Statement by Lt. Gen. Dr. S.P. Kochhar, Director General, COAI
In the dynamic landscape of India’s telecom sector, 2023 unfolded as a year marked by substantial progress and noteworthy challenges. At the forefront of this narrative is the monumental growth driven by the nationwide implementation of 5G, positioning India as a global leader with over 3.97 lakh 5G BTS sites across 738 districts by November. The industry proudly boasts 1.148 billion wireless subscribers as of August, showcasing a 1.9% growth from the preceding year, with an average data usage per subscriber reaching an impressive 17.4 GB per month.
Challenges Amidst Growth: The LTG Conundrum
Despite overall sectoral growth, a critical challenge looms large—the absence of contributions to network costs from Large Traffic Generating (LTG) digital platforms/players. Telecom Service Providers (TSPs) advocate for fair cost-sharing from LTGs to balance rising infrastructure expenses. The recent U.S. Senate bill echoes this sentiment, recognizing the need for high traffic-generating ‘Edge Service Providers’ to contribute to the costs of delivering affordable broadband.
Allocating the 6 GHz Band for 5G Advancements
The allocation of the 6 GHz spectrum band emerges as a strategic move to enhance mobile network quality and coverage. Designating the full 6 GHz band for 5G communications aligns with the surging demand for data services, positioning 5G as a pivotal technology for diverse applications. The recent global consensus at the World Radiocommunication Conference 2023 in Dubai to open this spectrum band for International Mobile Telecommunications (IMT) underscores the global acknowledgment of India’s push for 5G advancements.
Other Major Issues Demanding Attention
Pending issues, including the second phase of 5G spectrum allocation, Right of Way (RoW) permissions, high levies, and taxes, continue to pose challenges. Telecom sector stakeholders advocate for a supportive regulatory environment and resolution on these matters to ensure sustained success. The high cost of commercial electricity tariffs also emerges as a hurdle, requiring government intervention to fortify the telecom ecosystem.
Noteworthy Developments in 2023
The completion of minimum 5G roll-out obligations in all 22 Licensed Service Areas positions India as the second-largest 5G network globally. The introduction of 6G technology, with Hon’ble Prime Minister Shri Narendra Modi outlining India’s 6G Vision document, sets ambitious goals for a targeted deployment by 2030. Initiatives such as establishing a high-level panel of experts and 6G labs by industry leaders underscore collective efforts in shaping India’s telecom future.
The Telecommunications Bill 2023 marks a significant stride, introducing provisions for a robust telecom infrastructure, simplified regulatory landscapes, and stringent measures for national security. TRAI’s recommendations for telecom infrastructure in Northeastern States, progressive RoW rules by the Ministry of Defence, and extensions in MTCTE implementation timelines exemplify a concerted approach to foster sustainable growth.
Looking Ahead: 5G Leadership and Regulatory Progress
As India cements its global 5G leadership, industry expectations center on leveraging 5G for diverse applications. A collaborative approach with LTGs, a responsive regulatory framework, and sustained innovation are pivotal for ensuring sustainable growth in the digital ecosystem. The telecom industry remains optimistic about evolving use cases and anticipates regulatory developments that foster fair competition and innovation in the ever-evolving landscape.
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