IP Multimedia Subsystem Market Report Scope and Overview:

The IP Multimedia Subsystem Market was valued at USD 3.85 Billion in 2025 and is projected to reach USD 18.83 Billion by 2035, growing at a CAGR of 17.20% during the forecast period.

The IP Multimedia Subsystem Market continues to expand as telecommunication operators accelerate the migration of voice, messaging, and multimedia services onto IP-based cores that interoperate cleanly across fixed and mobile access networks. Sustained rollout of voice over New Radio and voice over LTE, combined with carrier commitments to retire legacy circuit-switched infrastructure, continues widening the installed base of IMS platforms across both developed and emerging telecom markets. Operators are increasingly favoring cloud-native IMS architectures that run on public or hybrid cloud infrastructure, reducing the capital intensity of voice core modernization while improving elasticity during demand spikes.

⮞Ericsson signed a multi-year framework agreement with SoftBank Corp. in March 2026 to modernize the Japanese operator's core network, including migrating SoftBank's IMS to Ericsson Cloud IMS to improve voice and multimedia quality nationwide.

U.S. IP Multimedia Subsystem Market Outlook

The U.S. IP Multimedia Subsystem Market was valued at approximately USD 1.28 Billion in 2025 and is projected to reach USD 6.49 Billion by 2035, expanding at a CAGR of 17.60% over the forecast period.

Demand across the United States continued to be shaped by aggressive carrier timelines for retiring legacy circuit-switched voice infrastructure and completing nationwide voice over New Radio coverage across the leading mobile network operators. Sustained investment in cloud-native voice core platforms hosted on public cloud infrastructure continued to differentiate the U.S. IP Multimedia Subsystem Market from markets where operators still rely heavily on appliance-based deployments, with several national carriers extending or renewing voice core vendor relationships specifically to accelerate feature deployment timelines and improve operational efficiency. Growing enterprise demand for unified communications and rich messaging layered on top of modernized IMS cores continued reinforcing carrier investment, while spectrum refarming tied to legacy network sunsets continued to push remaining circuit-switched subscribers.

⮞AT&T extended its voice core relationship with Nokia in February 2025, a deal aimed at driving new services, faster deployment times, and improved operational efficiencies across AT&T's voice core network.

By Component: Product Leads, Services Grow Fastest

The Product segment dominated the IP Multimedia Subsystem Market, supported by the scale of capital investment operators commit to core call session control, media resource, and subscriber data platforms that anchor an IMS deployment. These platforms represent the foundational infrastructure layer that must be in place before any surrounding service capability can be activated, which keeps product spending concentrated at the center of most operator modernization budgets. The complexity of integrating product platforms with existing radio and transport infrastructure further reinforces operator reliance on established, field-proven product lines rather than newer or unproven alternatives, particularly for the call session control and media gateway functions.

The Services segment is growing fastest as operators increasingly need integration, migration, and managed support capability to execute complex multi-year transitions from legacy circuit-switched or virtualized IMS deployments to cloud-native architectures. Rising operator preference for managed services that bundle ongoing platform optimization with the initial deployment is further expanding this segment, since many carriers lack the specialized in-house expertise required to operate cloud-native voice cores at scale without external support. Multi-year migration programs spanning several market regions further sustain demand for dedicated integration teams capable of coordinating cutover schedules across hundreds of thousands of live subscriber lines without service interruption.

⮞In January 2025, 1GLOBAL selected Nokia voice and packet core solutions to support network operations and expansion into additional markets, including deployment of Nokia IMS Voice Core in three markets, illustrating demand for specialized core-network integration and deployment services.

By Operator Type: Mobile Operators Dominate, Fixed Operators Grow Fastest

The Mobile Operators segment dominated the IP Multimedia Subsystem Market as the sheer subscriber volume carried by mobile networks, combined with the urgency of voice over New Radio rollout commitments tied to 5G Standalone launches, continued to concentrate IMS investment with mobile carriers ahead of fixed-line operators. Regulatory and competitive pressure to deliver voice quality parity with legacy circuit-switched service further reinforced mobile operator spending on IMS infrastructure across both developed and emerging markets. Competitive pressure from rival carrier groups offering fixed-mobile convergence bundles further reinforces mobile operator investment in keeping their own voice and multimedia platform competitive on both cost and feature parity.

