Radio Policy Vision & Strategy for Frequency Liberalization December 2003 Radio Department, Telecommunications Bureau Ministry of Public Management, Home Affairs, Posts and Telecommunications Process of Spectrum Reform Information Informationand and Communication CommunicationCouncil Council Aug. Aug.'02 '02 Consultation Consultationof ofRadio Radio Policy Policy Jun. Jun.'03 '03 Public PublicComment Commentto toReport Report Jul. Jul.'03 '03 Report Report Study StudyGroup Groupon onEffective Effective Spectrum SpectrumPolicy Policy Jan. Jan.'02 '02 Start Start Dec. Dec.'02 '02 1st 1stReport Report Sep. Sep.'03 '03 2nd 2ndReport Report 【Introduction 【IntroductionofofCompensation CompensationScheme】 Scheme】 【Introduction 【IntroductionofofRegistration】 Registration】 Dec. Dec.'03(plan) '03(plan) 3rd 3rdReport Report 【Assignment 【AssignmentofofSpectrum SpectrumReallocation】 Reallocation】 1 Overview of the report of Radio Policy Vision Basic Basic roles roles of of radio radio spectrum use spectrum use MidMid- and and long-term long-term outlook outlook of of radio radio spectrum spectrum use use • •Realization Realizationofofcomfort comfort and high quality and high qualityofoflife life • •Revitalization Revitalizationofof industrial/economic industrial/economic activities activities It is expected that various radio spectrum uses have been drastically expanding in such areas as the home, business, medicine/welfare, security of Japanese nationals, so that the radio spectrum uses contribute to realization of convenient/ safe/secure daily lives and society. ・ Expansion of radio-related market sizes MidMid- and and long-term long-term outlook of radio outlook of radio policy policy • •Formation Formationofofaasafe safe and disaster-tolerant and disaster-tolerant society/country society/country • •Invigoration Invigorationofoflocal local economy economy Mid- to long-term goals (in 5 to 10 years) • Contribution to realization of a ubiquitous network society through construction of the world’s most advanced wireless broadband environment • Ensuring national security through use of diversified networks • Fostering internationally competitive wireless ICT industry I.I. Drastic Drasticreview reviewofofradio radio spectrum allocation spectrum allocation II.II.Policies Policiesfor forradio radiospectrum spectrum reallocation and radio reallocation and radio spectrum spectrumuse use III. III.Reform ReformofofSpectrum SpectrumUser User Fee Fee IV. IV.Promotion PromotionofofR&D R&D V. V.Facilitating Facilitatingsmooth smoothprevalence prevalence ofofradio radioequipment equipment VI. VI.Enhancing Enhancinginternational international strategy strategy VII. VII.Building Buildingaasafer saferand andsecurer securer environment for radio environment for radio spectrum spectrumuse use Realization of a ubiquitous network society through construction of wireless broadband environment • Expectations for realization of a wireless broadband environment Desirable Desirable radio radio policy policy 2 Examples of Wireless Broadband Environment Public Public facilities facilities Public Public transportation transportation Accident 500m ahead Ticket gate Education Education Data exchanges via vehicle-tovehicle communications You You can can check check information information on on anything anything you you cannot cannot understand understand right right here. here. Trains Boarding procedures by wireless terminals • Notification of reserved seats • Message delivery, such as e-mail • Obtaining vacancy and destination information easily Daily Daily lives lives Change lanes Comprehensive Comprehensive learning learning utilizing utilizing cameras, cameras, GPS, GPS, etc. etc. You are too close. Wireless vehicle-to-vehicle communications • Accident prevention through exchange of data such as information on speed, braking, road surface, etc. Use of mobile terminals in education • Outdoor learning through use of mobile terminals with virtual reality Business Business New products this year! (in aircraft) Microwave oven Keyless door locks “It’s realistic and easy to understand!” TV Table lamp Coffee maker Wireless-controlled home security • Controlling home electronics through use of favorite remote controllers, voice and gestures • Home security using watchdog robots connected to wireless network “Well I’ll check e-mails before arrival.” “Let’s confirm the schedule using my cellular telephone via VPN.” “Umm, finish the rest of today’s work at the Hot Spot (service area of public wireless access).” Wireless office • Any staff can access intra-company networks in any situation. • Anyone can participate in