5G regulation and law in the USA

This chapter was kindly submitted by Cooley LLP

1. What is the state of 5G deployment in your country?

5G roll-out began in 2019, and services are available from nearly every carrier.

All three major carriers (Verizon, AT&T and T-Mobile) offer 5G service to the majority of the population. Much of the deployment uses low-band frequencies that do not offer the highest speeds available through 5G protocols. AT&T and Verizon are in the process of deploying mid-band spectrum obtained in a recent auction of former satellite spectrum, all of which will be devoted to 5G. T-Mobile has extensive mid-band assets and will be deploying additional spectrum from the satellite spectrum auction in 2023.

Regional carriers are also deploying 5G services throughout their footprints. DISH Network launched its 5G-only service in June 2022, and has committed to serving 70% of the population by June 2023.

2. Are telecoms companies monetising 5G investments - or are the services provided to consumers at similar prices to 4G?

Carriers are generally not monetising 5G by offering separate 5G tiers or 5G services in their consumer-focused mobile services.  Rather, they have been including 5G services as part of their standard offerings at no additional charge.
T-Mobile, Verizon, and AT&T are offering separate fixed 5G services intended to replace wired internet access. The Verizon service is available only in limited locations and AT&T is focused on business customers. The T-Mobile service is being offered more broadly to consumers.

3. Has 5G been launched for industrial purposes? For which sectors?

The US does not allocate spectrum by sector, so there is no formal government launch of 5G for industrial purposes.

Each of the major providers offers services tailored to a range of industries, including Internet of Things services.

4. What is being done to ensure that a wide range of operators and industrial companies, from small to large, have access to frequencies? Are such frequencies accessible to stadiums, airports and other special premises?

The FCC has adopted a spectrum screen, used to evaluate the amount of spectrum held by each operator, to ensure that multiple operators have access to spectrum across the country.

Service providers and venues make arrangements for service in specific premises. In general, special premises are served by multiple carriers, but in some cases (particularly arenas and stadiums) specific providers enter into commercial arrangements to be the preferred provider for particular premises. These arrangements are not regulated by the FCC, and do not prevent any other wireless provider from offering services at the premises if it can extend a signal into that location.

5. What public tenders have awarded spectrum licences? 

  1. 5.1 What were the criteria for awarding each of the tenders?
  2. 5.2 What are the conditions of the spectrum licence?
  3. 5.3 What is the price and how is it calculated?

The FCC generally licenses wireless spectrum via auction. Any entity that is qualified to hold FCC licences is eligible to participate in the auctions, with some bidding credits available to qualified small businesses and rural providers. The FCC sets starting prices for bids based on its evaluation of the minimum value of the spectrum, and the final price is determined by the highest bid for each increment of spectrum.

Auction winners may be required to comply with limitations on total spectrum holdings under the spectrum screen described above.  These limitations vary depending on the spectrum bands involved in the auction. Auctioned spectrum typically is subject to build-out requirements that, in broad terms, require coverage of most of the population in the licence area by a specified date.

The FCC has completed several auctions for spectrum that can be used for 5G services. It has completed auctions for spectrum in the following bands since 2019:

2019

24 GHz

28 GHz

2020
3.55 to 3.70 GHz

37 and 39 GHz

47 GHz

2021

3.7 GHz (former C-Band satellite spectrum)

2022

2.5 GHz (fill-in areas)
3.45 GHz

6. Is there a long-term spectrum plan or announcements for future tenders? 

There are currently no plans for future tenders. The FCC is considering whether to re-purpose spectrum in the 12 GHz band for terrestrial wireless use, but has not reached any decision.

The FCC’s authority to auction spectrum is scheduled to expire in March 2023, but this is expected to be extended.

7. If 5G specific rules are drafted, what do they say?

The FCC has no 5G-specific rules, and is not expected to adopt 5G-specific rules. It adopts technical rules governing power levels, interference and similar issues, but does not require the use of any particular protocol or standard on any frequency band that is available for commercial wireless use.

8. Are there any issues in the implementation of the 5G projects? Have there been any decisions regarding non-compliance with 5G concessions’ obligations?

The most significant issue related to 5G implementation has been addressing interference between terrestrial use of the 3.7 GHz band and radar altimeters used by commercial airliners. Verizon and AT&T have delayed deployment of this spectrum in areas near airports while filters are installed in airplanes, a process that the Federal Aviation Administration expects will be completed by summer 2023.
There have been no decisions regarding non-compliance with 5G obligations. As noted above, there are no 5G-specific rules, and the only operational obligations for spectrum tenders concern deployment.

9. What focused 5G network or spectrum sharing regulation exists? What are the latest developments in the thinking of the regulators about 5G shared infrastructure ownership or use?

There are no such regulations at the federal level. Wireless providers are permitted to share network infrastructure, and commonly share antenna locations (although joint use of antenna locations is subject to general rules governing human exposure to radiofrequency radiation).
There is no current regulatory activity concerning shared infrastructure ownership or use.

10. Are 5G network sharing or spectrum sharing agreements in place?

Carriers enter into roaming agreements and resale agreements that permit other carriers to obtain access to 5G services. Carriers may also enter into targeted agreements that permit sharing of facilities such as antenna structures.
Some spectrum allocated to wireless use is shared with federal government users, including the 3.55 to 3.65 GHz band. In such shared bands, the FCC requires private users to avoid harmful interference to government users.

11. What are or will be the rules for granting competitors access to new 5G networks once they are deployed?

There are no specific federal regulations mandating the unbundling of 5G networks, or any other wireless networks. However, carriers are required to permit resale of their voice services and to enter into roaming agreements with other carriers.

T-Mobile entered into a network services agreement with DISH Network as part of its settlements with the FCC and Department of Justice when it acquired Sprint.  The agreement also permits DISH customers to roam on the T-Mobile network. That agreement was amended in 2022 to reduce the rates paid by DISH and to add a new purchase commitment. It expires in 2027.

12. What comments have been made regarding 5G cyber-security and possible use of Chinese technology, including regulation?

US law forbids paying subsidies from the federal universal service fund to support the use or deployment of equipment from specified Chinese manufacturers in the networks of wireless carriers receiving such subsidies. In addition, the FCC has adopted rules that prohibit specified Chinese manufacturers from obtaining authorisation to sell new or updated telecommunications equipment in the US, and is considering whether to adopt rules prohibiting those manufacturers from selling their existing equipment.
The FCC has no specific cyber-security rules governing 5G services, but those services are subject to general FCC rules requiring wireless carriers to maintain the privacy of customer information. In addition, in the context of transactions involving foreign investment in US telecommunications companies, an inter-agency group led by the Justice Department typically examines the security of company networks and may require additional measures to protect those networks from intrusions.

Robert McDowell
J.G. Harrington
Henry Wendel