The Fixed Operators segment is the fastest growing as broadband-focused carriers increasingly adopt IMS to support fixed-mobile convergence strategies, converged Centrex offerings, and unified communications bundles aimed at enterprise and residential customers. Operators that previously ran separate voice infrastructure for fixed and mobile lines are increasingly consolidating onto a single IMS layer to reduce operating costs and simplify service delivery across both access types. Cable and broadband operators expanding into mobile through wholesale or mobile virtual network arrangements are adding a further wave of fixed-side demand, as these entrants typically need a single converged voice platform rather than inheriting separate legacy mobile and fixed cores.

⮞In July 2025, Australian mobile operator Optus contracted Nokia to refresh its IP Multimedia Subsystem voice platform using the Cloud Native Communication Suite on Red Hat OpenShift, targeting more resilient 5G voice services for more than 10 million customers.

Regional Analysis

North America IP Multimedia Subsystem Market Insights

North America dominated the IP Multimedia Subsystem Market with the largest revenue share of approximately 38.90% in 2025, supported by aggressive carrier timelines for sunsetting legacy circuit-switched networks, widespread voice over New Radio rollout across 5G Standalone deployments, and sustained investment in cloud-native voice core platforms hosted on major public cloud providers. The region's regulatory environment, which has pushed carriers toward firm shutdown deadlines for older networks, continued reinforcing the pace of IMS modernization investment across national carriers.

The United States accounted for the substantial majority of regional revenue, anchored by the scale of its mobile subscriber base and the competitive urgency among national carriers to differentiate on voice and multimedia quality. Canada continued contributing a smaller but steady share of regional capacity, with carriers there following a similar trajectory toward cloud-native voice core adoption, albeit on a smaller subscriber base and a more gradual legacy network retirement schedule. Mexico's inclusion within the broader North American telecom footprint of several regional carrier groups continued contributing incremental platform investment tied to cross-border network integration.

⮞In March 2025, Boost Mobile deployed Nokia's cloud-native 5G Voice Core, consolidating multiple IMS voice functions into Nokia's Cloud Native Communication Suite to accelerate new service launches and improve network automation across its nationwide mobile network.

Europe IP Multimedia Subsystem Market Insights

Europe held a meaningful share of global revenue, supported by coordinated national regulatory pressure to retire legacy fixed and mobile voice infrastructure and a dense concentration of multi-country carrier groups consolidating previously fragmented IMS platforms inherited through mergers and spectrum-sharing arrangements. The region's long history of fixed-mobile convergence initiatives continued to support demand for unified IMS layers capable of serving both access types.

Germany continued to lead regional demand at roughly 24.30% of European revenue, supported by its large converged carrier base and sustained investment in voice core consolidation projects, while Spain and the United Kingdom continued contributing significant IMS platform consolidation activity tied to multi-brand carrier integration programs. France and Italy continued contributing meaningful regional revenue through steady voice core refresh cycles tied to national 5G Standalone rollout timetables.

⮞In March 2025, O₂ Telefónica Germany selected Amazon Web Services to host IMS voice workloads on AWS Graviton processors, extending its cloud-native core strategy to support flexible capacity scaling, automated network monitoring, and more efficient voice service operations.

Asia Pacific IP Multimedia Subsystem Market Insights

Asia Pacific is advancing at the fastest pace, growing at a CAGR of approximately 21.40% from 2026 to 2035, driven by the scale of 5G Standalone rollout across the region's largest carriers, rapid growth in mobile subscriber bases across emerging Southeast Asian markets, and rising government support for domestic telecom infrastructure modernization programs tied to national digital economy strategies.

China held a substantial share of regional revenue, supported by the scale of its mobile carrier base and continued large-scale voice core modernization programs, while India continued strengthening its position through rapid 5G subscriber growth and Japan and South Korea maintained advanced, early-adopter cloud-native IMS deployments among their leading carriers. South Korea in particular continued to push aggressive voice over New Radio coverage targets as part of its broader national 5G Standalone strategy, supporting steady platform investment among its three nationwide carriers.

⮞In March 2026, Rakuten Mobile, Rakuten Symphony, and Nokia launched Nokia's cloud-native IMS and subscriber data management functions on Rakuten Cloud for live commercial 4G and 5G core operations, advancing fully virtualized network architecture.

MEA and Latin America IP Multimedia Subsystem Market Insights

The Middle East and Africa and Latin America both showed steady growth, driven by expanding mobile broadband penetration, gradual legacy network retirement programs, and rising carrier interest in fixed-mobile convergence as a way to differentiate service bundles in increasingly competitive telecom markets across both regions.

Saudi Arabia led Middle East and Africa demand, supported by the country's large-scale 5G rollout and national digital transformation initiatives, while Brazil led Latin America, benefiting from its large mobile subscriber base and sustained carrier investment in voice core modernization across the region's leading operator groups. Mexico and Argentina continued contributing secondary demand within Latin America, while the United Arab Emirates and South Africa remained notable contributors to Middle East and Africa demand alongside Saudi Arabia.

