The introduction of 5G network services has sparked a wave of innovation across the country. Since its launch in 2022, India has seen remarkable progress, including a network roll-out by telcos, the introduction of groundbreaking use cases and 5G spectrum auction conducted by the Department of Telecommunications (DoT). As highlighted in the Economic Survey 2023-24, India has emerged as one of the fastest growing 5G markets globally.
A comprehensive look at the latest developments and emerging trends shaping the 5G landscape…
Market trends
According to the Ericsson Mobility report, global 5G subscriptions have surpassed 1.7 billion, with approximately 160 million added in the first quarter (Q1) of 2024. The year is expected to see a total of 600 million new subscriptions.
The report noted that in India, 5G subscriptions are projected to grow from 119 million at the end of 2023 (10 per cent of all mobile subscriptions) to 840 million by the end of 2029, constituting 65 per cent of total subscriptions. This rapid expansion is being driven by extensive mid-band deployments.
Since the launch of 5G services in October 2022, India’s mobile broadband speed ranking has significantly improved, climbing from 118th to 15th in March 2024. Telcos are rapidly expanding their customer base, with Reliance Jio surpassing 100 million 5G users and Bharti Airtel reaching nearly 75 million by March 2024. In another notable development, Bharat Sanchar Nigam Limited (BSNL) has launched its 4G services and begun testing 5G technology. Telecommunications start-ups and companies are also in discussions with BSNL to conduct live 5G trials using the 700 MHz band, focusing on captive non-public networks and exploring applications such as voice, video and data-over-5G fixed wireless access (FWA), and network slicing proof of concept. BSNL has also introduced 5G-ready SIM cards for its users.
According to a study by Ookla, 5G availability has improved from 28.1 per cent in Q1 2023 to 52 per cent in the fourth quarter (Q4) of 2023, marking a 23.9 per cent rise within a year. The country’s 5G infrastructure has also expanded rapidly, with over 426,000 5G base transceiver stations by July 2024, compared to 275,256 in July 2023.
Infrastructure requirements
The successful adoption of 5G in the country relies heavily on robust infrastructure, encompassing fiberisation, small cells, street furniture, in-building solutions and antennas. The key to the 5G roll-out is improving fiberisation and expanding small cell deployment. Small cells are crucial for delivering high-band 5G in densely populated urban and indoor areas. Many carriers position these cells atop large towers to provide varied levels of 5G service. Fibre penetration and E-band deployment enhance 5G’s low latency and high speed capabilities. Furthermore, improving telecom connectivity inside buildings is essential for ensuring network availability with 5G.
As of July 2024, India has approximately 804,129 telecom towers and further plans to increase this to 1.5 million by 2025. Meanwhile, tower fiberisation currently stands at 44 per cent. Low fiberisation impacts the quality of new 5G services, leading to slower internet speeds and compromised voice quality compared to 4G. Telecom operators, including Airtel, have urged the government to use the Universal Service Obligation Fund to support tower fiberisation. The Indian Telecommunications Act, 2023, which includes a ceiling on right-of-way fees, is also a positive step in this direction.
Analysts estimate that an investment of Rs 2 trillion-Rs 3 trillion will be necessary to achieve adequate tower fiberisation and expand the number of towers. Moreover, well-developed 5G infrastructure will be crucial for the future development of the upcoming 6G technology, which promises to deliver a new range of solutions.
Government’s push
As telcos achieve their 5G roll-out targets, the government is actively backing their efforts to monetise these networks by promoting the adoption of 5G applications across a wide range of sectors. To this end, the government has introduced 100 5G use case labs within institutions nationwide, aimed at fostering the development of tailored 5G solutions to address local needs. In April 2024, DoT introduced an experimental licence module for labs, marking a significant step in advancing 5G technology in India. So far, DoT has granted approximately 1,500 experimental licences for these labs.
