2024 proved to be a pivotal year for mobile network evolution, marked by significant advances in network virtualization, automation and the continued expansion of 5G services. As a leader in network innovation, Samsung has been at the forefront of these developments, working closely with operators worldwide to shape the future of connectivity.

About a year ago, we shared our expectations for 2024, focused on five key areas: Fixed Wireless Access (FWA), virtualized Radio Access Network (vRAN), Open RAN, network slicing, and AI-powered automation. As we review the industry’s advancements from the past year, we’re happy to see that much of our forecast materialized – and in some cases, were even exceeded:

• The U.S. continued to embrace FWA: The market's trajectory was above our prediction of surpassing 10 million U.S. FWA subscribers by the end of the year. Just by the third quarter of 2024, FWA subscriptions in the U.S. had already reached 10.8 million, with projections indicating approximately 11.5 million subscribers by year-end – representing a 15% increase over our initial forecast. Global growth is equally impressive, with 79% of mobile service providers now offering FWA services. This widespread adoption confirms our belief in FWA as a compelling use case for 5G technology.

• vRAN brought real-world benefits: Adopters began to see meaningful total cost of ownership (TCO) savings, lower energy consumption via centralized RAN functions, improved network efficiency through advanced features like Carrier Aggregation and simplified network management through automation. Interestingly, vRAN has now reached the point where TCO is no longer operators’ primary concern. A 2024 Analysys Mason survey of 64 global Tier 1 and Tier 2 operators revealed that security (64%) and integration (56%) have become the primary considerations in vRAN adoption, shifting focus from initial TCO and performance.

• Open RAN complexity persisted: As we anticipated, Open RAN continued to bring a balance of exciting innovation and required collaboration to the market. Interoperability between different vendor components is becoming increasingly complex, which demands extensive testing and validation by the vendors in the ecosystem. Samsung's position as a leading vendor with proven commercial experience affords us a unique position to help operators navigate these complexities and provide pre-validated solutions from Day 1.

• Growth in both network slicing and AI-powered automation: We predicted that 2024 would bring the launch of a commercial network slicing service in the U.S. as well as heightened interest in network automation. Network slicing deployments expanded throughout 2024, with prime examples from major operators in Japan and Canada and promising use cases such as a dedicated slice for first responders in the U.S. However, widespread adoption remains guided by the prerequisite of standalone 5G networks, which many operators are still working to launch and expand. In contrast, AI-powered automation made notable strides, delivering tangible benefits across network operations, such as reducing operational costs and improving network reliability through predictive maintenance and automated optimization. These solutions have validated our belief in the transformative potential of combining AI with network automation, showing immediate returns on investment for operators.

As we kick off the new year, we see three key trends that we expect will shape the evolution of mobile networks:

A software-first approach aids AI integration

The integration of AI in telecommunications necessitates a fundamental shift toward software-based architectures with the dynamic and adaptable properties that can support AI workloads. With these more flexible and programmable networks, we anticipate seeing AI capabilities embedded throughout the network stack, from RAN optimization to core network management. Operators that have already invested in software-defined infrastructure will be better positioned to leverage AI's potential, while those maintaining traditional architecture may run into challenges.

AI integration is also expected across various vertical industries, including enterprise, government and education. Private 5G and Defense 5G verticals are beginning to transition from purpose-built networks to software-based architectures.

The rise of rApps in network intelligence

We expect to see the rise of AI-powered rApps in 2025. These applications, designed to run on the RAN Intelligent Controller (RIC), will play a crucial role in optimizing network performance as well as enabling new services and provide advanced capabilities for optimizing network resources, improving coverage and enhancing user experience.

rApps will enable operators to tailor network performance to specific use cases and customer needs, offering more personalized services. These abilities will drive innovation in the RAN space by allowing third-party developers to create new applications that can be easily integrated into the network.

Private 5G will continue upward trajectory

Investment in private 5G around the globe will continue its steady growth, driven by promising use cases across various applications. We forecast that the value of the private 5G market in the U.S. will surpass $3B by the end of 2025 – just over a 30% year-over-year increase.

The enhanced connectivity, improved security and increased flexibility that private 5G unlocks is desirable across verticals, from manufacturing to healthcare and more. The technology empowers manufacturing facilities with real-time machine monitoring, predictive maintenance and automated quality control, and enables hospitals to employ telemedicine platforms, remote patient monitoring and efficient medical imaging transmission. The innovation and efficiency that private 5G makes possible will continue to propel this technology forward.

Year after year, the telecommunications industry continues its trajectory toward more intelligent, software-defined, and automated networks. The increasing role of AI, continued growth of private 5G networks, and the emergence of AI-powered rApps as key network optimization tools will define 2025. Success in this evolving landscape will require operators to embrace software-first approaches, strategically invest in network intelligence, and maintain flexibility in their deployment strategies.

At Samsung, we remain committed to leading these transformations, working closely with operators to navigate challenges and capitalize on opportunities. As the industry continues to evolve, our focus on innovation, standardization, and practical deployment expertise will help shape the networks of tomorrow.