meetings at any place (wireless meeting) • Sales activities supported by wireless terminals 3 Expansion of Market Sizes of Radio-related Industries (Unit: trillion yen) 100 90 80 70 60 50 40 30 20 10 0 92 trillion yen Industries Potentially Using Radio (radio-related amounts) Industries Using Radio (radiorelated amounts) 37.8 Core Radio-based Industries 43 trillion yen 9.7 19 trillion yen 25.8 9.9 1.6 17.6 2000 28.3 23.4 2008 2013 [Definition of market sizes of radio-related industries] Core Radio-based Industries: Sales amounts of industries in which the usage of radio spectrum plays the central role of businesses (e.g., radio communications carriers/broadcasters, manufacturers of radio communications/broadcasting equipment, etc.) Industries Using Radio (radio-related amounts)*: Radio-related partial amounts of the total sales of industries in which the usage of radio spectrum does not play the central role in business, but cannot operate business activities without using radio spectrum (energy suppliers, such as power and gas utilities, airline, maritime, railway and automobile transportation services, etc.) Industries Potentially Using Radio (radio-related amounts) *: Radio-related partial amounts of the total sales of industries whose businesses are not using radio spectrum at present, but whose products and services will be highly improved and become effective through radio spectrum use in the future (distributors, education, medical/nursing care/welfare services, games, etc.) * Note: Upon estimate, market sizes are calculated by multiplying annual sales amounts (annual growth rates are considered) by degree of dependence on radio spectrum use. 4 I Drastic Review of Radio Spectrum Allocation ItIt is is necessary necessary to to drastically drastically review review radio radio spectrum spectrum allocation allocation in in order order to to facilitate facilitate the the introduction introduction of of radio radio systems systems required required for for the the world’s world’s most most advanced advanced Wireless Wireless Broadband Broadband Environment Environment Expansion of usage in the future *1 Mobile Communication Systems (below 5-6GHz) Wireless LAN (mainly in 5GHz band) (1)Drastic (1)Drastic review review of of radio radio spectrum spectrum allocation allocation in in all all frequency frequency bands bands including including those those assigned assigned to to the the national national government government and and public public corporations. corporations. (2)Encourage (2)Encourage licensees licensees to to return return redundant redundant spectrum spectrum not not being being used used efficiently. efficiently. (3)Reallocation of radio spectrum, which are used for radio systems actually (3)Reallocation of radio spectrum, which are used for radio systems actually replaceable replaceable with with fiber-optic fiber-optic cables cables etc., etc., to to other other radio radio systems systems such such as as mobile mobile communications, communications, for for which which radio radio spectrum spectrum use use is is indispensable. indispensable. (4)Swift (4)Swift reallocation reallocation of of radio radio spectrum spectrum to to new new radio radio systems systems with with higher higher demand. demand. Concepts for addressing radio spectrum demands Large increase in demands for radio spectrum (based on forecast methods developed by ITU) - 270 MHz bandwidth (current status) - 330 – 340 MHz bandwidth (5 years later) - 1,060 - 1,380 MHz bandwidth (10 years later) Based upon results of survey on actual radio spectrum usage including those in the public sector, (1) Create radio spectrum for new use, through efficient use of radio spectrum and transition to fiber-optic cables (2) Swift reallocation of radio spectrum Large increase in demands for radio spectrum (3) Shared-use with other radio (based on forecast methods developed by ITU) systems - 200 MHz bandwidth (current status) - Max. 480 MHz bandwidth (5 years later) - Max. 740 MHz bandwidth (10 years later) Measures to be taken for promotion Examples of major candidates for additional frequency bands for mobile communication systems - 800MHz band, 1.5 GHz band (currently in use for MCA)*2 - 1.7 GHz band (currently in use for fixed communications) - 4 GHz / 5 GHz bands (currently in use for fixed communications) Examples of major candidates for additional frequency bands for Wireless LANs. - 4.9-5.0 GHz band (currently in use for fixed communications) - 5.25-5.35 GHz band (currently in use for radars) - 5.47-5.725 GHz band (currently in use for radars) Terrestrial Digital Television Smooth penetration and development of digitalization - Smooth implementation of measures - Frequency assignment for facilitating nationwide for conversions of current TV deployment of digital broadcasting frequencies for digitalization. - The UHF band except those used for digital TV will be - Radio spectrum vacated by the used for mobile communications after 2012; the VHF termination of conversion process band will be used for radio systems with high demand (analog/digital simulcasting) will be after 2011. used for mobile communications, etc. RFID (Electronic Tag) Advanced utilization of electronic tags will evolve in diversified fields such as physical distribution. 