In another development, DoT has launched the 5G Intelligent Village Programme, aiming to ensure equitable technological advancement using technology to uplift rural communities. The programme calls for proposals for the research and development of effective utilisation of ultra-reliable low-latency communication and massive machine type communication aspects of 5G, in selected villages. It has also introduced a spectrum regulatory sandbox and wireless test zones, aimed at facilitating the testing of domestically produced wireless solutions, along with the abolition of the wireless operating licence requirement.
The 5G spectrum auction conducted by DoT concluded in June 2024. A total quantum of 141.4 MHz (26.5 per cent) from the remaining 533.6 MHz spectrum worth Rs 113.4 billion, was sold. The three private telcos – Airtel, Reliance Jio Infocomm Limited, and Vodafone Idea Limited (Vi) – have successfully bid and received spectrum in the auction for growth and continuity of services.
Operators’ initiatives
Telecom operators have been demonstrating various 5G use cases and collaborating with vendors to develop new 5G applications tailored for enterprises across various sectors. Airtel has announced that it has started refarming its existing mid-band spectrum to accommodate the growing traffic demand on its 5G network by expanding 5G services on its 1800, 2100 and 2300 MHz bands across the country. Meanwhile, Nokia has successfully completed its first 5G non-standalone cloud radio access network (RAN) trial with Airtel in India.
In addition, Vi has completed the minimum roll-out obligations for commencing 5G services in its 17 circles. According to the company, it acquired mid band 5G spectrum (3300 MHz band) in these 17 priority circles and mmWave 5G spectrum (26 GHz band) in 16 circles. Vi has also been in active discussions with Samsung regarding new technologies, such as virtualised RAN (vRAN) solutions for its 4G and 5G deployments.
Emerging use cases
The introduction of 5G marks a significant leap in the quality of network services, paving the way for the development of innovative and attractive use cases. Among these, FWA is emerging as one of the most compelling followed by enhanced mobile broadband. FWA has become particularly appealing to operators due to its high speed capabilities, efficient data handling and low latency.
For many operators, FWA could also be the key service that yields benefits for their investment in 5G infrastructure, opening up new revenue streams and extending the reach of traditional fixed networks. It enables ultra-high-speed broadband services that cater to the growing demand for gaming, video broadcasting and security services, areas where consumers are willing to pay a premium.
For instance, Jio’s 5G FWA expansion strategy has significantly boosted its fibre-to-the-home (FTTH) business. By the end of Q4 FY2024, Jio AirFiber, the telco’s 5G FWA service, was available in nearly 5,900 cities and towns. Airtel is also witnessing growth in its FTTH subscriber base, driven by its 5G FWA offerings.
Moreover, 5G technology enables network slicing, which allows the creation of isolated, virtualised networks on the same infrastructure, offering customised solutions for industries. Another promising use case is private 5G networks, which leverage 5G technologies to create secure, dedicated networks within specific areas, supporting next-generation applications with enhanced speed and latency.
Complementary technologies
As 5G rolls out, open RAN is gaining traction, especially among smaller mobile operators, for their cost-effectiveness and role in accelerating 5G adoption. Complementary technologies such as edge computing, network slicing, artificial intelligence, machine learning, automation, software-defined networking, network function virtualisation, blockchain, and internet of things (IoT) are crucial for supporting high speed, low-latency 5G applications. Each of these has its own set of use cases, which are interconnected with one another. For instance, edge computing reduces latency by processing data closer to users, while network slicing creates tailored virtual networks. Additionally, blockchain’s decentralised architecture secures IoT connectivity, ensuring seamless and secure communication between devices. Together, these technologies and 5G have the potential to revolutionise various sectors, from smart homes to autonomous vehicles.
Challenges and the way ahead
While 5G technology promises a wide range of applications across sectors, its deployment comes with significant challenges. One of the primary obstacles is the substantial investment required to expand 5G services. Second, the unique features that set 5G apart from earlier communication technologies make it more vulnerable to cyber threats. As 5G evolves within dynamic, programmable and virtualised environments, the potential for security threats will only increase.
That said, 5G holds the potential for an innovative future, capable of supporting data-intensive applications, delivering high network speeds and enhancing customer experiences. However, addressing the deployment challenges that could hinder this progress is the need of the hour.
Niha
