The Evolution of Telecom Licensing: From 2G to 5G and Beyond

The evolution of mobile telecom licensing is a long journey. In the past decades we see a change in the telecom license because of the evolution from 2G to 5G and beyond. Before analyzing the evolution of telecom licensing framework in India, let’s understand why there is a need to develop different networks over time.

Every network comes is better than its predecessor, such as 2G makes messaging better and 3G makes voice calls better. With this many evolutions of telecom licenses also take place. Below is a breakdown of ISP license evolution from 2G to 5G.

Second Generation Network

The 2G stands for second generation wireless telephone technology. It was launched in Finland in 1991 by Radiolinja. The 2G came into existence to solve the limitations of the first generation (1G) cellular network. 1G networks were less efficient in terms of spectrum and had lower voice quality. On the other hand, the 2G network came with more efficient spectrum usage. 2G upgrade was notable over its predecessor because:

• Can encrypt the telephone conversations digitally.
• Have higher efficiency on the spectrum.
• Allow greeted penetration level for mobile phones.
• Started mobile data services, and began with SMS text messaging.

Some sets of standards were made for telecom licenses which are maintained by the Department of Telecommunication (DoT). 2G technology uses CODEC algorithm which is used to compress and multiplex voice data. 

The 2G network has become more dominant in the market because of these benefits. But it sees the downside because the network is dependent on the location of the towers. But it is replaced by the newer cellular networks such as 3G, 4G, and 5G. See how 3G replaced the 2G.

Third Generation Network

The 3G network refers to the third generation mobile cellular network. It was designated to meet the demands of the market through technology. It receives and sends the data much faster than its predecessors, 2G and connects you with the internet whenever you want. 

To get stable and fast connection over long distances, 3G is a better option. The tower which is closest to your mobile phone will pass the data to it. Each new generation is better than the previous with higher frequency bands and data transmission. When 3G was launched it was revolutionary at that time as it provides:

• New radio spectrum to relieve overcrowding in existing systems.
• More bandwidth, security, and reliability.
• Fixed, variable and asymmetric data rates.
• Backward compatibility of devices with existing networks.
• Uninterrupted video streaming on phones.
• Customers can use all the facilities at the same time.

The 3G network is fast enough for many things to do in the phone, it is better than the previous generation 2G. But for many users, it's still slow by current standards. It can’t compete with 4G and the new structure of the phones. So, the telecom providers switch to 3G and start providing services to users.

Basically the apps in the new phones need a higher speed of data to function properly. 3G was best for calling and messaging. So, this is how 4G replaces the 3G network. Now let’s check how 4G brings new advantages.

Fourth Generation Network

4G is a fourth generation of mobile phone technology. It is better in speed, reliability and latency than its predecessor. It opens the world of possibilities and opens the doors of mobile applications, video streaming and social media platforms. 

With new technology telecom license holders take the advantage of the new network and switch to it. So, the 4G become possible because of these two technologies:

• Multiple Input Multiple Output (MIMO)
• Orthogonal Frequency Division Multiplexing (OFDM)

The 4G was higher in speed and it reached up to 100 Mbps while in motion and up to 1 Gbps for stationary or walking scenarios. 

1. 4G is five to seven times faster than 3G network, providing up to 150 Mbps that normally provides 80 Mbps in real life. Example - with 4G network you can download a 2GB HD film in 3 minutes 20 seconds, and on the other hand, 3G would take 25 minutes.
2. Lower latency rate, it actually takes 45 milliseconds in 4G and it is helpful while playing online games and streaming live.
3. There is effective Voice over LTE (VoLTE) technology behind 4G networks which provide clear voice calls and video calls on 4G mobile.
4. Security got enhanced because nowadays most people operate digital wallets, banks accounts from their phone. So, keeping their data safe is a first priority.

4G covers most of the areas and its network is widespread. It is a better option over Wi-Fi as it has limited range to provide data. There is an increase in the price range over its predecessors. Still there are some places in India which experience disruption and spotty service. So, 5G comes into picture, let’s check what is being offered.

Fifth Generation Network

5G is a fifth generation mobile network. It is a new wireless standard network which will connect everyone and everything together. 5G is designed to deliver higher data speed, ultra low latency, better reliability, and best user experience. This new and improved efficiency will connect different industries of telecom and ISP license holders will provide services to users. 

Here’s what we get in 5G network:

• Deliver up to 20 Gbps-per-second to 100+ Gbps-per-second
• Designed to support a 100x increase in traffic capacity and network efficiency.
• Has lower latency to deliver more instantaneous, real-time access. There is a decrease of 10x in end-to-end latency down to 1ms.

Other than this, 5G will be used in the three major categories such as mobile broadband, mission-critical communications, and massive loT. If these benefits define further, than it will be as follows:

• Enhanced Mobile Broadband - to provide better user services and make our smartphones better, it's using VR and AR with faster, more uniform data rates, lower latency, and lower cost-per-bit.
• Mission-critical Communication - it provides services which change the industries with ultra-reliable available, remote control to critical infrastructure,  and medical procedures.
• Massive loT - it seamlessly connects a massive number of embedded sensors virtually in everything, by providing extremely lean and low-cost connectivity solutions.

So, 5G is already launched and telecom license holders start launching 5G networks in early 2019. Consumers are excited about the higher data speed and lower latencies. But remember, 5G is beyond these benefits.

Conclusion

Both 4G and 5G networking have a great deal to offer in terms of speed and quality. 4G technology is becoming more popular among people because it introduces them with new possibilities such as access to video calling, mobile games, social media and other mobile applications. There is no technology that has no advantages and disadvantages. The main thing is to understand your network requirements and then choose the best one. 

Also read:  Understanding the Telecommunications Industry and the Role of a Telecom Consultant

Author: Dushyant Sharma

Hey there, I'm Dushyant Sharma. With the extensive knowledge I've gained in past 8 years, I have been creating content on various subjects such as banking, insurance, telecom, and all the important registration and licensing processes for various companies. I'm here to help everyone with my expertise in these areas through my articles.