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Principles of spectrum licensing

A wave of 5G auctions and renewals of existing licenses are expected over the next five years.
Man in testing room with iPad

The approach governments take will have considerable influence on whether 5G is deployed extensively and its full potential is realized. Key recommendations to governments in this regard are the following:

  • Governments should prioritize pervasive, high quality network deployment over the goal of maximizing spectrum fees.
  • Longer and clearer license terms can incentivize higher levels of investment and innovation.
  • Maximizing the availability of spectrum in a timely and planned manner is critical for economic growth.
  • The value of spectrum is best realized throughs its economic and social use.

Two Ericsson commissioned studies by Aetha Consulting highlight the importance of best practice policy in spectrum licence awards and renewals. The first focusses on spectrum award best practice in Latin America and the second on licence renewal best practice in Europe. Although reports are regionally focussed the recommendations and examples of best and practice draw from case studies world-wide and the recommendations are relevant for most markets.

Ensuring European spectrum renewals are aligned with Europe´s Digital Decade targets

Ensuring spectrum awards in Latin America align with digital connectivity ambitions

 

Ericsson considers national licenses to be the most efficient and effective approach of managing spectrum identified for 5G. If a regulator decides to offer parts of available spectrum regionally or locally then linking the right of using such spectrum to the real-estate ownership (or tenant, depending on national prerequisites) is an effective approach as doing so resolves many of the issues associated by regional or local licensing.

Ericsson’s key policies