135 kHz, 13.5 MHz, 2.4 GHz bands are currently in use. Consideration of available frequency bands, based on concrete images of applications using RFID. Clarification of available frequency bands, necessary bandwidths, etc. based on considerations concerning trends in R&D, sharing conditions. Implementation of domestic frequency assignment, considering international spectrum allocation and international harmonization. Development of these radio systems will ITS, HEO 3 system * , UWB progress. *1 The figures of the bandwidths of Mobile Communication Systems and Wireless LAN are round numbers. *2 MCA: Multi-Channel Access (a trunked radio system.) *3 HEO system: Highly Elliptical Orbit satellite system used for satellite communication, radiodetermination etc. 5 II Policies for Radio Spectrum Reallocation and Radio Spectrum Use Facilitating Facilitating swift swift radio radio spectrum spectrum reallocation reallocation Ensuring Ensuring transparency transparency of of radio radio spectrum spectrum use use •• The The amendment amendment to to the the Radio Radio Law Law in in 2002 2002 institutionalized institutionalized the the scheme scheme for for conducting conducting surveys surveys etc. on actual radio spectrum usage and publicizing the results. The survey conducted etc. on actual radio spectrum usage and publicizing the results. The survey conducted by by MPHPT every year is to cover one of three sections of the radio spectrum, such that in MPHPT every year is to cover one of three sections of the radio spectrum, such that in threethreeyears’ years’ time, time, the the surveys surveys will will have have covered covered all all of of the the radio radio spectrum. spectrum. MPHPT MPHPT evaluates evaluates the the extent extent of of efficiency efficiency in in radio radio spectrum spectrum usage usage based based on on the the survey survey results results through seeking public comments, and publicizes the results. through seeking public comments, and publicizes the results. The The Council Council recommends recommends that that MPHPT MPHPT formulate formulate reallocation reallocation plans, plans, as as appropriate, appropriate, taking taking into into consideration such evaluations, in order to meet demands for other radio systems such as consideration such evaluations, in order to meet demands for other radio systems such as mobile mobile communication communication systems systems and and wireless wireless LANs. LANs. •• Should Should reallocation reallocation need need to to be be completed completed in in aa short short term, term, e.g. e.g. three three years years from from the the formulation formulation of a radio spectrum reallocation plan, incumbent licensees will be forced to dismantle of a radio spectrum reallocation plan, incumbent licensees will be forced to dismantle radio radio facilities that the licensees purchased and constructed in the past and to purchase and facilities that the licensees purchased and constructed in the past and to purchase and construct construct alternative alternative facilities. facilities. The The Council Council recommends recommends that that MPHPT MPHPT conduct conduct studies studies on on establishment establishment of of aa scheme scheme to to compensate compensate incumbent incumbent licensees licensees for for reallocation reallocation costs costs such such as as aa portion portion of of the the remaining remaining book value and the dismantling cost of the radio facilities, etc. book value and the dismantling cost of the radio facilities, etc. •• In In the the introduction introduction of of auction auction systems systems into into licensing licensing procedures, procedures, there there could could be be aa risk risk that that the the introduction hinders effective radio spectrum use, in such a way as the delay/withdrawal of introduction hinders effective radio spectrum use, in such a way as the delay/withdrawal of services services due due to to extremely extremely