How Integrated Sensing and Communications (ISAC) Could Double the Economic Value of Licensed Spectrum
As many of us know, in some ways (or more than some ways) 5G has been a bit of an economic letdown. It’s true that predictions may have been overly optimistic, but here at Tiami Networks we’re convinced that there’s still plenty of value left to be had. We believe that Integrated Sensing and Communications (ISAC) is one of the keys to unlocking that as-of-yet unobtained value – both in densely and less-densely populated areas.
Clearly, the increasing demand for 5G services has pushed operators to maximize the use and value of their licensed spectrum. A significant way to do that is by integrating radar sensing capabilities (ISAC) into 5G networks. This innovation not only optimizes communication but also unlocks new revenue streams and applications. The best part is – you don’t have to wait for 6G – at Tiami we’re doing this today!
The Value of Licensed Spectrum
First, some background – licensed spectrum, particularly low-band, is a precious resource due to its superior propagation characteristics and coverage. Despite the high costs, such as the notable $140.1 billion peak in 2021 for spectrum allocations, the economic justification lies in its potential for broad and reliable 5G deployment. According to a report from the Global mobile Suppliers Association (GSA), low-band spectrum has been fetching high prices due to its ability to support extensive network coverage with fewer base stations. In fact, on a global basis, operators are actually paying a higher average price per MHz per population block (price/MHz/POP) for low-band spectrum than for their midband holdings.
Enhancing Spectrum Value with Radar Sensing in Densely Populated Areas
Integrating radar sensing into 5G networks transforms the spectrum from a single-purpose to a multi-purpose asset. This approach, employed by our PolyEdge™ solution, uses existing 5G infrastructure for both communication and sensing, thus increasing its utility and economic value.
- Improved Network Efficiency: Radar sensing allows for better network management and optimization, reducing downtime and maintenance costs by providing real-time environmental data.
- New Applications and Revenue Streams: The integration enables various applications like autonomous vehicle navigation, drone management, and smart city infrastructure monitoring. These applications create new business opportunities and revenue streams for operators.
- Enhanced Public Safety and Services: By leveraging radar sensing, 5G networks can support advanced public safety applications, such as disaster response and traffic management, thereby increasing the social value of the spectrum.
Rethinking Price per MHz per POP
It’s easy to understand why prices would be higher in more densely populated areas. But integrated sensing and communications has the potential to vastly increase the value of spectrum that doesn’t service highly populated areas. A great example might be a smart warehouse that’s in a rural location – sure there may not be a high population in the area but all those smart devices and pieces of automation equipment have the potential to be connected to the network.
We’re also seeing interest in places where national security objectives are paramount. You might imagine a nation’s border that isn’t heavily populated – but uses devices like unmanned aircraft systems to increase security and safety. Again, here is a place where the old paradigm about spectrum price is likely to shift.
Conclusion
Integrating radar sensing with 5G not only enhances the technical capabilities of networks but also significantly increases the economic value of licensed spectrum, both in heavily populated areas and less populated ones.
By transforming a communication asset into a multi-functional tool, operators can justify the high costs of spectrum acquisition while opening new avenues for innovation and revenue – in both urban and rural areas.
References For more insights into the economics of 5G spectrum, refer to the detailed report by RCR Wireless here.