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18.05.2018

5G frequency allocation procedures in Germany: Strengthening Germany as a business location through local frequency allocation

The possibility of operating one's own 5G networks is important for future viability of Germany as a business location. The decision of the Bundesnetzagentur on the allocation of 5G frequencies in Germany, which in addition to the nationwide auction of frequencies also provides for an allocation of local and regional frequencies on application, is therefore the right step.

5G Mobilfunk

5G technology makes it possible to break new ground in industrial communication: In addition to broadband data transmission, it can also be used for very demanding industrial applications for the first time, as 5G will meet the highest requirements for reliability (high availability) and real-time transmission capability (low latency). 5G thus provides an unprecedented degree of flexibility and mobility in industrial production and the basis for taking Industrie 4.0 to the next level.

The decision of the Bundesnetzagentur to allow for operating private 5G industrial networks through local and regional frequency allocation secures the future viability of Germany as a business location. This strengthens Germany as leading market for Industrie 4.0 and German industry as leading supplier of Industrie 4.0 applications. It is particularly important for companies in manufacturing industry, as it enables them to operate private 5G industrial networks for communication in factories in addition to public networks.

The nationwide frequency auction for mobile network operators should focus on rapid and nationwide expansion and not on the prospect of high proceeds from the auction. Expected revenues and network expansion requirements should be reasonably balanced so telecommunication companies have appropriate funds at their disposal to quickly start adhering to their obligations. 

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