Cisco: Cisco working with telecom operators on private 5G as a service model

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US network gear maker Cisco is working with telecom operators for monetisation of 5G use cases, primarily private 5G as a service model, as Reliance Jio and Bharti Airtel ramp up rollouts, said a senior company executive.

India will leapfrog despite a lag of two-three years in launching 5G, as the rollout is taking place at a very rapid pace, Anand Bhaskar, managing director, service providers, Cisco, India and SAARC, told ET.

“We see the rollout taking place at a very rapid pace with both the service providers (Jio and Bharti Airtel). We are also working with them to see what more we can do in the area of monetisation of the use cases, especially around private 5G as a service model,” Bhaskar said during the Cisco India Summit.

Private networks were touted as a classic use of 5G but so far, not much uptake has happened in India, or even overseas, as companies and telcos try to work around identifying relevant use cases.

“The uptake of 5G private networks will be based on use cases. You need to have a use case which will determine an enterprise to have a spectrum, build the network and be able to monetise that,” said Bhaskar.

He said there have been some early green shoots in terms of use cases, in terms of trials, but there have not been any major deployments so far. “So, it will take some time as we see what will work with the customers or with the service providers,” he said.

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“We are seeing use cases (for private networks) in large mines, large open areas, which need to be networked and connected,” said Bhaskar. “Once the enterprises have the economic model and the monetisation model, that will help determine how much they can afford in the auction to pay for the spectrum. Otherwise, they have the fallback to work with a service provider and deliver those services.”ET reported on March 19 that attorney general R Venkataramani has advised the Department of Telecommunications to allocate spectrum through the auction process. His views dealt a setback to enterprises such as Infosys and GMR, which wanted 5G airwaves allocated through the administrative route, and might impact the rollout of private networks.

The issue of direct allocation of spectrum to enterprises has been contentious, pitching technology firms against telecom operators. Telcos have opposed any direct allocation alleging that it would distort the level playing field and give technology players a backdoor entry to provide 5G services to enterprises.

Tech companies want spectrum directly from the government for setting up captive networks, saying enterprises should not need to depend on telcos.

Cisco is open to working with both the telcos and the enterprises on rollout of private 5G networks, depending on the rules framed by the government, said Bhaskar.

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