The Digital Communications Commission (DCC), the decision-making body of the DoT has declined to allow enterprises to set up private 5G networks. They would need to partner with Telecom operators who would get airwaves. This decision must be vetted by the Cabinet. There is a ray of hope for the enterprises. This segment is considered high margin and contributes 10-20 percent to a telecom operator’s revenue.
TRAI, as we have already observed, has suggested to permit enterprises to have private networks by obtaining the spectrum from the government or by using leased spectrum from the telecom operators.
What is needed is the collaboration of all players in the eco-system to address the dynamics of the situation.
Private networks have gained traction across the world for business apps and security-critical apps. Enterprises would like to exercise full control over their operating process and should ensure data security.
As private networks have the capability to exploit various use-cases of 5G, there would greater penetration of 5G into manufacturing, mining, logistrics, transport, healthcare, agriculture, education and entertainment.
Nokia, the Finnish telecom gear maker, is ready to develop jointly private networks for Indian enterprises.
Globally, there is a mix. It is up to regulators to decide how they want to allocate spectrum. Both the models work well.