Spectrum Policy for R&D and Manufacturing

A visionary set of reforms to position India as an attractive destination and a hub for wireless technologies

Wireless technologies are playing an important role in delivering next generation communications technologies for ubiquitous connectivity to various industry verticals. These cuts across widely used services like the mobile phones, Internet of Things, (IoT), machine to machine or M2M, satellite communications, smart cities, logistics, transportation, e-education, e-health, e-agriculture to.

Before this simplified method of licensing was initiated, any spectrum required for R&D, manufacturing, demonstrations of new technology, or setting up proof of concept for technology trials etc., required a long drawn coordination with DoT – whether it was for indoor or outdoor use.

The clearances for using such spectrum took long and the license duration of for such use was limited in time. Sometimes this did not suffice to complete the project of trial. Often the period of license was 6 months (or at the most one year) in the case of indoor use; it was 3 months (or maximum 6 months) for outdoor trials.

Further, for outdoor trials, there was a fee which included royalty charges for spectrum. Even for the short duration of the trial license, there was a requirement to obtain separate import licenses – which was mandatory for procuring wireless systems / modules for R&D. Separate demonstration license was required for demos in other locations. And a separate wireless equipment possession license was needed over and above. These gamut of terms and conditions and compliances made the wireless R&D an extremely complex process and imposed a regulatory burden on the institutions.

It was with this in mind that the Department of Telecommunications brought in a key set of reforms in 2019 together with a comprehensive spectrum policy for R&D, Manufacturing and Demonstration of wireless technologies – that permitted licensing and use at a nominal transaction cost. It also enhanced trust and accountability for the user.

The 2019 spectrum policy was aimed as an enabler to boost research and development of wireless technologies in manufacturing and to make the country a hub for innovation.

The key terms were:

I. License through Self-declaration (instant issue of licenses) for Indoor Experimentation (R&D), Indoor Demonstration and Manufacturing.

II. One bundled license, which includes different erstwhile licenses viz., Use of Spectrum, import of related products and sub-assemblies, demonstration, possession of wireless equipment.

III. Deemed approval within 6 to 8 weeks from the date of application for all outdoor radiating licenses.

IV. Duration of license: R&D spectrum for indoor ONE year and renewable; R&D spectrum for outdoor TWO years and renewable; Technology trials for TWO years; Manufacturing license for FIVE years from the erstwhile limitation of two years.

V. Spectrum is offered in all bands including new, unused, licensed bands opening gates for Indian R&D to meet global market needs

VI. The Spectrum is offered on “Non-interference and non-protection basis” and on “No commercial services”.

All of this has been part of the process of promoting ease of doing business and R&D. It has also increased transparency and timely delivery of services. DoT further launched an online license module for Experimentation (R&D), Demonstration and Manufacturing & Testing licenses on Saralsanchar portal on June 29, 2021.

This online module was added to the existing online license/clearance modules viz., SACFA (Standing Advisory Committee on Radio Frequency Allocations), ETA (Equipment Type Approval) (through self-declaration), Non-Network license, Satellite licenses, DPL (Dealer Possession License) licenses, Amateur licenses etc.

DoT launched online licensing of spectrum for “R&D, Demonstration and Manufacturing and Testing licenses” on its Saral sanchar portal on 29th June, 2021.

Spectrum licensing for R&D and manufacturing will be a huge boost for Make in India and design driven manufacturing in the country using wireless technologies. India hosts several Global Innovation Centers (GICs) for Electronics and IT Industry. GICs, Indian industry, including MSMEs will be encouraged now to multiply their wireless technology development activities with near zero compliance burden.

Apart from speed of approval, the USP of the license, is its bundled approach. All the other necessary licenses for R&D and manufacturing viz. possessing of wireless equipment, import of necessary modules & subsystems, demonstration of R&D products is offered in the same license. The industry itself has noted that this is one of the best global policies in offering spectrum for R&D and manufacturing at affordable costs with near zero transaction cost.

The initiative has already resulted in R&D investments in the country. Several 5G testbeds are already established by the industry and R&D companies making use of this policy. Several startups and SMEs are developing products in wireless technologies vying with their global majors in 4G and 5G technologies. More investments are envisaged in wireless technology development including in 6G competing with global peers by enhancing India’s attractiveness as an R&D destination.

Apart from creating jobs in R&D it is creating Indian IPRs for solutions that can go global.

By KISHORE BABU YGSC

Deputy Director General (DDG), Standardization-R&D-Innovation, Department of Telecommunications   

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