high high bidding bidding prices prices as as seen seen in in some some European European countries. countries. Accordingly, Accordingly, from from the the viewpoint viewpoint of of promoting promoting effective effective radio radio spectrum spectrum use use by by incorporating incorporating advantages advantages of of market market principles, principles, itit is is necessary necessary to to consider consider other other appropriate appropriate measures measures by by which such kind of demerits can be avoided. which such kind of demerits can be avoided. •• The The Council Council recommends recommends that that MPHPT MPHPT conduct conduct studies studies on on introduction introduction of of aa licensing licensing system system incorporating incorporating the the following following assessment assessment items items in in the the process process of of comparative comparative examination examination in in addition addition to to appropriateness appropriateness of of business business plans: plans: -- A portion within the amount of the radio A portion within the amount of the radio spectrum spectrum reallocation reallocation costs costs to to be be shared shared by by new licensees. new licensees. -- Expansion Expansion plans plans of of service service areas areas (i.e., (i.e., facilities facilities investment investment amount, amount, etc.) etc.) etc. etc. ItIt is is also also appropriate appropriate to to ensure ensure transparency transparency and and fairness fairness in in licensing licensing procedures procedures through through publication publication of of figures figures concerning concerning assessment assessment items items prior prior to to the the assessment. assessment. 6 Scheme for Conducting Surveys on Actual Radio Spectrum Usage Revised Radio Low in 2002 【Survey Items】 〇 Number of radio stations 〇 Traffic 〇 Years in use of radio facilities 〇 Replaceability with other means of telecommunications such as fiber-optic cables etc. Surveys Surveyson onActual ActualRadio Radio Spectrum SpectrumUsage Usage All of the radio spectrum is divided into the following three sections. Surveys are made every year on one of the sections. ①Below 770MHz ②Above 770MHz/below 3.4GHz ③Above 3.4GHz Evaluation Evaluationof ofthe theextent extent of ofefficiency efficiencyin inradio radio spectrum spectrumusage usageon oneach each frequency band frequency band Surveys Surveyson oneconomic economicimpacts impactson on licensees licenseescaused causedby bymodification modificationof of Frequency FrequencyAssignment AssignmentPlan Plan Reflection Modification Modificationof ofFrequency FrequencyAssignment AssignmentPlan Plan 7 Swift Reallocation of Radio Frequencies - Compensation Scheme for Spectrum Reallocation Incumbent Licensees New Licensees <A new entry is possible on vacated frequencies> 《RLAN, etc.》 <Station for fixed microwave links> New entry Restaurant s Internet Base stations of Telecommunications Carriers Hotel Withdrawal 《Intelligent Home Appliances》 - No alternative frequencies - Shorter transition period within 3 years (10 years for the existing scheme) Economic Costs to Incumbent Licensees (Salvage Value, Removal Cost and so on) Need for Compensation Economic benefits to new licensees Provision Provisionofof Compensation Compensation New Licensees Bear a Certain Amount of the Economic Costs 8 Enhancing Enhancing flexibility flexibility of of radio radio spectrum spectrum use use The The Council Council recommends recommends that that MPHPT: MPHPT: •• Identify Identify more more spectra spectra as as “Commons” “Commons” to to allow allow unlimited unlimited numbers numbers of of unlicensed unlicensed wireless wireless systems systems operated operated at at low low power power to to share share frequencies frequencies under under certain certain conditions; conditions; •• Introduce Introduce aa regulatory regulatory scheme scheme such such as as the the registration registration of of radio radio stations, stations, requiring requiring no no licensing licensing process, to allow unlimited numbers of wireless systems such as base stations of wireless process, to allow unlimited numbers of wireless systems such as base stations of wireless LAN LAN systems systems operated operated outdoors outdoors at at relatively relatively high high power power to to share share frequencies frequencies under under certain certain conditions conditions in in order order to to respond respond to to such such expanding expanding installation installation needs; needs; •• Assign Assign frequencies frequencies to to wireless wireless systems systems that that will will satisfy satisfy needs needs of of aa specific specific region, region, while while ensuring the possibility of future nationwide radio spectrum reallocation in the band; ensuring the possibility of future nationwide radio spectrum reallocation in the band; and and •• Improve Improve efficiency efficiency through through radio radio spectrum spectrum reallocation reallocation in in bands bands assigned assigned to to mobile mobile systems systems operated by government institutions and other entities (including Radio System for Disaster operated by government institutions and other entities (including Radio System for Disaster Prevention/Relief). Prevention/Relief). 