NTT, a Japanese firm’s Indian arm, is in talks with leading enterprises in the country for offering 5G managed services. These talks could potentially convert into multi-year contracts for the company. However, it is worth noting that NTT doesn’t plan to offer 5G services directly. Instead, the company intends to act as a consultant for helping the enterprise clients in securing 5G airwaves and permits from the government to roll out private 5G services. Thus, NTT is not going to directly apply for the airwaves and the permits for 5G with the Department of Telecommunications (DoT).
NTT to Manage Private 5G Operations for Enterprise Customers in India as a Service
Manoj Chitgopekar, vice president, NTT India, told ET that NTT would extend its full suite of private 5G services, including help with the deployment once an enterprise manages to secure spectrum from the government. The company is also going to manage the private 5G operations for such enterprise customers in India as a service.
NTT India primarily offers data centre and infrastructure services and is now also readying to offer 5G as a managed service to enterprise clients. The company hasn’t disclosed the name of the clients that it is working with.
Enterprises are certainly going to look forward to private 5G services in the near future. The DoT is right now waiting for the Telecom Regulatory Authority of India (TRAI) to submit the recommendations for the 5G spectrum auctions. The recommendations would say how much amount of the spectrum will be reserved for the private 5G enterprises.
As per the industry estimates, the private 5G services market size in India is pegged at around $570 million by 2026. Over the next three years, this segment is estimated to grow at around 35% compounded annually. The spectrum auctions are just a few months away now, and it will be worth watching how much spectrum will be reserved for the enterprises for private 5G.