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    South Korea 5G Service Market

    ID: MRFR/ICT/62713-HCR
    200 Pages
    Aarti Dhapte
    October 2025

    South Korea 5G Service Market Research Report By Service Type (Professional Services, Managed Services), By Communication Type (Extreme Mobile Broadband, Massive Machine-Type Communications, Fixed Wireless Access, Others), By Technology (Wi-Fi, High-Speed Package Access, Radio Access Technologies, System for Mobile, Others), and By Vertical (Energy and Utilities, Automotive, Healthcare, Others)- Forecast to 2035

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    South Korea 5G Service Market Infographic
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    South Korea 5G Service Market Summary

    As per MRFR analysis, the 5G Service Market Size was estimated at 1834.2 USD Million in 2024. The 5g service market is projected to grow from 2303.76 USD Million in 2025 to 22500.0 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 25.6% during the forecast period 2025 - 2035.

    Key Market Trends & Highlights

    The South Korea 5G service market is poised for robust growth driven by infrastructure expansion and technological advancements.

    • The market is characterized by the rapid expansion of 5G infrastructure across urban areas, particularly in Seoul, which remains the largest region.
    • Emerging applications in sectors such as healthcare and entertainment are driving innovation and adoption of 5G services.
    • The government is actively supporting 5G initiatives through favorable regulations and funding, enhancing market dynamics.
    • Technological advancements in telecommunications and rising demand for high-speed connectivity are key drivers propelling market growth.

    Market Size & Forecast

    2024 Market Size 1834.2 (USD Million)
    2035 Market Size 22500.0 (USD Million)

    Major Players

    Huawei (CN), Ericsson (SE), Nokia (FI), Qualcomm (US), Samsung (KR), AT&T (US), Verizon (US), T-Mobile (US), China Mobile (CN)

    South Korea 5G Service Market Trends

    The in South Korea is currently experiencing rapid growth, driven by the increasing demand for high-speed connectivity and advanced mobile applications. As one of the first countries to launch commercial 5g services, South Korea has established a robust infrastructure that supports a wide range of industries, including telecommunications, automotive, and healthcare. The government has played a pivotal role in promoting the adoption of 5g technology, facilitating investments, and encouraging innovation. This proactive approach has led to a competitive landscape where major telecom operators are continuously enhancing their offerings to capture a larger share of the market. Moreover, the integration of 5g technology into various sectors is expected to transform the way businesses operate. Enhanced connectivity enables the development of smart cities, autonomous vehicles, and IoT applications, which are becoming increasingly prevalent. The focus on digital transformation is likely to drive further investments in the 5g service market, as companies seek to leverage the benefits of faster data speeds and lower latency. As the market evolves, it appears that consumer demand for seamless connectivity will continue to shape the future of the 5g service market in South Korea, fostering an environment ripe for innovation and growth.

    Expansion of Infrastructure

    The ongoing expansion of 5g infrastructure is a key trend in the 5g service market. Telecom providers are investing heavily in enhancing network coverage and capacity, particularly in urban areas. This expansion is crucial for meeting the increasing demand for high-speed internet and supporting a growing number of connected devices.

    Emergence of New Applications

    The rise of new applications tailored for 5g technology is transforming various sectors. Industries such as healthcare, entertainment, and transportation are exploring innovative solutions that leverage the capabilities of 5g. This trend indicates a shift towards more integrated and efficient systems, enhancing user experiences.

    Government Support and Regulation

    Government initiatives and regulatory frameworks are significantly influencing the 5g service market. Policies aimed at promoting investment and innovation are fostering a conducive environment for growth. This support is essential for ensuring that the market can adapt to evolving technological advancements and consumer needs.

    South Korea 5G Service Market Drivers

    Expansion of Smart City Initiatives

    The expansion of smart city initiatives is a crucial driver for the 5g service market in South Korea. As urban areas continue to grow, local governments are investing in smart technologies to improve infrastructure, enhance public services, and promote sustainability. By 2025, it is anticipated that over 50% of South Korean cities will implement 5g-enabled smart city solutions, such as intelligent traffic management and public safety systems. These initiatives not only improve the quality of life for residents but also create a demand for advanced telecommunications services. The integration of 5g technology into smart city projects is expected to facilitate seamless connectivity and data exchange, thereby significantly contributing to the growth of the 5g service market.

    Rising Demand for High-Speed Connectivity

    The demand for high-speed connectivity is a primary driver of the 5g service market in South Korea. With the proliferation of smart devices and the Internet of Things (IoT), consumers and businesses alike are seeking faster and more reliable internet services. As of 2025, it is estimated that over 80% of households in South Korea will have access to 5g services, reflecting a significant shift in consumer preferences. This rising demand is not only limited to individual users but also extends to industries such as healthcare, automotive, and entertainment, which increasingly rely on high-speed connectivity for their operations. Consequently, telecommunications providers are investing heavily in infrastructure to meet this growing need, further propelling the 5g service market.

