WASHINGTON, Feb. 7, 2024
/PRNewswire/ -- Allocating internationally harmonized mid-band
spectrum for 5G can unlock approximately $200B to America's economy over the next 10
years, according to a new study by Accenture (NYSE: ACN)
commissioned by CTIA, the wireless industry association. There is a
risk of America's wireless industry limiting its "future leadership
of the global wireless ecosystem" if embracing 5G spectrum
allocation is not fully supported. This could also impact adjacent
industries that leverage wireless technology such as manufacturing,
utilities, and others in the U.S., the study finds.
The report, Advancing U.S. Wireless Excellence: The Case for
Global Spectrum Harmonization, finds that spectrum
harmonization is key to achieving "economies of scale across the
wireless value chain as well as fueling new sources of growth and
innovation." While most countries are rapidly coalescing around a
set of internationally harmonized bands to support their 5G
networks and realize these benefits, the U.S. has less spectrum
than its international peers, including China, and no plans to free up additional 5G
spectrum in the near term.
"As we saw at the World Radiocommunication Conference (WRC), the
rest of the world is moving quickly to allocate significant amounts
of internationally harmonized mid-band spectrum for 5G to meet
exploding demand and build a foundation for future innovation and
economic growth," said Meredith Attwell
Baker, President and CEO, CTIA. "To avoid becoming a
wireless technology island and secure our economic competitiveness,
it is critical that we move quickly to allocate more full power,
licensed spectrum for 5G with global bands."
According to the study, the U.S. can secure its wireless
leadership and achieve significant economic benefits by leading the
adoption of internationally harmonized spectrum bands. Leading
spectrum harmonization also benefits American consumers by lowering
the cost of wireless products and services, accelerating the
development of innovative 5G use cases and supporting the continued
growth and development of trusted network infrastructure
companies.
"Remediating its mid-band spectrum deficit will be imperative
for the U.S. to fuel new sources of growth and innovation. Ignoring
this opportunity now can jeopardize the wireless leadership it
achieved in 4G, and in the early phase of 5G's rollout," said
Tejas Rao, managing director,
Accenture Cloud First Networks. "Taking calculated and swift action
is necessary to position the U.S. at the forefront of wireless
innovation and lay the foundation for future growth."
The U.S. should focus its efforts on freeing up mid-band
spectrum for full-power, licensed 5G use that will fuel use cases
ranging from 5G home broadband, smart manufacturing, precision
agriculture, and more.
The two bands that stand out given recent developments at the
WRC globally and their inclusion in the National Spectrum Strategy
domestically are:
- The lower 3 GHz band is already harmonized and widely used
around the world, making it the ideal spectrum to start catching up
with the rest of the world on mid-band 5G allocations.
- The 7/8 GHz band, which is slated for future mobile use
internationally, gives the U.S. a clear opportunity to lead in
developing the wireless ecosystem using this next key spectrum
band.
The study highlights that leading the adoption of key spectrum
bands could drive up to $200B in U.S.
economic growth over the next ten years. This includes more than
$150B from new jobs, leadership in
new industries, strengthening America's export market and
accelerating America's global economic competitiveness. An
additional $44B would come from
taking advantage of economies of scale in network equipment and
device production.
Leading the adoption of internationally harmonized bands will
also support the U.S.' goal of securing its network equipment
supply chain, according to Accenture, by enabling trusted equipment
manufacturers to take advantage of global economies of scale and
compete on a more level playing field with Chinese equipment
manufacturers.
A copy of the report can be downloaded here.
About CTIA
CTIA® (www.ctia.org) represents the U.S.
wireless communications industry and the companies throughout the
mobile ecosystem that enable Americans to lead a 21st century
connected life. The association's members include wireless
carriers, device manufacturers, suppliers as well as apps and
content companies. CTIA vigorously advocates at all levels of
government for policies that foster continued wireless innovation
and investment. The association also coordinates the industry's
voluntary best practices, hosts educational events that promote the
wireless industry and co-produces the industry's leading wireless
tradeshow. CTIA was founded in 1984 and is based in Washington, D.C.
About Accenture
Accenture is a leading global
professional services company that helps the world's leading
businesses, governments and other organizations build their digital
core, optimize their operations, accelerate revenue growth and
enhance citizen services—creating tangible value at speed and
scale. We are a talent- and innovation-led company with
approximately 743,000 people serving clients in more than 120
countries. Technology is at the core of change today, and we are
one of the world's leaders in helping drive that change, with
strong ecosystem relationships. We combine our strength in
technology and leadership in cloud, data and AI with unmatched
industry experience, functional expertise and global delivery
capability. We are uniquely able to deliver tangible outcomes
because of our broad range of services, solutions and assets across
Strategy & Consulting, Technology, Operations, Industry X and
Song. These capabilities, together with our culture of shared
success and commitment to creating 360° value, enable us to help
our clients reinvent and build trusted, lasting relationships. We
measure our success by the 360° value we create for our clients,
each other, our shareholders, partners and communities. Visit us at
www.accenture.com.
Copyright © 2024 Accenture. All rights reserved. Accenture and
its logo are trademarks of Accenture.
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