Minister says proposals drawn up over 5G introduction

Minister of Digital Economy and Entrepreneurship Ahmad Hanandeh on Wednesday said government stakeholders, including the Telecommunications Regulatory Commission (TRC), and private telecom providers have come up with proposals over the future introduction of 5G services in the Kingdom.

 

Speaking to Petra, the minister indicated that deliberations over the issue have now moved to the Ministry of Finance, which will prepare a recommendation and forward it to the government.

 

He emphasized that the government is keen to see the 5G technology deployed in the local market given its significant impact on the digitization drive in the Kingdom and on business-doing and economic productivity.

 

Hanandeh pointed that 5G-related studies in some countries of the region showed that most countries offered incentives to their local companies exchange for obtaining these services.

 

He pointed out that “the return on investment and the competitiveness of telecom companies is decreasing, which poses a challenge to them if they decide to invest in the 5G technology, indicating that these companies used to maintain large cash reserves in banks back in 2011 and 2012, while they are currently facing huge debts.”

 

According to the minister, the 5G technology and fiber networks are the best option for private and public digitization efforts.

 

He indicated that the delay in introducing 5G services affects Jordan’s ability to compete and affects technological solutions provided for the various sectors, adding that service providers will need 4 to 5 years to feel the feasibility of the 5G technology.

 

Hanandeh noted that the coronavirus pandemic increased internet usage in the Kingdom from about 7,000 terabytes to 12,000 terabytes, which pressured providers and connection speeds were it not for the government to give companies free additional frequencies to meet the large increase in demand.

 

Source: Jordan News Agency