5G Technology in India Strategic, Legal and Regulatory Considerations
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MUMBAI SILICON VALLEY BANGALORE SINGAPORE MUMBAI BKC NEW DELHI MUNICH NEW YORK Research MUMBAI SILICON VALLEY BANGALORE 93 B, Mittal Court, Nariman Point 220 S California Ave., Suite 201 Prestige Loka, G01, 7/1 Brunton Rd 5G Technology Mumbai 400 021, India Palo Alto, California 94306, USA Bangalore 560 025, India Tel +91 22 6669 5000 Tel +1 650 325 7100 Tel +91 80 6693 5000 Fax +91 22 6669 5001 Fax +1 650 325 7300 Fax +91 80 6693 5001 in India SINGAPORE MUMBAI BKC NEW DELHI Level 30, Six Battery Road 3, North Avenue, Maker Maxity C–5, Defence Colony Singapore 049 909 Bandra–Kurla Complex New Delhi 110 024, India Strategic, Legal and Regulatory Mumbai 400 051, India Tel +65 6550 9856 Considerations Tel +91 11 4906 5000 Tel +91 22 6159 5000 Fax +91 11 4906 5001 Fax +91 22 6159 5001 October 2020 MUNICH NEW YORK Maximilianstraße 13 375 Park Ave Suite 2607 80539 Munich, Germany New York, NY 10152 Tel +49 89 203 006 268 Tel +1 212 763 0080 Fax +49 89 203 006 450 5G Technology in India Strategic, Legal and Regulatory Considerations © Nishith Desai Associates 2020 [email protected] © Nishith Desai Associates 2020 www.nishithdesai.com 5G Technology in India Strategic, Legal And Regulatory Considerations October 2020 [email protected] DMS Code - 570057,1: © Nishith Desai Associates 2020 5G Technology in India Strategic, Legal and Regulatory Considerations About NDA We are an India Centric Global law firm (www.nishithdesai.com) with four offices in India and the only law firm with license to practice Indian law from our Munich, Singapore, Palo Alto and New York offices. We are a firm of specialists and the go-to firm for companies that want to conduct business in India, navigate its complex business regulations and grow. Over 70% of our clients are foreign multinationals and over 84.5% are repeat clients. Our reputation is well regarded for handling complex high value transactions and cross border litigation; that prestige extends to engaging and mentoring the start-up community that we passionately support and encourage. We also enjoy global recognition for our research with an ability to anticipate and address challenges from a strategic, legal and tax perspective in an integrated way. In fact, the framework and standards for the Asset Management industry within India was pioneered by us in the early 1990s, and we continue remain respected industry experts. We are a research based law firm and have just set up a first-of-its kind IoT-driven Blue Sky Thinking & Research Campus named Imaginarium AliGunjan (near Mumbai, India), dedicated to exploring the future of law & society. We are consistently ranked at the top as Asia’s most innovative law practice by Financial Times. NDA is renowned for its advanced predictive legal practice and constantly conducts original research into emerging areas of the law such as Blockchain, Artificial Intelligence, Designer Babies, Flying Cars, Autonomous vehicles, IoT, AI & Robotics, Medical Devices, Genetic Engineering amongst others and enjoy high credibility in respect of our independent research and assist number of ministries in their policy and regulatory work. The safety and security of our client’s information and confidentiality is of paramount importance to us. To this end, we are hugely invested in the latest security systems and technology of military grade. 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We have significant diversity with female employees in the range of about 49% and many in leadership positions. © Nishith Desai Associates 2020 Provided upon request only Accolades A brief chronicle our firm’s global acclaim for its achievements and prowess through the years – Benchmark Litigation Asia-Pacific: Tier 1 for Government & Regulatory and Tax 2020, 2019, 2018 Legal500: Tier 1 for Tax, Investment Funds, Labour & Employment, TMT and Corporate M&A 2020, 2019, 2018, 2017, 2016, 2015, 2014, 2013, 2012 Chambers and Partners Asia Pacific: Band 1 for Employment, Lifesciences, Tax and TMT 2020, 2019, 2018, 2017, 2016, 2015 IFLR1000: Tier 1 for Private Equity and Project Development: Telecommunications Networks. 2020, 2019, 2018, 2017, 2014 AsiaLaw Asia-Pacific Guide 2020: Tier 1 (Outstanding) for TMT, Labour & Employment, Private Equity, Regulatory and Tax FT Innovative Lawyers Asia Pacific 2019 Awards: NDA ranked 2nd in the Most Innovative Law Firm category (Asia-Pacific Headquartered) RSG-Financial Times: India’s Most Innovative Law Firm 2019, 2017, 2016, 2015, 2014 Who’s Who Legal 2019: Nishith Desai, Corporate Tax and Private Funds – Thought Leader Vikram Shroff, HR and Employment Law- Global Thought Leader Vaibhav Parikh, Data Practices - Thought Leader (India) Dr. Milind Antani, Pharma & Healthcare – only Indian Lawyer to be recognized for ‘Life sciences- Regulatory,’ for 5 years consecutively Merger Market 2018: Fastest growing M&A Law Firm in India Asia Mena Counsel’s In-House Community Firms Survey 2018: The only Indian Firm recognized for Life Sciences IDEX