    Competitive Landscape Among Telecom Providers

    The competitive landscape among telecom providers in South Korea plays a pivotal role in shaping the 5g service market. Major players are engaged in aggressive strategies to capture market share, including the introduction of innovative pricing models and bundled service offerings. As of 2025, the market is characterized by a fierce rivalry, with providers investing heavily in marketing and customer acquisition. This competition is likely to lead to improved service quality and expanded coverage, benefiting consumers and businesses alike. Additionally, partnerships with technology firms to develop new applications and services are becoming increasingly common, further stimulating growth in the 5g service market. The dynamic nature of this competitive environment suggests a promising outlook for the industry.

    Increased Investment in Digital Transformation

    The 5g service market in South Korea is significantly influenced by increased investment in digital transformation across various sectors. Businesses are recognizing the potential of 5g technology to enhance operational efficiency and customer engagement. As of 2025, investments in digital transformation initiatives are expected to exceed $15 billion, with a substantial portion allocated to 5g-related projects. This trend is particularly evident in industries such as manufacturing, where 5g enables real-time data analytics and automation. The push for digital transformation is likely to create new revenue streams and improve competitiveness, thereby driving further growth in the 5g service market. Companies that leverage 5g technology are positioned to gain a competitive edge in an increasingly digital economy.

    Technological Advancements in Telecommunications

    The in South Korea is experiencing rapid growth due to continuous technological advancements in telecommunications. Innovations in network architecture, such as the deployment of small cells and massive MIMO (Multiple Input Multiple Output) technology, enhance network capacity and efficiency. As of 2025, the market is projected to reach approximately $10 billion, driven by increased demand for high-speed internet and low-latency applications. These advancements not only improve user experience but also enable new services, such as augmented reality and smart city applications, which are becoming increasingly prevalent in urban areas. The integration of artificial intelligence in network management further optimizes performance, indicating a robust future for the 5g service market in South Korea.

    Market Segment Insights

    South Korea 5G Service Market Segment Insights

    South Korea 5G Service Market Segment Insights

    5G Service Market Service Type Insights

    5G Service Market Service Type Insights

    The South Korea 5G Service Market is characterized by a diverse range of Service Type segments that are pivotal for its growth and development. Among these, Professional Services and Managed Services are key contributors that dramatically bolster the overall capabilities of the 5G infrastructure.

    Professional Services include a wide array of consultative offerings such as integration, maintenance, and optimization designed to enhance the client’s operational efficiency. This segment is essential as it guides businesses through the complexities of implementing new technologies, ensuring that they maximize their investment in 5G.

    With South Korea being a technological hub, the demand for specialized expertise in the Professional Services segment remains robust as industries look for ways to leverage 5G technology in various applications, from smart cities to autonomous vehicles.

    On the other hand, Managed Services form an integral part of the 5G ecosystem, providing end-to-end management of network operations, thus allowing companies to focus on their core competencies. This segment is expected to gain traction due to the increasing need for organizations to maintain agility and efficiency without the burden of managing all aspects of their 5G infrastructure.

    5G Service Market Communication Type Insights

    5G Service Market Communication Type Insights

    The Communication Type segment of the South Korea 5G Service Market plays a pivotal role in shaping the overall landscape of wireless communication, enhancing connectivity across various applications.Extreme Mobile Broadband stands out as a major driver for mobile consumers, enabling faster data speeds and improved user experiences which are essential for applications like video streaming and augmented reality.

    Massive Machine-Type Communications caters to the burgeoning Internet of Things (IoT) ecosystem, supporting an extensive number of connected devices and enabling industries to automate operations efficiently.

    Fixed Wireless Access is gaining traction as it provides high-speed internet access to underserved areas, facilitating internet adoption in rural regions and contributing to South Korea's commitment to bridging the digital divide. Additionally, the "Others" segment encompasses a variety of services that address niche applications, ensuring a comprehensive communication framework that meets diverse user needs.

    Collectively, these segments underscore the dynamic evolution of the South Korea 5G Service Market, driven by technological advancements and increasing demand for seamless connectivity in both urban and rural settings.The government's proactive policies to encourage 5G infrastructure investment further bolster these developments, ensuring South Korea remains at the forefront of global telecommunications innovation.

    5G Service Market Technology Insights

    5G Service Market Technology Insights

    The South Korea 5G Service Market, underpinned by various technology segments, is rapidly evolving to cater to the increasing demand for high-speed connectivity and enhanced services. Significant contributors to this growth include technologies such as Wi-Fi, High-Speed Package Access, Radio Access Technologies, and System for Mobile.

