the FCC and broadband initiatives by NTIA, provide substantial funding to strengthen 5G connectivity, especially in remote areas. In addition, the presence of key telecom operators and tech companies has resulted in the rising deployment of small-cell networks across urban and suburban zones.
Several major telecom operators and technology firms in the U.S are heavily investing in developing advanced small cell 5G network solutions to cater to the rising demand for high-speed, low-latency connectivity. According to recent statistics, around 82% of mobile data traffic in the country is expected to be carried by 5G by 2030. Moreover, heavy mobile network congestion in key U.S. cities due to high user density and growing demand for private 5G networks in several enterprises are expected to fuel market growth in the coming years.
Companies Dominating Small Cell 5G Network Market Landscape
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
The global small cell 5G network market is rapidly evolving, with strong competition among key players across Europe, Asia, the U.S., and Middle East and Africa. Industry giants like Ericsson, Nokia, and Huawei are investing in R&D to push the boundaries of 5G technology and enhance their service offerings. Meanwhile, regional companies such as Tejas Networks and Dali Wireless are carving out their own space by offering tailored solutions that meet the unique needs of local customers. These key players are also focused on strategic initiatives such as mergers and acquisitions, collaborations, and joint ventures to enhance their product launch and drive market expansion. Here is a list of key players operating in the global market:
|
Company Name |
Country |
Estimated Market Share (%) |
|
Ericsson |
Sweden |
18.2% |
|
Nokia |
Finland |
16.5% |
|
Huawei |
China |
15.3% |
|
Samsung Electronics |
South Korea |
12.7% |
|
Cisco Systems |
USA |
8.4% |
|
ZTE Corporation |
China |
xx% |
|
NEC Corporation |
Japan |
xx% |
|
Fujitsu |
Japan |
xx% |
|
CommScope |
USA |
xx% |
|
CommScope (ARRIS brand) |
USA |
xx% |
|
Airspan Networks |
USA |
xx% |
|
Altiostar Networks |
USA |
xx% |
|
Tejas Networks |
India |
xx% |
|
Dali Wireless |
Malaysia |
xx% |
|
Fujitsu Australia |
Australia |
xx% |
Given below are the areas covered for each company in the market:
Recent Developments
- In October 2024, Axyom.Core, a leading cloud-native wireless core and RAN solution provider, announced the launch of its first 4G/5G dual-mode enterprise femtocell product, covering areas that otherwise have limited or no access.
- In March 2024, Ericsson announced the launch of Radio Dot System 6632, an indoor small cell 5G network, aimed at enhancing 5G coverage for enterprises. After this release, the company reported a 12% increase in small-scale related revenue during Q1 2024 compared to the previous quarter.
Author Credits: Abhishek Verma
- Report ID: 2885
- Published Date: Jun 02, 2025
- Report Format: PDF, PPT
