Research Article
Location Dependent Spectrum Valuation of Private LTE and 5G Networks in Europe
@INPROCEEDINGS{10.1007/978-3-030-25748-4_23, author={Topias Kokkinen and Heikki Kokkinen and Seppo Yrj\o{}l\aa{}}, title={Location Dependent Spectrum Valuation of Private LTE and 5G Networks in Europe}, proceedings={Cognitive Radio-Oriented Wireless Networks. 14th EAI International Conference, CrownCom 2019, Poznan, Poland, June 11--12, 2019, Proceedings}, proceedings_a={CROWNCOM}, year={2019}, month={8}, keywords={Private LTE 5G Spectrum pricing Valuation}, doi={10.1007/978-3-030-25748-4_23} }- Topias Kokkinen
Heikki Kokkinen
Seppo Yrjölä
Year: 2019
Location Dependent Spectrum Valuation of Private LTE and 5G Networks in Europe
CROWNCOM
Springer
DOI: 10.1007/978-3-030-25748-4_23
Abstract
Emerging private LTE and 5G services and applications have created need for local radio spectrum licensing. The existing pricing models for licenses do not work well in this context. This paper introduces three new location dependent valuation methods that aim to produce more accurate pricing for local licenses. We use FICORA Frequency Fee as our base-case general spectrum valuation model, and we replace the population density based location coefficient with proxies such as employee density, value added per employee, and rent prices. By comparing the differences in the prices yielded by the models, we show that the new models can in some cases identify high demand areas like hospitals and industrial districts better than the original population density based model. Additionally, we conclude that the original population density based model and the new employee density based model could be used together to capture both the consumer and the industrial spectrum demand simultaneously.