    Wi-Fi is vital as it allows seamless integration of devices within a locality, enhancing user experience. High-Speed Package Access plays a key role in facilitating high-throughput data access, further enriching mobile network capabilities.

    Radio Access Technologies enhance the robustness and reach of 5G networks, catering to varying demands across urban and rural landscapes, while System for Mobile is critical in ensuring efficient network management and resource allocation.

    Each of these technologies contributes uniquely to the infrastructure of the South Korea 5G Service Market, facilitating innovations and addressing user requirements effectively. The South Korean government's commitment to advancing its digital infrastructure amplifies the significance of these technologies, driving market growth and establishing the nation as a global leader in 5G services.As the adoption of smart devices and IoT applications continues to rise, the demand for these technologies is expected to strengthen, positioning South Korea at the forefront of technological advancements.

    5G Service Market Vertical Insights

    5G Service Market Vertical Insights

    The Vertical segment of the South Korea 5G Service Market encompasses a wide range of applications, including Energy and Utilities, Automotive, and Healthcare, among others. This segmentation is essential as each area leverages 5G technology to improve efficiency and service delivery.

    For instance, the Energy and Utilities sector utilizes 5G for smart grid implementations, enabling real-time monitoring and management of energy consumption, which aligns with South Korea's commitment to sustainable energy development. In the Automotive industry, 5G facilitates advancements in connected vehicles and autonomous driving, enhancing safety and navigation systems.

    The Healthcare sector benefits significantly from 5G capabilities through telemedicine and remote monitoring, making healthcare services more accessible while increasing patient care quality. Other industries also explore innovative applications, driving overall market growth.

    As South Korea continues to invest in 5G infrastructure, each of these verticals is poised to experience transformative change, further solidifying the country's position as a global leader in 5G applications and solutions. Overall, the South Korea 5G Service Market statistics reflect a dynamic landscape where technological advancements are shaping the future across multiple sectors.

    Get more detailed insights about South Korea 5G Service Market

    Key Players and Competitive Insights

    The 5g service market in South Korea is characterized by intense competition and rapid technological advancements. Key growth drivers include the increasing demand for high-speed connectivity, the proliferation of IoT devices, and the ongoing digital transformation across various sectors. Major players such as Samsung (KR), Ericsson (SE), and Qualcomm (US) are strategically positioned to leverage their technological expertise and innovation capabilities. Samsung (KR) focuses on expanding its 5g infrastructure and enhancing its semiconductor production, while Ericsson (SE) emphasizes partnerships with local telecom operators to optimize network performance. Qualcomm (US) is heavily invested in developing 5g chipsets, which are crucial for the proliferation of 5g-enabled devices. Collectively, these strategies contribute to a competitive environment that is both dynamic and multifaceted.

    Key business tactics in the market include localizing manufacturing and optimizing supply chains to enhance operational efficiency. The competitive structure appears moderately fragmented, with several players vying for market share. However, the influence of key players is substantial, as they drive innovation and set industry standards. The collaboration between companies and local telecom operators is particularly noteworthy, as it fosters a more integrated approach to service delivery and customer engagement.

    In October 2025, Samsung (KR) announced a partnership with a leading South Korean telecom operator to enhance its 5g network capabilities. This collaboration aims to improve network reliability and speed, which is essential for supporting the growing number of connected devices. The strategic importance of this partnership lies in its potential to solidify Samsung's position as a leader in the 5g infrastructure space, enabling it to capture a larger share of the market.

    In September 2025, Ericsson (SE) launched a new suite of 5g solutions tailored for smart cities, focusing on sustainability and energy efficiency. This initiative is significant as it aligns with global trends towards greener technologies and urban development. By positioning itself at the forefront of smart city solutions, Ericsson (SE) not only enhances its product offerings but also addresses the increasing demand for sustainable infrastructure.

    In August 2025, Qualcomm (US) unveiled its latest 5g chipset designed for IoT applications, which promises to enhance connectivity and reduce latency. This development is crucial as it supports the growing ecosystem of IoT devices, thereby expanding Qualcomm's market reach. The introduction of this chipset indicates Qualcomm's commitment to innovation and its strategic focus on enabling a broader range of applications in the 5g landscape.

    As of November 2025, current competitive trends in the 5g service market include a strong emphasis on digitalization, sustainability, and the integration of AI technologies. Strategic alliances are increasingly shaping the landscape, as companies collaborate to enhance their technological capabilities and market reach. Looking ahead, competitive differentiation is likely to evolve from traditional price-based competition to a focus on innovation, technology, and supply chain reliability. This shift underscores the importance of adaptability and forward-thinking strategies in maintaining a competitive edge in the rapidly evolving 5g service market.

