Newsletter 27 – October 2022

Europe scales up 6G research investments and launches 35 new projects worth 250 million EUR

Launch of the SNS JU

A total of 35 Research and Innovation (R&I) projects have been selected following the evaluation of proposals submitted under the first call of the EU’s Smart Networks and Services Joint Undertaking (SNS JU). This launch followed the formal decision of the SNS Governing Board in July and today’s presentation of the portfolio at the SNS States Representative Group (SRG).

The SNS JU aims at reinforcing European leadership in developing and deploying next-generation network technologies, as well as connected devices and services through an ambitious R&I roadmap and a solid deployment agenda. In addition, it contributes to the UN’s Sustainable Development Goals (SDGs) towards sustainable, resilient, and climate-neutral network infrastructures and services.

The R&I projects will develop smart communication components, systems, and networks for 6G following both, an evolutionary path through further enhancements of 5G advanced technology, as well as a more revolutionary path by investigating the benefits of promising technological enablers. Technology validation initiatives will develop SNS experimental infrastructures and carry out large-scale SNS trials and pilots in several business and industrial sectors such as media, industrial IoT, energy, construction, automotive, eHealth, culture, agriculture and education.

The combined EU funding for this new portfolio under the Horizon Europe programme is around EUR 250 million.

For more information please go the SNS  page.

Overview of the SNS Project Portfolio

Stream A – Smart communication components, systems and networks for 5G mid-term Evolution systems

The seven (7) projects under this stream (BeGREEN, 5G-STARDUST, SEASON, 6Green, VERGE, NANCY, ACROSS) follow an evolutionary path towards the development of 6G networks. The selected projects demonstrate complementarity and have been selected in such a way as to create a complete system view. Research topics covered include energy-efficient radio networks, adaptive Open RAN, integrated 5G-Non-Terrestrial Networks (NTN), AI-based edge platforms, and intelligent resource management ensuring security, privacy & trustworthiness.

Stream B – Research for revolutionary technology advancement towards 6G

The focus is on novel technologies that are expected to be adopted in commercial networks in a mid and/or long-term time period. Research topics considered in the nineteen (19) retained projects (EINSTEIN6G, ADROIT6G, DESIRE6G, PREDICT-6G, TERA6G, TERRAMETA, 6GTandem, CENTRIC, TIMES, FLEX-SCALE, ETHER, 6G-NTN, SUPERIOT, CONFIDENTIAL6G, RIGOUROUS, HORSE, PRIVATEER, Hexa-X-II, 6G-SHINE) include, inter alia, novel 6G system architectures, advanced wireless and optical communication technologies, advances in Non-Terrestrial Networks, secure development of ultra-reliable, and low-latency communications (URLLC) applications.

Stream C – SNS experimental infrastructures

The three (3) projects in stream C (6G-SANDBOX, 6G-BRICKS, 6G-XR) aim at developing EU-wide experimentation platforms that can incorporate promising technical 6G enablers for their further validation. Key aspects of the projects are the reusability and ability to evolve of the experimental platforms over the lifetime of the SNS programme. Accessibility and openness with well-defined and clearly-documented technological and business interfaces are also considered key assets of the infrastructures to be developed.

Stream D – Large-Scale SNS Trials and Pilots

Four (4) projects (TARGET-X, TrialsNet, FIDAL, IMAGINE-B5G) are implementing large-scale SNS trials and pilots with specific verticals of high economic and societal importance. The aim is to explore and demonstrate 5G/6G technologies, advanced applications and services in vertical sectors such as energy, construction, automotive, manufacturing, eHealth, culture, and media. Additionally, these large-scale trials aim to become the catalyst for the creation of viable business ecosystems. Stream D projects incorporate technologies that are currently key enablers for 6G networks, such as AI/ML, cybersecurity, cloud/edge and advanced IoT solutions etc.

Supporting Actions

The project portfolio also includes two (2) Coordination and Support Actions (SNS OPS & SNS ICE) focussed on internal operational aspects of the SNS Partnership as well as  on establishing dialogues with EU initiatives (e.g., related partnerships, national initiatives, etc.) and promote SNS results and achievements at a global level while working towards the formation of global standards.

Background

In November 2021, Council Regulation 2021/2085 established the SNS JU as a legal and funding entity, one of the European Partnerships to step up the green and digital transition.
This Partnerhsip is jointly led by the European Commission (EC) and the 6G Smart Networks and Services Industry Association (6G-IA). The 6G-IA is the voice of European Industry and Research for next generation networks and services. The 6G-IA brings together a global industry community of telecoms & digital actors, such as operators, manufacturers, research institutes, universities, verticals, SMEs and ICT associations.

The SNS JU enables pooling EU and industry resources into Smart Networks and Services. It also fosters alignment with Member States on 6G Research and Innovation and deployment of advanced 5G networks. The SNS JU sets out an ambitious mission with an EU budget of EUR 900 million for the period 2021-2027. The private sector will contribute at least equal resources (i.e., EUR 900 million) to the SNS JU activities.

The SNS JU has two main missions:

• Fostering Europe’s technology sovereignty in 6G by implementing the related Research and Innovation (R&I) programme leading to conception and standardisation around 2025.
• Boosting 5G deployment in Europe in view of developing digital lead markets and enabling the digital and green transition of the economy and society. To this end, the SNS JU coordinates strategic guidance for the relevant programmes under the Connecting Europe Facility and in particular for 5G Corridors.

