In the race to beat China in the fifth generation of wireless technology, known as 5G, U.S. President Donald Trump is announcing the largest-ever auction of radio frequencies and a $20 billion fund to build a rural fiber-optics backbone.
"We cannot allow any other country to outcompete the United States in this powerful industry of the future," Trump said in the White House Roosevelt Room, flanked by a group of telecommunications tower climbers and farmers. "The race to 5G is a race that we must win."
Starting Dec. 10, the Federal Communications Commission (FCC) will begin auctioning three chunks of millimeter-wave frequencies (upper 37 GHz, 39 GHz and 47 GHz) for cellphone companies to use.
Some Trump allies had tried to persuade him to effectively nationalize this technology as a matter of national security.
Trump acknowledged that he considered such a plan — opposed by the FCC and others — but ultimately backed away from it.
"We don't want to do that. It wouldn't be nearly as good, nearly as fast," Trump said.
"The idea of state-designed and -operated 5G networks in the U.S. makes no sense on its own terms. A competitive, lightly regulated market is the hallmark of the U.S. system. This has delivered success in 4G and will encourage investment and innovation in 5G," London-based Gabriel Brown, a principal analyst at telecommunications research firm Heavy Reading, told VOA.
"It also makes no sense in relation to competition with China — these are different markets in different phases of development."
Riley Walters, a policy analyst at the Heritage Foundation's Asian Studies Center, agreed, saying the "private sector is the most efficient way to distribute 5G capabilities, even if it's not at the pace nationalization proponents would like to see. Deregulation should help cut the costs for domestic developers to move up their time horizon."
Source : VOA