Washington D.C., USA, 25 November 2020: Over the next 10 years, the Brazilian economy will benefit from the allocation of unlicensed access to the 6 GHz band, according to a study published by the Dynamic Spectrum Alliance (DSA) and Telecom Advisory Services LLC. The new study, titled “Assessing the economic value of unlicensed use in the 6 GHz band in Brazil”, was conducted by Dr. Raul Katz and Fernando Callorda, leading scholars of economics and telecommunications policy, based on the Brazilian National Telecommunications Agency (Anatel)’s considerations to open the 6 GHz band to the next generation of Wi-Fi.
The study assessed the economic value of unlicensed use of the band in Brazil, by assessing the impact on service quality, coverage, affordability and the impact on different applications and use cases. The methodology relied upon in this study identified the different sources of economic value, estimated them independently and then aggregated within a single value. Its findings revealed a significant early economic impact following the allocation of 1,200 MHz in the 6 GHz band for unlicensed use.
“License-exempt use of the entire 6 GHz band for Wi-Fi will be critical to address current pressing bandwidth demands for end users, applications and industries,” said Martha Suarez, President of the DSA. “To do so efficiently, the different use case operations from 5925 to 7125 MHz will allow growing ultra-fast Wi-Fi demands to be met, new applications such as Augmented and Virtual Reality and new innovations that require high-quality, real-time connectivity. Used for every aspect in our lives such as remote education, work and commerce, Wi-Fi needs greater spectrum access in the 6 GHz band to effectively support the modern digital ecosystem.”
The DSA encourages the Brazilian regulatory agency, Anatel, to consider the impact of this economic benefit by allowing “unlicensed” operations in the 5.925-7.125 GHz frequency band. The direct reduction in congestion across Wi-Fi networks allows for the development of multiple use cases, such as the wide deployment of Internet of Things applications.
The cumulative economic value between 2020 and 2030 associated with enabling license-exempt access to the 1200 MHz in the 6 GHz band amounts to US$ 112.14 billion in GDP contribution, US$ 30.03 billion in producer surplus to Brazilian enterprises, and US$ 21.19 billion in consumer surplus to the Brazilian population. The total contribution amounts to US$ 163.5 billion to the Brazilian economy over the next 10 years.
The full findings of the report are available online.