Legal Awards 2015: Nishith Desai Associates won the “M&A Deal of the year”, “Best Dispute Management lawyer”, “Best Use of Innovation and Technology in a law firm” and “Best Dispute Management Firm” © Nishith Desai Associates 2020 5G Technology in India Strategic, Legal and Regulatory Considerations Please see the last page of this paper for the most recent research papers by our experts. Disclaimer This report is a copy right of Nishith Desai Associates. No reader should act on the basis of any statement contained herein without seeking professional advice. The authors and the firm expressly disclaim all and any liability to any person who has read this report, or otherwise, in respect of anything, and of consequences of anything done, or omitted to be done by any such person in reliance upon the contents of this report. Contact For any help or assistance please email us on [email protected] or visit us at www.nishithdesai.com Acknowledgements Dr. Mihir Parikh [email protected] Vaibhav Parikh [email protected] Puja Saha [email protected] Siddhartha Sarangal contributed to an earlier version of this paper. © Nishith Desai Associates 2020 5G Technology in India Strategic, Legal and Regulatory Considerations Contents SUMMARY 01 1. INTRODUCTION 02 2. 5G TECHNOLOGY 04 I. Evolution of Wireless Standards 04 II. 5G Frequency Spectrum 05 III. Open Radio Access Network 06 IV. Benefits Over Traditional RAN 07 V. O-RAN Alliance 07 VI. Telecom Infra Project (“TIP”) 08 VII. Associated Technologies 09 VIII. Pros and Cons 09 IX. 5G and Health Risks 10 X. Standards-setting Agencies 12 3. APPLICATIONS 13 I. Enhanced Mobile Broadband (“EMBB”) 13 II. Ultra Reliable Low Latency Communications (“URLLC”) 13 III. Massive Machine Type Communications (“MMTC”) 13 IV. Sector-Specific Applications 13 V. Internet of Things (“IoT”) 13 VI. Artificial Intelligence (“AI”) 13 VII. Media and Entertainment 13 VIII. Telemedicine 14 IX. Communications 14 X. Gaming 14 XI. Autonomous Vehicles 14 XII. Smart Cities 14 4. EVOLUTION OF TELECOMMUNICATIONS POLICY IN 15 INDIA 15 History I. 16 II. National Digital Communications Policy, 2018 17 5. REGULATORY LANDSCAPE 17 I. Key Regulations 18 Regulatory Agencies II. 18 Spectrum Allocation III. 20 IV. Plans For 5G © Nishith Desai Associates 2020 5G Technology in India Strategic, Legal and Regulatory Considerations 6. KEY CONSIDERATIONS 22 I. Standards 23 II. Spectrum Availability 23 III. Infrastructure Investments 24 IV.Workforce Availability 24 V. Location of 5G Equipment 25 VI.National Security 25 VII. Law Enforcement 26 VIII.Network Security 27 IX. Data Protection & Privacy 28 X. Effects on Other Critical Applications 29 XI. Environmental and Societal Impact 29 7. CONCLUSION 30 © Nishith Desai Associates 2020 5G Technology in India Strategic, Legal and Regulatory Considerations Summary 5G technology will usher in a much greater revolution than itself. At the base level, it will significantly increase the capacity and reach of existing mobile networks through greater data throughput and ultralow latency. But in a larger sense, 5G will become the backbone of many fourth industrial revolution (IR4) technologies like Artificial intelligence, augmented reality/virtual reality, drones, internet of things, telemedicine, and autonomous vehicles. Many kinds of devices, billions in number, will be connected to each other through 5G and offer the kind of capabilities and user experience never seen before. Our businesses and lives will change forever. And India is not staying behind in this revolution. In this paper, we provide a primer on 5G technology in non-technical terms, overview of extended 5G applications for various sectors, the regulatory landscape for 5G in India, and finally outline various important strategic, policy, regulatory, technical and behavioral considerations. * Prepared by the 5G Practice Core Team of Nishith Desai Associates Dr. Mihir Parikh: Leads Strategic Legal Consulting from Silicon Valley office in Palo Alto, California. Vaibhav Parikh: Leads the Technology, M&A, Private Equity, Blockchain and Virtual Currencies practice and heads NDA’s US operations from New York office. Puja Saha: Member of Technology, Media & Telecommunications team based in New Delhi, India. Acknowledgement: Siddhartha Sarangal contributed to an earlier version of this paper. © Nishith Desai Associates 2020 1 Provided upon request only 1. Introduction The number of mobile users worldwide and In India, the mobile telecommunications their data needs have increased exponentially market has recently undergone a tectonic shift. over the last two decades. In the same The market has become highly competitive time period, we have seen tremendous with the introduction of new players offering improvements in mobile technologies. cheaper and better voice and data plans to However, the existing mobile technologies consumers with better coverage. This has led to are reaching their peaks. As more people and a price war affecting all mobile operators. Their devices continue to join the network, the service profits have gone down and debts have gone up.