To Accelerate 5G Deployment, FCC Revised 3.5GHz Spectrum Policy
In order to ensure the leading position of the United States in the 5G era, the Trump Administration has decided to adopt the strategy of "America first, 5G first" to accelerate the pace of 5G commercial deployment in policy. The premise of commercial deployment of 5G is the acquisition of 5G spectrum resources. Accordingly, the FCC (Federal Communications Commission of the United States) has also proposed a "5G Fast (5G FAST) plan to facilitate the commercial deployment of 5G from the spectrum policy. Recently, the FCC approved the amendment of the original licensing rules for 3.5GHz spectrum in order to accelerate the pace of 5G commercial services. This revision is mainly embodied in the specific implementation rules, such as extending the service life of commercial licences to 10 years and eliminating bandwidth restrictions. The purpose is to facilitate the deployment of 5G network for telecommunication operators, and ultimately ensure that the United States can lead the development of 5G in the world.
In the United States, a total of about 150 MHz 3.5 GHz spectrum resources from 3.55 GHz to 3.7 GHz are currently mainly used for CBRS. As far as the situation is concerned, the utilization rate of spectrum resources in this band is very high. According to the licensing rules established by the FCC in 2015, the band is authorized to three levels of users: the first level is IAU (existing access user) dominated by U.S. Navy Radar Operator; the second level is PAL (priority access license) user, mainly for telecom operators serving commercial users; and the third level is GAA (GAA). General authorized access) user.
Objectively speaking, the original 3.5GHz band spectrum licensing rules do not match the current demand of the urgent development of 5G in the United States.
For example, Michael O'Rielly, a FCC Commissioner specializing in reviewing existing regulations and reviewing new policies, bluntly pointed out that the old rules "cannot support large-scale deployment of mobile networks or 5G networks, but only small-scale fixed network deployment, which is unattractive for other types of deployment." . Basically, the old rules were designed to allow specific groups to obtain frequent use permits at a low price.
In order to make the 3.5GHz band spectrum play its due value, the FCC announced on October 23 that although the revised licensing rules will continue to retain the original three-tier user settings, many changes have taken place in the specific implementation rules for PAL users (mainly Telecom operators). These changes are as follows: firstly, the size of PAL licence coverage is changed from census area to county; secondly, the use period of PAL licence is extended from three years to ten years before the expiration, and renewal can be made after the expiration; thirdly, the operators at the end of the licensing period are required to operate; fourthly, to ensure that each licensing area can be issued seven. Fifth, the bidding credit system can be used when applying for spectrum in rural and tribal areas; sixth, the PAL license bands are allowed to be used separately; seventh, information security needs are increased to protect registration information; and eighth, transmission channels are broadened while other services are protected.
It is noteworthy that the extension of the license period and the removal of PAL number and bandwidth restrictions are highlights of this revision. In addition to extending the licensing period from three to ten years and renewable, the new rules also remove the number of PALs available to a single applicant in a licensing area (previously up to four) and the corresponding bandwidth limit for a PAL (previously 10 MHz).
In fact, there has been controversy over the size of PAL licences. Ajit Pai, chairman of the FCC, acknowledged that different stakeholders had different opinions, either they wanted to continue with the size of previous census areas or they wanted to expand their coverage substantially. "We eventually found that the county-scale licensing system was right, and this compromise allowed most interested parties, regardless of size, to participate in bidding for 3.5GHz spectrum to provide 5G services," Agate Bai stressed. He added that the FCC's final County licensing scale was supported by rural wireless associations and competitive operators'associations (representing the interests of smaller operators).
The FCC's revision of the 3.5GHz spectrum licensing rules, though not so revolutionary, shows the determination of the United States to actively accelerate the 5G commercial deployment. "These changes are an integral part of the FCC's 5G FAST (5G Fast) comprehensive plan. We hope that through active spectrum policy, the United States will be able to ensure leadership in the next generation of wireless connectivity era, 5G," FCC Chairman Agate Bai further said. Objectively speaking, many new regulations in 3.5GHz licensing rules, especially the extension of licence period from 4 years to 10 years, will undoubtedly enhance the confidence of telecom operators in long-term investment of 5G.