9 III III Reform Reform of of Spectrum Spectrum User User Fee Fee IV IV Promotion Promotion of of R&D R&D Review Review the the present present Spectrum Spectrum User User Fee Fee system system in in terms terms of of the the character character of of the the system system and and the the appropriate appropriate calculation calculation policy policy of of the the fee fee in in each each category category of of radio radio users, users, etc. etc. to to facilitate facilitate aa more more efficient efficient and and comfortable comfortable radio radio spectrum spectrum use use environment; environment; ••Focus Focus on on R&D R&D of of wireless wireless systems systems such such as as systems systems beyond beyond IMT-2000, IMT-2000, Wireless Wireless LANs, ITS and HEO (Highly Elliptical Orbit) systems; LANs, ITS and HEO (Highly Elliptical Orbit) systems; ••Promote Promote R&D R&D of of technologies technologies for for efficient efficient spectrum spectrum use use (e.g. (e.g. software-defined software-defined radio radio technologies technologies and and cognitive cognitive radio radio system system to to search search the the radio radio spectrum spectrum and and operate operate in in aa band band not not in in use use by by others); others); ••Promote collaboration Promote collaboration among among the the industry, industry, academics academics and and government government and and foster foster researchers in the field of radio engineering etc.; researchers in the field of radio engineering etc.; ••Introduce Introduce an an immediate immediate licensing licensing scheme scheme for for specified specified experimental experimental radio radio stations stations used used for for R&D R&D purposes; purposes; V V Facilitating Facilitating smooth smooth prevalence prevalence of of radio radio equipment equipment •• Facilitate Facilitate distribution distribution of of radio radio equipment equipment through through smooth smooth introduction introduction of of aa scheme scheme concerning concerning Supplier’s Supplier’s Declaration Declaration of of Conformity Conformity to to Technical Technical Regulations; Regulations; •• Conduct Conduct studies studies on on the the method method for for the the Technical Technical Regulations Regulations Conformity Conformity Certification System concerning Software Defined Radio equipment; Certification System concerning Software Defined Radio equipment; VI VI Enhancing Enhancing international international strategy strategy •• Promote Promote standardization standardization activities activities with with aa view view to to fostering fostering growth growth of of wireless wireless IT IT industry; industry; •• Promote Promote cooperation cooperation with with Asian Asian countries, countries, etc.; etc.; •• Take Take leadership leadership in in discussions discussions on on radio radio spectrum spectrum at at ITU; ITU; VII VII Building Building aa safer safer and and securer securer environment environment for for radio radio wave wave use use •• Promote Promote the the measures measures such such as as research research regarding regarding effects effects of of radio radio waves waves on on the the human human body; body; •• Promote Promote preventive preventive measures measures to to tackle tackle problems problems of of illegal illegal radio radio stations. stations. •• Ensure security of wireless LANs. Ensure security of wireless LANs. 10 Enhancing Flexibilities in Spectrum Allocation -Outline of Registration System<Current System> License System License System ※ No license required for Small Power or ※ No license required for Small Power or Limited LimitedBandwidth Bandwidth Background:Technological Development, etc. Bandwidth Guaranteed Type; Broadcasting stations, Cellular Phones, etc. <Shared Use Type Wireless Service> Introduction (under consideration) Best Effort Type such as High Power Out-door Radio LAN Ex-ante Checking Ex-post Checking (License System) (Registration System) ・ ・ High HighPower Power ・ ・ Exclusive ExclusiveUse Use ・Free ・FreeUse Use ・Orderly ・OrderlyUse UseofofRadio RadioFrequencies Frequencies (Coping (Copingwith withInterference, Interference,etc.) etc.) To Promote Multiple Use of Radio Spectrum Realization Realizationofofwireless wirelessbroadband broadbandenvironment environmentcorrespond correspondtotointernet internetera era 11 Reform of Spectrum User Fee 1. 