What 5G captive networks: 10-year renewable licence, no permit fee

The norms for captive non-public networks call for enterprises wanting to obtain spectrum directly from the government to take a 10-year renewable licence, for which the government won't charge any licence fee.The Department of Telecommunications (DoT) has issued a set of guidelines for rollout of captive private 5G networks, alongside fresh guidelines to facilitate spectrum leasing for the first time in India. This has been done with an aim of facilitating use of 5G airwaves for development of use cases such as machine-to-machine communications, artificial intelligence, internet of things, etc.

The norms for captive non-public networks (CNPN) call for enterprises wanting to obtain spectrum directly from the government to take a 10-year renewable licence, for which the government won’t charge any licence fee. However, only those enterprises with a net worth of at least Rs 100 crore will be eligible for setting up private 5G networks, and an applicant will have to pay one time non-refundable application processing fee of Rs 50,000 and the licensee will be required to follow stipulated network security norms regarding procurement of telecom equipment from trusted sources.In case of spectrum leasing, tech companies will be allowed to lease airwaves from one or more telecom service providers will have to submit the details of the spectrum band, the quantum of spectrum, the period of lease, the geographic area, the geo-coordinates of the logical perimeter of the defined premises to the government. Further, revenue earned from leasing spectrum will be part of telecom companies’ gross revenue.

 

Notably, for CNPNs, the DoT has restricted use of such networks only to private use, disallowing private networks from connecting to public networks “in any manner”. Additionally, both telecom companies and tech companies leasing spectrum will have to ensure that there is no interference caused to any public network or any other licensed user of spectrum. On the scope of the CNPN (captive non-public network) licence for enterprises, the DoT said such a licensee may establish indoor or within premise isolated captive non-public network for own use within the areas of operation of licence.Earlier this month, alongside announcing the spectrum auction for rollout of 5G services across the country, the government had announced the proposal for tech companies to acquire spectrum directly from it to test and build industry 4.0 applications such as machine-to-machine communications, Internet of Things, artificial intelligence, etc.Indian firms ready to dial 5G in a year. ... 

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India set to have 70-80 million 5G phones by the end of 2022.China and the United States are significantly ahead of other nations in their 5G rollout, with a combined 652 cities in which 5G is available.

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Number of cities in which 5G is available 2022 by country.

Characteristic Number of cities in which 5G is available

China 356

United States 296

Philippines 98

South Korea 855G services are expected to be launched in India by the end of this month.

The DoT has also revealed that the 5G services will be made available in 13 Indian cities in the beginning.

Airtel chief Bharti Mittal has confirmed that the company’s 5G network is ready and it will roll out soon after the auction is completed.

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