Social and economic aspects when allocating a 3.5 GHz frequency band for 5G Mobile in Indonesia

Abstract

The soon-to-be allocated 5G mobile technology using a 3.5 GHz frequency band has posed challenges because the spectrum of 3.5 GHz has utilized satellite services. By examining the case of Indonesia, this paper aims to investigate the social and economic aspects of two scenarios, i.e., implementing 5G using 3.5 GHz or retaining the use of the satellite for 3.5 GHz. The technological management method developed by Kano Models was used to assess the social aspect, and the net benefit was calculated to assess the economic aspect. The findings indicated that most existing services offered via satellite are in the attractive category, meaning that if such satellite services are eliminated, the market will not change significantly; however, implementing 5G at the frequency of 3.5 GHz would increase economic value due to the much higher license fee paid by the operators to the government.