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The CP solves 5G innovation – the key I/L is predictability.

Elbert et al. ‘23 [Val, Enrique Duarte Melo, Chi Hung Chong, and Johnny Henderson; April 17; Val Elbert is a core member of the Technology, Media & Telecommunications (TMT) practice at The Boston Consulting Group and leads that practice’s global commercial topic in M&A strategy and post-merger integration; BCG, “Accelerating the 5G Economy in the US,” https://www.bcg.com/publications/2023/accelerating-the-5g-economy-in-the-us]//av

The future of the 5G economy in the US will depend to a large extent on decisions made by government. Policymakers can help this essential technology expand by focusing on spectrum availability and the innovation ecosystem. We propose five key initiatives:

Increase the availability of licensed full-power mid-band spectrum for mobile use. Doing so will enable the US 5G economy to better support innovative use cases and further scale existing successes. As noted earlier, mid-band spectrum is in short supply, and more of it is sorely needed. Adding capacity in this range will provide the greatest benefit for users in urban, suburban, and rural locales. With additional exclusive-use licensed spectrum, telecom companies can provide a consistent, reliable, and robust experience for consumers and businesses through 5G connectivity.

Create a pipeline of licensed full-power spectrum. To provide predictability in this pipeline, policymakers should aim for clear visibility with regard to the future spectrum bands to be auctioned, the auction dates, and the availability dates. Predictability is essential to wireless service providers as they undertake their capex planning. It enables informed participation in spectrum auctions, efficient spectrum planning, and effective sequencing of network improvements to deliver the best experience for end users. It also will position the US to lead international spectrum allocation discussions, facilitating the nation’s ability to build international scale for the wireless ecosystem. This was extremely important in the development of 4G. Finally, spectrum predictability will give innovators the security they need to advance the US domestic tech ecosystem, cementing the US’s economic and national security.

Provide incentives for 5G innovation. Give businesses and organizations reasons to build and operate robust 5G innovation hubs and testing facilities to develop broad use cases. The expanded footprint would benefit wireless companies in several ways. It would centralize solutions, collocating innovation hubs and testing facilities. It would cultivate supply-side innovation before demand overtook capacity. It would encourage the co-creation of 5G solutions across industries. And it would leverage the next wave of solutions to productize and monetize new offerings with subsequent partners.

Develop a 5G partnership role for governments. At the federal, state, and local levels, specifically appointed officials should promote 5G development, coordinate collaborative efforts, and mitigate roadblocks. This would encourage collaborations, particularly on complex projects like smart-city initiatives. Using 5G connectivity to revamp traffic control patterns, for example, could benefit from an in-depth partnership between government and businesses from several sectors.

Promote and support the deployment of the IoT. This technology represents one of the highest-leverage ways to advance the 5G economy. Like many large-scale innovations, the IoT may need extra support when introduced in a city, before it achieves economies of scale or has been integrated into local operations.

US competitiveness depends on the nation’s ability to provide leading wireless communications networks and innovative applications and uses that enhance consumers’ lives and improve business efficiencies. With the rollout of the 5G economy, the US is poised not just to catch up with other countries, but also to establish a body of activity that promotes innovation and growth throughout the coming decade, and in the years that follow.

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