In a first, the Department of Telecommunications (DoT) has released new guidelines for spectrum leasing and practices for development of captive private 5G networks.
The idea is to make it easier to utilise 5G airwaves for development of use cases such as machine-to-machine communications, artificial intelligence (AI), internet of things (IoT), etc.
According to the requirements for captive non-public networks (CNPN), companies that want to buy spectrum directly from the government need to obtain a free 10-year renewable licence.
However, only businesses with a net worth of at least Rs 100 crore will be qualified to set up private 5G networks.
Applicants also have to pay a one-time, non-refundable application processing fee of Rs 50,000, and licensees must adhere to set network security standards when buying telecom equipment from reputable vendors.
The government will need to be informed of the details of the spectrum band, amount of spectrum, duration of the lease, geographic area, and geo-coordinates of the defined premises before tech businesses are permitted to lease airwaves from one or more telecom service providers.
Additionally, leasing money will be included in the gross revenue of telecom businesses.
It is noteworthy that the DoT has prohibited private networks from linking to public networks “in any fashion” and has only allowed private usage of CNPNs.
Furthermore, the leasing of spectrum by telecom and IT businesses will require them to take measures to prevent interference with any public networks or other licensed spectrum users.
According to the DoT, a licensee for a captive non-public network or CNPN may set up an indoor or within-premise isolated captive non-public network for their own usage within the licence’s operational zones.
According to the guidelines, holders of CNPN licences must abide by the current foreign investment laws as well as any applicable network security requirements and directives for the purchase of telecom equipment from reputable vendors. Additionally, they must abide by the radiation regulations in effect at the time the captive network was set up.
Entities must ensure that the established CNPN does not interfere with any public networks or the networks of any other licensed users of the spectrum by obtaining online SACFA (Standing Advisory Committee on Frequency Allocation) clearance before leasing from carriers or purchasing directly from the government.
According to the worldwide mobile vendors’ association, at least 794 organisations and 70 telecom carriers are deploying either LTE or 5G private networks. The manufacturing industry was in the lead with 140 enterprises participating in pilots and deployments, followed by mining and education industries.
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