Telecom and Postal Sector – Spectrum Allocation, Call Drops, Predatory Pricing, etc

What are Private Captive Networks?


From UPSC perspective, the following things are important :

Prelims level: Private Captive Networks

Mains level: 5G Rollout

The Cellular Operators’ Association of India (COAI) wrote a letter urging the government against allotting 5G spectrum to private captive networks, claiming that it will diminish their revenue to the point where offering 5G will pointless.

What is a Private Captive 5G Network?

  • A private captive 5G network is basically a network set up by a private entity for the use of just one organisation.
  • It is similar to a captive coal mine in that the 5G service offered by this captive network will only be utilised by the enterprise concerned, and no one else.

Why are telecom providers against it?

  • The COAI’s argument is that enterprises are the biggest users of 5G networks.
  • If private entities are allowed to offer captive networks to enterprises, the TSPs (telecom service providers) retail revenues will fall.
  • COAI implied that there is no great demand for 5G right now as “the needs of voice and data of the entire nation is being adequately met by the TSPs through their 4G networks today”.


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