By Shekhar Verma
The arrival of 5G technology has the power to reshape India’s socio-economic landscape. Through Fixed Wireless Access services, 5G can bridge the connectivity divide, especially in rural areas, and drive economic growth. Additionally, the transformative impact of 5G on the education and healthcare sectors is promising, enabling enhanced access, improved quality, and better outcomes. By embracing the potential of 5G, India can unlock a future of inclusivity, innovation, and progress for all its citizens. In fact, the Ericsson mobility report predicts that 5G mobile subscriptions in India will account for 39% of the total by 2027.
However, the successful implementation of these exciting benefits depends on seamless integration and overcoming potential challenges that may arise during the implementation process.
Analysis Of the Current Infrastructure Readiness For 5G Deployment In India
Despite ongoing 5G rollout, there is still a significant need for fiberisation and additional telecom tower deployment. The Digital Infrastructure Providers Association (DIPA) highlighted non-compliance with Right of Way (RoW) rules by certain Indian states. DIPA stressed the importance of fiberisation for 65% of towers and the deployment of 1,200,000 more towers by 2023-24.
In response to the anticipated need for more small cells and increased use of street furniture for 5G, simplified Right of Way (RoW) application procedures for small cells were introduced in 2022. The government also established a centralized RoW portal to streamline the process for ISPs, mobile operators, and infrastructure providers seeking RoW approvals for infrastructure installation. However, only a limited number of states, including Maharashtra, Rajasthan, Chandigarh, Sikkim, Tripura, Manipur, Uttarakhand, Assam, and Ladakh, have aligned their state policies with the Indian Telegraph Right of Way – Amendment Rules, 2022. Despite concerns raised by DIPA, both Reliance Jio and Bharti Airtel appear to be proceeding with their 5G rollout plans at present.
Investments In Network Upgrades and Fiber Optic Infrastructure
The introduction of 5G services has brought a significant focus on the deployment of optical fiber infrastructure. Leading players in this field, such as STL (Sterlite Technologies), HFCL, and Polycab, are attracting attention as the industry requires substantial investment of around Rs. 2.2 lakh crore for optical fiber infrastructure in the coming years. With the immense opportunities presented by 5G and fiber-to-home services (FTTH), companies are actively expanding their capacity and exploring new markets to capitalize on the growing demand both domestically and internationally.
This surge in demand presents a massive opportunity for optical fiber cable manufacturers in India. The country is expected to witness a large-scale, well-structured rollout of optical fiber, providing significant growth prospects for the sector. Estimates from EY and DIPA suggest that an investment of Rs. 59,000-93,000 crores will be needed for fiber deployment and microwave infrastructure over the next five years to establish a robust digital infrastructure for seamless 5G implementation.
However, challenges remain. High raw material costs, logistical issues, and economic downturns could potentially pose hurdles. Additionally, unethical trade practices continue to pose threats to the OFC industry, as foreign players frequently dump low-quality fiber at predatory prices in the Indian market, negatively impacting local manufacturers.
Potential Challenges and Strategies to Address Them
Issues with frequency band and spectrum availability arise with the large-scale implementation of 5G, demanding high-frequency bands. Spectrum’s cost and availability require CSPs to develop a strong business case and make choices on frequency bands for their 5G networks. This may lead to higher operational costs to offer top-notch 5G services with limited spectrum. A clear strategy and approach for 5G network deployment are crucial, considering spectrum purchase and targeting specific use cases. Upgrading mobile devices to support 5G bands is essential for successful implementation. Managing expenses involved in 5G deployment and addressing security and privacy concerns are key challenges in the process.
Conclusion
In conclusion, the advent of 5G in India offers immense potential for socio-economic transformation. However, successful implementation hinges on addressing challenges related to infrastructure readiness, compliance, network upgrades, and security. By strategically tackling these hurdles, India can harness the full benefits of 5G, fostering inclusivity, innovation, and progress for its citizens.
Author Bio –
Shekhar Verma, Director of Product Marketing at eInfochips. He has more than two decades of experience in consulting, business development, and transformation at large global multinationals and deep tech startup environments. Shekhar likes to keep track of emerging technologies and the latest breakthroughs in deep science, the new business models they enable, as well as their societal implications, and the views expressed in this article are his own
