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.
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Kokkinen, T., Kokkinen, H., Yrjölä, S. (2019). Location Dependent Spectrum Valuation of Private LTE and 5G Networks in Europe. In: Kliks, A., et al. Cognitive Radio-Oriented Wireless Networks. CrownCom 2019. Lecture Notes of the Institute for Computer Sciences, Social Informatics and Telecommunications Engineering, vol 291. Springer, Cham. https://doi.org/10.1007/978-3-030-25748-4_23
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