India’s Department of Telecommunications (DoT) has initiated a fresh review of spectrum demand for Captive Non-Public Networks (CNPNs), also known as private 5G networks. This marks the second demand survey since provisions for CNPNs were introduced in mid-2022. With enterprise adoption still in its early stages, and telecom operators opposing direct spectrum allocation to private entities, the DoT aims to identify viable frequency bands better aligned with global device ecosystems. Stakeholders, including companies with a net worth above Rs. 100 crore and system integrators, have been invited to submit their views by July 31 to shape policy and unlock the full potential of industrial 5G use cases.
Private 5G: A Dormant Catalyst for Industrial Connectivity
Despite bold forecasts and initial enthusiasm, enterprise deployment of private 5G networks in India remains limited. Captive Non-Public Networks, designed to offer secure and high-performance connectivity to enterprises, have not witnessed the level of uptake expected when the policy framework was introduced two years ago.
According to the Department of Telecommunications, this slow adoption can be traced to mismatches between identified frequency bands and the availability of compatible devices. Many of the originally proposed bands lack a mature device ecosystem, thereby limiting the scalability of CNPNs in their current regulatory form.
DoT’s Strategic Pivot: Aligning Spectrum with Ecosystem Realities
The DoT has now begun a reassessment exercise to better match spectrum allocation with real-world requirements and technological readiness. Through the Saral Sanchar portal, the department will survey spectrum demand across a wider range of prospective frequency bands.
The reassessment comes after observing that 5G devices are more readily available in International Mobile Telecommunications (IMT) bands, suggesting a shift in regulatory thinking toward bands already supported by global 5G infrastructure. The aim is to ensure that enterprises can access spectrum that aligns with readily deployable hardware, facilitating quicker adoption of private networks.
This is not merely a technical reconsideration—it’s a strategic move to reignite interest among potential enterprise users and system integrators who have, until now, remained on the sidelines due to infrastructural and economic hurdles.
Opposition from Telcos and Emerging Industry Tensions
Telecom operators have consistently opposed the direct allocation of spectrum to enterprises, citing concerns over spectrum efficiency, regulatory fairness, and potential revenue cannibalization. Their argument hinges on the principle that spectrum is a national resource, best managed through auctions and unified licensing frameworks.
By allowing enterprises to lease spectrum directly from telcos, the model preserves the traditional operator-led ecosystem. However, if spectrum is assigned independently to private players, it could lead to the emergence of parallel infrastructures—a possibility that challenges existing business models in the telecommunications sector.
This ongoing friction reflects a broader debate over who gets to control the next wave of connectivity infrastructure in India: traditional operators or digitally ambitious enterprises with unique use cases.
A Call to Enterprises and Integrators
The DoT’s latest memorandum calls upon eligible enterprises—specifically those with a net worth exceeding Rs. 100 crore—as well as system integrators keen to establish CNPN networks, to submit their inputs by July 31. This initiative indicates a willingness to involve the private sector more directly in shaping the policy landscape.
System integrators, particularly those working in smart manufacturing, logistics, and critical infrastructure, have shown growing interest in custom-built private 5G solutions. However, as noted by Tidal Wave Technologies CEO Ankit Dixit, real-world deployments remain minimal due to cost barriers, lengthy approval cycles, and a lack of scalable trial programs.
Unlocking the Potential of Private 5G Networks
Private 5G networks have the potential to revolutionize industrial operations by delivering low-latency, ultra-reliable wireless connectivity tailored to specific enterprise needs. From automated manufacturing to remote diagnostics, the use cases are numerous—and economically significant.
Yet, this transformation remains contingent upon multiple factors: accessible and affordable spectrum, a robust policy framework, and collaboration across government, telecom providers, technology vendors, and enterprises. As 5G matures globally, India must align its regulatory strategy to capitalize on these advancements and support domestic digital transformation.
Conclusion: A Pivotal Moment for India’s Enterprise 5G Strategy
The DoT’s reassessment initiative marks a critical juncture in the evolution of India’s enterprise connectivity landscape. By addressing ecosystem gaps and regulatory bottlenecks, the government has an opportunity to reshape its spectrum allocation policy to better serve the needs of a digitally evolving economy.
Whether private 5G in India matures into a viable industrial force will depend on how quickly and effectively this spectrum strategy is recalibrated. For now, the clock is ticking toward July 31, when stakeholders will make their voices heard—and perhaps shape the next decade of Indian industrial connectivity.
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