    Key Companies in the South Korea 5G Service Market market include

    Industry Developments

    With a focus on ultra-low latency services for smart industries and driverless cars, SK Telecom added 92% of urban and suburban areas to its 5G Standalone (SA) network in March 2025. The operator also introduced next-generation 5G chipsets for consumer electronics in partnership with Samsung Electronics.

    In order to enhance South Korea's digital economy, KT Corporation teamed up with LG Uplus and Naver Corporation to roll out 5G cloud gaming and AI-powered enterprise solutions by April 2025. In May 2025, Daum Kakao introduced interactive content and video streaming services geared for 5G, improving user experience on all mobile platforms.

    Hyundai Motor Company and Samsung Electronics launched 5G-based smart factory initiatives in June 2025, combining automated production lines and connected automobiles. In the meantime, MBC and CJ ENM developed 5G broadcasting services by utilizing HD streaming for major events.

    Global vendors and local operators continued to make large expenditures in 5G R&D, with an emphasis on smart city, autonomous driving, and enterprise applications, despite M1's limited presence. South Korea's standing as a global leader in 5G adoption and innovation is strengthened by these advancements.

    Future Outlook

    South Korea 5G Service Market Future Outlook

    The 5G service market is projected to grow at a 25.6% CAGR from 2024 to 2035, driven by increased demand for high-speed connectivity and IoT applications.

    New opportunities lie in:

    • Development of smart city infrastructure leveraging 5G connectivity.
    • Expansion of telemedicine services utilizing real-time data transmission.
    • Creation of immersive AR/VR experiences for remote training and education.

    By 2035, the market is expected to be robust, driven by innovative applications and widespread adoption.

    Market Segmentation

    South Korea 5G Service Market Vertical Outlook

    • Energy and Utilities
    • Automotive
    • Healthcare
    • Others

    South Korea 5G Service Market Technology Outlook

    • Wi-Fi
    • High-Speed Package Access
    • Radio Access Technologies
    • System for Mobile
    • Others

    South Korea 5G Service Market Service Type Outlook

    • Professional Services
    • Managed Services

    South Korea 5G Service Market Communication Type Outlook

    • Extreme Mobile Broadband
    • Massive Machine-Type Communications
    • Fixed Wireless Access
    • Others

    Report Scope

    MARKET SIZE 2024 1834.2(USD Million)
    MARKET SIZE 2025 2303.76(USD Million)
    MARKET SIZE 2035 22500.0(USD Million)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 25.6% (2024 - 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 Huawei (CN), Ericsson (SE), Nokia (FI), Qualcomm (US), Samsung (KR), AT&T (US), Verizon (US), T-Mobile (US), China Mobile (CN)
    Segments Covered Service Type, Communication Type, Technology, Vertical
    Key Market Opportunities Expansion of Internet of Things applications driving demand in the 5g service market.
    Key Market Dynamics Intensifying competition among providers drives rapid innovation and expansion in the 5G service market.
    Countries Covered South Korea

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    FAQs

    What is the projected market size of the South Korea 5G Service Market in 2024?

    The South Korea 5G Service Market is projected to be valued at 1.83 USD Billion in 2024.

    What is the expected market size of the South Korea 5G Service Market by 2035?

    By 2035, the South Korea 5G Service Market is expected to reach a value of 9.17 USD Billion.

    What is the expected CAGR for the South Korea 5G Service Market from 2025 to 2035?

    The expected CAGR for the South Korea 5G Service Market from 2025 to 2035 is 15.756%.

    Which service type is projected to hold the highest value in the South Korea 5G Service Market by 2035?

    Managed Services are projected to hold the highest value at 5.55 USD Billion by 2035.

    What is the market value of Professional Services in the South Korea 5G Service Market for 2024?

    Professional Services are valued at 0.73 USD Billion in the South Korea 5G Service Market for the year 2024.

    Who are the key players in the South Korea 5G Service Market?

    Key players in the South Korea 5G Service Market include LG Uplus, SK Telecom, and KT Corporation.

    What challenges are anticipated in the South Korea 5G Service Market?

    The South Korea 5G Service Market may face challenges such as competition among key players and regulatory hurdles.

    What growth drivers are influencing the South Korea 5G Service Market?

    Growing demand for high-speed internet and enhanced connectivity are significant growth drivers for the South Korea 5G Service Market.

    What impact might regional trends have on the South Korea 5G Service Market?

    Regional trends in technology adoption and infrastructure development may significantly boost the growth of the South Korea 5G Service Market.

    What are the major applications for services within the South Korea 5G Service Market?

    Major applications within the South Korea 5G Service Market include smart cities, autonomous vehicles, and advanced mobile communication services.

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