Oman 5G Core Market Report Size Share Growth Drivers Trends Opportunities & Forecast 2025–2030

Oman 5G Core Market Overview

• The Oman 5G Core Market is valued at USD 145 million, based on a five-year historical analysis. This growth is primarily driven by the increasing demand for high-speed internet connectivity, low latency, advanced network capabilities, the proliferation of IoT devices, and the government's push for digital transformation across various sectors. The expansion of mobile broadband services, deployment of cloud-native 5G core networks, integration of network slicing, adoption of automation and artificial intelligence for network efficiency, and the need for enhanced connectivity solutions have further fueled market growth.
• Muscat and Dhofar are the dominant regions in the Oman 5G Core Market due to their advanced telecommunications infrastructure and significant investments in technology. Muscat, being the capital, serves as a hub for innovation and technology adoption, while Dhofar benefits from government initiatives aimed at improving connectivity in remote areas, thus driving market expansion.
• The Telecommunications Regulatory Authority (TRA) Rules for 5G Spectrum Allocation, 2019 issued by the Telecommunications Regulatory Authority (TRA), Oman, governs the deployment of 5G technology. This framework mandates spectrum auctions in mid-band (3.4-3.7 GHz) and mmWave (26 GHz) bands with 100 MHz blocks allocated to operators like Omantel and Ooredoo, requiring compliance through infrastructure investments, population coverage thresholds exceeding 90%, and public-private partnerships for nationwide rollout.

Oman 5G Core Market Segmentation

By Type:The market is segmented into Core Network Solutions, Virtualized Network Functions, Network Management Software, and Others. Core Network Solutions are leading the market due to their critical role in managing network traffic and ensuring seamless connectivity. Virtualized Network Functions are gaining traction as they offer flexibility and scalability, while Network Management Software is essential for optimizing network performance. The Others category includes various ancillary services that support the core functionalities.

By End-User:The end-user segmentation includes Telecommunications Operators, Enterprises, Government Agencies, and Others. Telecommunications Operators dominate the market as they are the primary providers of 5G services, driving demand for core network solutions. Enterprises are increasingly adopting 5G for enhanced operational efficiency, while Government Agencies are leveraging the technology for public services. The Others category encompasses various sectors utilizing 5G for specific applications.

Oman 5G Core Market Competitive Landscape

The Oman 5G Core Market is characterized by a dynamic mix of regional and international players. Leading participants such as Omantel, Ooredoo Oman, Ericsson, Nokia, Huawei Technologies, ZTE Corporation, Cisco Systems, Samsung Electronics, NEC Corporation, Fujitsu, Intel Corporation, Qualcomm Technologies, Juniper Networks, Ciena Corporation, Keysight Technologies contribute to innovation, geographic expansion, and service delivery in this space.

Oman 5G Core Market Industry Analysis

Growth Drivers

• Increasing Demand for High-Speed Internet:The demand for high-speed internet in Oman is projected to reach 1.5 million broadband subscriptions in future, driven by a growing population and increased digital consumption. The World Bank reports that internet penetration in Oman is expected to rise to 98% in future, reflecting a significant shift towards online services. This surge in demand is a critical driver for the 5G core market, as consumers and businesses seek faster, more reliable connectivity to support their digital activities.
• Expansion of IoT Applications:The Internet of Things (IoT) market in Oman is anticipated to grow to approximately 1.2 million connected devices in future. This growth is fueled by the increasing adoption of smart technologies across various sectors, including healthcare, agriculture, and transportation. The Omani government aims to enhance its digital infrastructure, which will facilitate the deployment of IoT applications, thereby driving the demand for robust 5G core networks that can support the massive data traffic generated by these devices.
• Government Initiatives for Digital Transformation:The Omani government has allocated $1 billion for digital transformation initiatives as part of its Vision 2040 strategy. This investment aims to modernize the telecommunications infrastructure and promote the adoption of advanced technologies, including 5G. In future, the government plans to establish a regulatory framework that encourages innovation and investment in the 5G core market, positioning Oman as a regional leader in digital connectivity and technology adoption.

Market Challenges

• High Deployment Costs:The initial costs associated with deploying 5G infrastructure in Oman are estimated to exceed $500 million in future. These costs include investments in new equipment, network upgrades, and the establishment of data centers. Such financial burdens can deter smaller operators from entering the market, leading to a slower rollout of 5G services and limiting competition, which is essential for driving innovation and improving service quality.
• Limited Consumer Awareness:Despite the growing interest in 5G technology, consumer awareness in Oman remains low, with only 30% of the population familiar with its benefits in future. This lack of understanding can hinder adoption rates, as potential users may be hesitant to invest in new devices or services. To overcome this challenge, telecommunications companies must engage in educational campaigns to inform consumers about the advantages of 5G connectivity and its applications in daily life.

Oman 5G Core Market Future Outlook

The future of the 5G core market in Oman appears promising, driven by ongoing government support and increasing consumer demand for high-speed connectivity. In future, advancements in network technologies, such as network slicing and edge computing, are expected to enhance service delivery and operational efficiency. Additionally, the integration of artificial intelligence in network management will optimize resource allocation, ensuring a seamless user experience. As the market matures, collaboration between telecom operators and technology firms will be crucial for fostering innovation and expanding service offerings.

Market Opportunities

• Development of Smart Cities:Oman’s commitment to developing smart cities presents a significant opportunity for the 5G core market. With an investment of $2 billion planned for smart city projects in future, the demand for advanced connectivity solutions will surge, enabling efficient urban management and improved quality of life for residents.
• Enhanced Mobile Broadband Services:The demand for enhanced mobile broadband services is expected to grow, with mobile data traffic projected to reach 1.5 exabytes per month in future. This growth will create opportunities for telecom operators to offer innovative services, such as augmented reality and virtual reality applications, leveraging the capabilities of 5G technology to meet consumer expectations.