In the contemporary world, every succeeding decade talks about the arrival of a new G. And the recent generation of the internet which has covered the front page of several magazines is the 5G. According to the Cellular Telecommunications Industry Association, there is cutthroat competition between the United States and China.
But it looks like that U.S. has surpassed China and quickened its step with making it an important focus of the government. It has successfully prepared the infrastructural background and other necessities to launch it in its planned locations.
The President of the United States, Donald Trump, along with the chairman of the FCC (Federal Communications Commission), Ajit Pai, recently spoke about the various strategies in this regard. Their words have brought America’s plans into the core purview of the media.
Building Up the Rural Networking
America has shown its equal concern towards rural networking. So, the FCC has built a plan to invest about $20.4 billion in the coming 10 years. They’re doing so in order to escalate the best quality broadband networking in rural locations. This particular plan has been named the “Rural Digital Opportunity Fund.”
Under this plan, the FCC has decided to enact a policy of reverse auction. It will fund those seeking to provide network services in these rural areas. Those areas facing the absence of high-speed network capabilities (between 25Mbps-3Mbps) will be auctioned. Key firms expected to fight for this plan include T-Mobile US, Inc. (TMUS), CenturyLink, Inc. (CTL) and US Cellular Corporation (USM).
With the networking modernization, people living in rural areas will be able to see the introduction of 5G sensors, methods of cloud computing and Artificial Intelligence. All of this, as a result, could accelerate the production of farming. The plan aims to bring the 5G network to at least 4 million rural families.
Auction Trends
Until now, the FCC has been successful in auctioning 1,550 MHz since November of last year. And now the FCC has unveiled its 3rd round of auctions. The zeal to be on the top among others running the same race also inspire more competition.
The upcoming auction will be the largest one including 3,400 MHz, which will be available for three spectrum bands – 37,39 and 47GHz. Verizon Communications Inc. (VZ), Sprint Corporation (S), & AT&T Inc. (T), for example, expect to have strong competition as each one of them is a 5G service provider in the U.S.
5G Network-Private or Government Intensive?
In recent news, President Donald Trump continues to refute statements that the government will own 5G. Through his statements, he has cleared that the government has no intention to nationalize this sector. Instead, they are focusing on encouraging the privatization of the sector.
He also remarked that as America is a country with a private sector approach, so to is there no such intention. And even the government is not planning to spend a large sum of money as private bodies will better run this sector.
In the end, it will be interesting to watch who will surpass everyone else in this race of network supremacy.
