According to ABI Research, the Department of Telecommunications’ (DoT) dismissal of the views presented by the Telecom Regulatory Authority of India (TRAI) for setting aside licensed spectrum for captive private networks will lead to a slowdown in enterprise digitisation and result in a lower gross domestic product (GDP) in India. In contrast, the number of private networks is growing strongly in national markets that have dedicated spectrum licenses or shared spectrum.
ABI Research said that there were over 1,000 private cellular networks for enterprises globally in May 2023, representing a significant increase compared to last year. But it has cautioned that restrictive spectrum allocations and hesitancy in telcos pose threats to the future growth of private networks. According to Leo Gergs, senior analyst for 5G markets, ABI Research, the constantly growing number of private cellular networks indicates that there is still a high interest in connectivity technology, which is still perceived as relatively new.
The recent initiatives by the European Commission suggest its members reserve spectrum between 3.8 GHz to 4.2 GHz as an important example for other regions to follow. There is also a need for ‘easy access’ to the licenced spectrum.