1.Basic BasicCharacter Character Commission Fee collecting from license for administrative cost to construct and to maintain favorable radio environment. 2. 2.Example Exampleof ofusage usage ・Radio Monitoring. ・Operation of Database of Radio Stations. ・Counter Measure for Analog Frequency Change. ・Technical Testing on Survey. 2. 2.Drafting DraftingPolicy Policy ① From Commission Fee for Administrative Cost To Usage Fee of Radio Spectrum. a) Expansion of use (Present; not to R & D) taking into account of economic value. b) Reform of Calculation Method (Present; Regardless of bandwidth of radio, it is proportional to a radio station.) ② Schedule ・Report from Study Group in 2003 ・Revision of Radio Low in 2004 12 Spectrum Expansion of the “Commons” 9600MHz bandwidth in 18 bandwidth is allocated to the “Commons” for RLAN and cordless telephone, etc. (the world most levels) MHz 810 (80MHz) MHz (7000MHz) 5850 5770 5250 5150 (900MHz) 806 (100MHz) 5091 5030 5000 4900 2497 2400 1919.6 (200MHz) (161MHz) 469.5 (97MHz) (4MHz) (8.2MHz) 440 430 (1.1MHz) 413.7 (335kHz) 381.3 380.2 255 253.9 (35.1MHz) 1884.5 1253 1252 1217 1216 (30MHz) 76 74.6 13.56 (2MHz) (1.1MHz) 322.4 322 (835kHz) (14kHz) (1000MHz) GHz 77 76 66 59 27.46 27.02 25.23 24.77 24.25 24.05 10.54 10.51 13 2. Review of the Allocations to Mobile, Fixed, and Other Services in the 5 GHz Band (Agenda Item 1.5) 2.4 GHz band 5 GHz band 97 MHz bandwidth 2400 100 MHz bandwidth 2497 Radio LAN (for indoor and outdoor use) Radio LAN (for indoor use) Industry, science, and medical equipments (e.g. microwave ovens) 2400 2500 Satellite communications [MHz] 5150 Radar, etc. レーダ等 Radar 5250 5350 5725 [MHz] New allocations for Radio LAN on a worldwide basis 2400 2497 Radio LAN (for indoor and outdoor use) Industry, science, and medical equipment (e.g. microwave ovens) 2400 355 MHz bandwidth 100 MHz bandwidth 97 MHz bandwidth 2500 [MHz] Major frequency bands being used now 5150 Radio LAN (for indoor use) Radio LAN (for indoor use)* Satellite communications Radar 5250 Radio LAN (for indoor and outdoor use) Radar, etc. 5350 5470 * Limited outdoor applications are possible. 5725 [MHz] - The frequency band that can be used for outdoor applications has been greatly expanded. ⇒ More users are able to use faster communications. -Common frequency bands that can be used on a worldwide basis have been expanded. ⇒ Users can benefit from improved convenience and less expensive equipment. 14 Promotion of establishment of experimental radio stations 1 1 Background Background&&Assignment Assignment <Background> (1) Serious tightness of frequency resources (2) Developing of New System as well as effective use technology ⇒ industrial revitalization <Assignment> Acceleration & Simplification of establishment of experimental radio stations 【 experimental radio stations】: radio stations used exclusively for experimentation aimed at scientific or technological development. (Valid term of licenses: 5 years) 2 2 View Viewpoint pointof ofconsideration consideration <Assumption> ・no interference to existing staions ・to specify area and frequency in advance ・short-term limitation (1 year in principle)of license period) (Simplification of procedure, revitalization of activation experimentation) Ensuring Ensuringof offrequency frequencyfor forexperimental experimentalstations stations&&Simplification Simplificationof oflicensing licensingprocedure procedure 15 Towards Realization of Ubiquitous Network Society <Wire> <Wireless> Telephone line (ADSL, CATV) Optical fiber Usable No. of line: 35 mil actual use: 11.6 mil Usable No. of line: 16.8 mil actual use: 0.7 mil Wireless Broadband Strategy for Frequency Liberalization ・ ・ ・ 12.26 12.26mil milBroadband Broadbandusers users guidelines for radio spectrum reallocation expansion of wideband frequency flexible use of radio spectrum environment Broadband BroadbandConvergence Convergenceof ofWire Wire&&Wireless Wireless Advent of Ubiquitous Society Advent of Ubiquitous Society Creation of New Industry (Infrastructure & Users industry) Creation of Applications the theworld’s world’smost mostadvanced advancedwireless wireless Network Network Rebirth of Economy Hopeful, affluent society Visible existence of Japan 16