⮞In July 2025, Saudi Arabia's stc Group launched a business-critical LTE communications network for government, healthcare, and oil and gas organizations, introducing highly available, encrypted connectivity designed to support mission-critical communications and future network capabilities.

Market Dynamics

Growth Drivers: Voice over New Radio Rollout and Legacy Network Retirement

The industry is driven by the scale of voice over New Radio rollout commitments tied to 5G Standalone launches across leading global carriers, which require a modernized IMS core capable of delivering voice and multimedia services natively over the 5G access network rather than falling back to legacy circuit-switched or 4G voice fallback mechanisms. Regulatory and competitive pressure pushing carriers toward firm legacy network retirement deadlines continues reinforcing this dynamic across both developed and emerging telecom markets. Carriers that complete voice over New Radio rollout ahead of competitors are increasingly using the resulting voice quality and latency advantages as a differentiator in premium service bundles, further sharpening incentives to modernize quickly.

Rising operator preference for cloud-native IMS architectures that run on public or hybrid cloud infrastructure continues supporting platform investment, as carriers seek to reduce the capital intensity of voice core modernization while gaining the elasticity needed to handle demand spikes without over-provisioning dedicated appliance hardware across every market they serve. Growing availability of hyperscale public cloud regions in previously underserved markets is further lowering the barrier for carriers in those markets to adopt cloud-native voice core architectures on a comparable timeline to larger, more established operators.

⮞In July 2025, Optus selected Nokia's Cloud Native Communication Suite to modernize its IMS voice platform on a hybrid-cloud architecture using Red Hat OpenShift, supporting more resilient 5G voice services and reducing manual network operations.

Restraints: Legacy Infrastructure Integration Complexity and Migration Risk

Persistent complexity in integrating new IMS platforms with existing radio, transport, and billing infrastructure continues posing a restraint, with many carriers operating a patchwork of legacy equipment from multiple vendors that complicates a clean technology transition to a unified cloud-native voice core. Interoperability testing across radio access, transport, and billing systems from different eras of network investment often consumes a disproportionate share of overall project time relative to the core platform deployment itself.

The risk of migration, which entails shifting of live voice traffic from a legacy system to an IMS core, is one of the risks that remains executional. This is because most providers of telecommunication services have a huge number of subscribers, such that any interruption in the process of migration may result in customer complaints and regulatory concerns. The process of vendor consolidation, where several legacy IMS platforms acquired through mergers have to be combined into one core, adds another level of complexity to the project.

Opportunities: Fixed-Mobile Convergence and Rich Communication Services Expansion

Rising carrier interest in fixed-mobile convergence platforms that unify voice, messaging, and multimedia services across both access types represents a significant opportunity for IMS vendors able to offer a single platform spanning fixed and mobile delivery rather than separate, siloed infrastructure for each access type. Cable operators and converged broadband providers expanding into mobile service represent a particularly attractive customer segment for this capability, given their relative lack of legacy mobile voice infrastructure to migrate away from.

Expanding adoption of rich communication services and premium voice tiers enabled by network slicing offers a second substantial opportunity, as carriers increasingly look to monetize differentiated voice and multimedia experiences beyond basic connectivity, creating new commercial use cases for IMS platforms beyond their traditional role as voice infrastructure. Vendors able to package these capabilities as modular, API-exposed services stand to capture a disproportionate share of this opportunity as carriers look to monetize their IMS investment beyond baseline connectivity revenue.

⮞In May 2025, ZTE and China Mobile highlighted an IMS media-plane plug-in architecture for AI-enabled New Calling services, enabling modular deployment of intelligent multimedia processing capabilities and creating opportunities to extend traditional voice infrastructure into richer interactive communication services.

IP Multimedia Subsystem Market key players are:

• Telefonaktiebolaget LM Ericsson

• Nokia Corporation

• Huawei Technologies Co., Ltd.

• ZTE Corporation

• Mavenir Systems, Inc.

• Oracle Corporation

• Metaswitch Networks

• Samsung Electronics Co., Ltd.

• NEC Corporation

• Cisco Systems, Inc.

• IBM Corporation

• Ribbon Communications Inc.

• Athonet S.r.l.

• Cirpack

• Dialogic Inc.

• Italtel S.p.A.

• Radisys Corporation

• WIT Software

• Comviva Technologies Limited

• Amdocs Limited

IP Multimedia Subsystem Market Report Scope: