Next year's 5G budget will increase by 87% and testbeds will expand 2.4 times.
5G frequency bandwidth to expand to 5,320 MHz by 2026
Trade Insurance Support for 5G Ecosystem Companies


The government has decided to increase next year's 5G budget by 87% and expand test beds by 2.4 times. It was also decided to secure twice as many 5G frequency bands as now by 2026.

On the 5th, the government held the 2nd inter-ministerial public-private joint 5G+ strategy committee at the Korea Trade Insurance Corporation in Seoul to promote the 5G+ strategy announced on April 8th.

The Strategy Committee was formed on June 19th and consists of 24 members, including Professor Emeritus Kim Tae-yu of Seoul National University and Minister of Science and ICT Choi Ki-young as co-chairs, as well as vice-ministers from nine related ministries and 13 civilian members.

At this 2nd Strategy Committee meeting, the following agenda items were reported: ▲Private sector achievements and plans ▲5G trade insurance support strategy ▲5G+ strategy 2020 implementation plan ▲5G+ spectrum plan.

In 2019, the government laid the foundation for creating a 5G ecosystem, and in 2020, it plans to increase the government budget for 5G by approximately 87% and expand the number of test beds by 2.4 times.

Prior to the Strategy Committee, five policies were established in the areas of immersive content, information security, smart factories, and autonomous vehicles, and the 5G+ spectrum plan was announced through this Strategy Committee.

The government plans to establish and complete follow-up policies in areas such as devices and edge computing by the first half of next year.


Private Sector Promotion Achievements and 5G Trade Insurance Support Strategy
This year, Samsung Electronics achieved the top two positions in the global 5G terminal and equipment market. Small and medium-sized enterprises (SMEs) manufacturing 5G components, such as optical transceivers, also continued to make strides. The status of 5G technology has also been raised, with countries such as the OECD, the World Bank, AT&T, Vodafone, and KDDI visiting Korea to learn about 5G.

Trade insurance, as defined by the Trade Insurance Act, is a policy support tool for strengthening national competitiveness and developing the national economy by promoting trade and overseas investment. It is the only export support policy tool permitted under the WTO system, and 74 organizations in 60 countries operate export insurance programs.

To ensure the 5G industry quickly secures a foothold in overseas markets, the government has decided to provide integrated support for export financing and export commercialization across the entire value chain.

Support will be provided in two forms: a fleet-based approach that supports the simultaneous overseas expansion of multiple companies within the 5G ecosystem, and an integrated approach that allows specific companies to comprehensively utilize all trade insurance support systems.

The government expects that this will further accelerate the overseas expansion of domestic 5G companies that have shown promise this year and encourage shared growth between large and small businesses.


5G+ Spectrum Plan
Frequency is a key resource and input for the 5G+ strategic industry, and the network, service, and industrial competitiveness depend on the quantity and quality of frequency supply.

Accordingly, the government has established three strategies. First, it will upgrade unlicensed technologies to 5G performance. It plans to provide next-generation Wi-Fi and provide the 6GHz band as an unlicensed frequency to meet the demand for unlicensed 5G for manufacturing productivity innovation. It will also pursue a decision on autonomous vehicle communication methods in the 5.9GHz band, the provision of long-distance drone control frequencies, and the improvement of technology regulations in the digital healthcare sector.

Next, we will secure and supply the world's widest 5G frequency. The government plans to gradually secure additional frequencies up to 2,640 MHz by 2026, doubling the 5G frequency bandwidth from the current 2,680 MHz to 5,320 MHz.

In the sub-6GHz band, 320MHz of bandwidth will be secured in the 3.5GHz band and 240MHz in other bands, for a total of 640MHz. A total of 2,000MHz of bandwidth will be secured in the 24GHz and above bands. A total of 1,400MHz of bandwidth will be secured in the 26GHz band, adjacent to the already supplied 28GHz band, and this will be gradually expanded to the 24/37GHz bands in the future.

Finally, we will innovate the frequency management system and institutions. To quickly respond to diversifying frequency demands in a saturated spectrum environment, we plan to implement a "Band Management Evaluation and Forecasting System" that preemptively announces maintenance schedules and action plans based on a prioritized assessment of band management priorities. We will also promote frequency sharing and establish a "Clearing House," a dedicated agency for band management.

The government plans to refine and concretize its 5G+ strategic industry development implementation plan based on the results of this strategic committee discussion and ongoing field feedback.

Minister of Science and ICT Choi Ki-young, co-chair of the Strategy Committee, said, “The government will expand the government budget for 5G by 87% compared to this year and expand the test bed by 2.4 times to provide generous support for the discovery and expansion of new private sector 5G-based industries.”

Co-chairman Kim Tae-yu said, “With China’s commercialization of 5G, the global 5G competition is just beginning,” and added, “The government should strengthen support through large-scale investment and abolish regulations to expand private investment.”