The Cellular Operators Association of India has urged the Department of Telecommunications to allow higher, 36 dBm power levels for outdoor 6 GHz usage. This could help telecom firms offer cheaper fixed wireless broadband in rural areas, bypassing costly fiber installations. Investors are watching for regulatory clarity on this contested spectrum space.
The Cellular Operators Association of India (COAI) has formally requested the Department of Telecommunications (DoT) to permit standard power operations at 36 dBm for the 6 GHz frequency band. This move aims to allow telecom operators to use this spectrum for outdoor network coverage, particularly in semi-urban and rural areas. The proposal is based on findings from an expert committee at IIT Madras, led by Professor Radha Krishna Ganti, which evaluated the potential for efficient spectrum use in the 5925-6425 MHz range.
Impact on Fixed Wireless Access
For telecom investors, this development centers on the strategy for Fixed Wireless Access (FWA). Laying fiber optic cables to every home in remote, sparsely populated, or difficult terrains is expensive and slow due to right-of-way permissions and civil engineering costs. FWA allows companies to provide high-speed home internet using wireless signals, which is a faster and cheaper alternative. If the DoT allows high-power outdoor usage in the 6 GHz band, it would likely improve the range and capacity of these wireless services, potentially helping companies like Reliance Industries (Jio) and Bharti Airtel expand their broadband customer base without the heavy capital expenditure required for massive fiber rollouts.
The Spectrum Tug-of-War
While the proposal aims to assist telcos, the 6 GHz band remains a subject of intense industry debate in India and globally. This frequency is highly sought after by two distinct camps. On one side are telecommunication companies, which want this band for mobile and fixed wireless networks. On the other side are tech companies and Wi-Fi equipment manufacturers, who argue that the band should remain unlicensed for high-speed Wi-Fi 6E and Wi-Fi 7 applications.
Critics of the telco-led proposal argue that assigning this spectrum for exclusive high-power use by licensed operators could lead to signal interference, effectively limiting the potential for public Wi-Fi infrastructure. Investors should note that the final decision by the DoT will be a balancing act between the interests of large telecom operators and the tech ecosystem.
What Investors Should Track
The immediate monitorable is the government's response to the COAI's submission. Any decision that allows for exclusive or licensed high-power usage would be a potential positive for large telcos, as it would provide them with additional capacity for their wireless broadband services. Conversely, if the regulator maintains the status quo or favors an unlicensed model, telecom players may need to continue relying on existing bands or more expensive fiber deployment strategies. Shareholders should monitor the DoT's policy roadmap, as it will determine the competitive landscape for broadband and wireless data services in the coming years.