Telcos' stand on high-frequency bands puts 5G auctions in a spot

India’s 5G journey has got a jolt with telecom operators telling the Department of Telecommunications (DoT) that the stiff conditions imposed on using crucial 26 GHz spectrum are not acceptable because they will make deploying services financially unviable on the band. 

The conditions entail, among other things, using lower power on antennas, limiting coverage manifold.

Telcos have made it clear that the move will delay the rollout of 5G and discourage them from participating in the upcoming auction of 5G services, scheduled for the end of this year, especially because the government seems to be conceding demands from defence and space rather than telecommunications’. 

That is reflected in the fact that the government is offering merely 175 MHz available in the mid-band 3.3 GHz to 3.6 GHz for auction to telcos now though it had promised 300 MHz (but defence and space wanted part of it) with slots of 100 MHz each for three players. 
 

However, with the new move it will have a slot for not more than even two players. But there are four operators in the battle. Without adequate mid and high frequency band, it is not possible for telcos to offer high speeds and low latency which are the key differentiator of 5G services. 

 

The ministry has told telcos that it will submit its recommendations with these conditions to the World Radio Congress to be held this month (under the aegis of the International Telecommunication Union) in Egypt, which will determine the standard bands which will be used for 5G across the world which is also known as global harmonisation of 5G bands. This is done to ensure easy availability of telecom gear at reasonable prices (compared to using a spectrum band where there are no players or only a few) as well as help mobile manufacturers produce relevant devices. It also makes easy availability of global telecom services like roaming for customers across the band as they also operate on the same spectrum band.  

Rajan Matthew, director general, Cellular Operators Association of India, says: “The DoT wants part of the band to be used for weather satellite, and we have said yes why not earmark 2 GHz to them with a guard band so that there is not interference with telcos and enough is available for us. But now the DoT has stipulated that power output of the antenna we use for 5G should be less than what is used for Wi-Fi. This means we have to have to deploy more and more towers (estimates say three to four times) for coverage which makes it unviable and it virtually kills deploying 5G services on this spectrum.” Not only that telcos also complain that DoT has also put in a condition of how much the antenna should be tilted which simply leads to reduction in the coverage area of 5G services. 

Matthew says that the problem is aggravated by the fact that even 28 GHz band has been reserved for the department of space even though many countries like the US, Japan, South Korea and Australia are using it for 5G. India has taken a call that it won’t do so. 
 

Telcos also point out that the move by India on 26 GHz will not find many supporters across the world, but India can still have the right to follow a different standard for 2600 MHz deployment. 

Leading telcos have made it clear that they will not participate in the 5G auctions if the high base price fixed by the Telecom Regulatory Authority of India (Trai) is not reduced. Adding to that problem is the fact that while earlier around 300 MHz of spectrum were available in the 3.3-3.6 GHz band this has now been reduced because space has asked for 25 MHz and now defence wants to reserve 100 MHz.