Hopes rising for pvt 5G networks

Captive 5G networks that failed to take off despite three years of 5G may get a leg-up with the Centre weighing the case for allocating spectrum directly to enterprises, a demand that faced resistance from telcos before.

- Jatin Grover

The government will soon assess the demand for such dedicated networks, two people familiar with the plan said, promising seamless automation and operational efficiency at sprawling factory premises and corporate campuses. Once the demand studies are done, the government will decide how to allot spectrum to such companies, whether through auctions by direct allotments.

"Enterprises have expressed concerns that telecom operators are charging them higher prices to set up their private networks. Also, they have said that there are also security concerns if they give contracts to telcos," one of the two people said on the condition of anonymity.

The government has toyed with the idea before: In 2022, 20 companies including Infosys, Capgemini, GMR, Larsen & Toubro, Tata Communications, Tata Power and Tejas Networks had moved the Department of Telecommunications (DoT) for spectrum, primarily in the 3,300-3,670 MHz band; however, the DoT did not act on these requests at the time.