The States Representatives Group (SRG) is an essential part of the SNS JU governance. The SRG provides guidance on all strategic matters, as well as all relevant activities of the partnership. In particular, it provides guidance on R&I under Horizon Europe and on deployment activities under CEF2 Digital or other EU programmes. It is composed of representatives from the Member States and Associated Countries.

The first SNS call for proposals under Horizon Europe was published on 18 January 2022 and closed on 26 April 2022. The opening of the second SNS call for proposals is planned for January 2023.

Digital Europe Programme: Commission opens calls to invest 200 million EUR in digital tech

The calls are open to businesses, public administrations, and other entities from the EU Member States, EFTA/EEA countries, and associated countries. This funding will see an investment of €170 million in data spaces, the development of an artificial intelligence (AI) platform to provide easy access for business and public administrations to trustworthy AI tools made in Europe, cloud-to-edge infrastructure, as well as investment in specialised education programmes in the area of advanced digital technologies. The deadline for these calls is 24 January 2023. A new call is also open for European Digital Innovation Hubs with additional €30 million. The Hubs located all around Europe will support private companies, including SMEs and start-ups, and the public sector in their digital transformation.  The deadline for this call is 16 November 2022. More information as regards applying for grants for these calls for proposals is available online. Further calls under the  2021-2022 Work Programme will be published in the coming weeks.

The Commission has launched the second set of calls for proposals, with 277 million EUR budget, under the Connecting Europe Facility Digital programme

The Commission will also grant funds to projects aiming to equip providers of key services in local communities and main transport routes with 5G connectivity. Finally, the calls will focus on projects connecting cloud suppliers and vertical use-case communities, in the interest of forming an EU-wide cloud federation, quantum communication infrastructures, as well as preparatory actions to set up operational digital platforms for transport and energy infrastructures across the EU. The calls are open to businesses, public administrations and entities from EU Member States, overseas territories and countries associated to the programme. The deadline to apply is 23 February 2023.

EU publishes 2022 Digital Economy and Society Index (DESI) study

Human capital – digital skills

While 87% of people (aged 16-74) used the internet regularly in 2021, only 54% possessed at least basic digital skills. A large part of the EU population still lacks basic digital skills, even though most jobs require such skills. The proposed 2030 target of the Path to the Digital Decade is that at least 80% of citizens have at least basic digital skills.

There remains a general shortage of ICT specialists on the EU labour market, and the number of vacancies keeps growing as new jobs emerge. During 2020, 55% of enterprises that recruited or tried to recruit ICT specialists reported difficulties in filling such vacancies.

There is also a severe gender balance issue, with only 19% of ICT specialists and one in three science, technology, engineering and/or mathematics (STEM) graduates being women.

The Path to the Digital Decade proposal set the target of gender convergence for ICT specialists. The Path to the Digital Decade proposal aims to increase the number of employed ICT specialists in the EU to at least 20 million by 2030, compared to 8.9 million in 2021 (corresponding to 4.5% of the labour force). Although there has been steady growth since 2013, an acceleration is needed to reach the target.

Broadband connectivity:

While the EU has full coverage of broadband, only 70% of households can benefit from fixed very high capacity network (VHCN) connectivity with the potential of offering gigabit speeds. FTTP coverage grew from 43% in 2020 to 50% in 2021, while DOCSIS 3.1 coverage increased from 28% in 2020 to 32% in 2021. Rural fixed VHCN coverage also improved from 29% in 2020 to 37% in 2021. However, a large gap between rural and national figures remains. Malta, Luxembourg, Denmark, Spain, Latvia, the Netherlands and Portugal are the most advanced Member States on total fixed VHCN coverage (all with more than 90% of homes covered). By contrast, in Greece, only 1 in 5 households have access to fixed VHCN. The Path to a Digital Decade proposal sets the target that gigabit networks should be available to all households by 2030.

5G coverage also went up last year to 66% of populated areas in the EU. Nonetheless, spectrum assignment, an important precondition for the commercial launch of 5G, is still not complete: only 56% of the total 5G harmonized spectrum has been assigned. Moreover, the very high coverage figures in some Member States are due to operators using spectrum sharing on the basis of 4G frequencies or low band 5G spectrum (700 MHz), which does not yet allow for the full deployment of advanced applications.

Integration of digital technology by businesses:

In 2021, only 55% of small and medium-sized enterprises (SMEs) reached at least a basic level in the adoption of digital technologies. Sweden and Finland have the most digitalised SMEs (86% and 82% having a basic level of digital intensity respectively), while Romania and Bulgaria have the lowest rates of SME digitalisation. To reach the Digital Decade target, at least 90% of SMEs in the EU should have a basic level of digital intensity by 2030.

5G status

5G SA confirms its push in Europe, where some players activated base stations accordingly (Vodafone Germany) or are about to activate in 2023 (Orange Spain, Masmovil, Telefonica Spain).

In Europe, 30 countries enjoy commercial 5G services. 5G is live in every EU-27 Member States as well as in Norway, Switzerland, and the UK. MNOs are mainly focusing on improving 5G coverage outside very dense areas. National governments are more and more keen to provide additional funding for 5G.

• The 700 MHz band has been assigned in twenty-four European countries including Norway, Switzerland, and the UK. Lithuania assigned 700 MHz spectrum; Estonia has also started the auction process for the band; however, it is still ongoing.
• Spectrum within 3.4-3.8 GHz frequency band has already been assigned in 28 countries (25 EU-27 countries and Norway, Switzerland, and the UK). Estonia auctioned 3.5 GHz spectrum in August 2022. Netherlands and Poland plan to assign 3.5 GHz spectrum by year-end 2023.
• Spectrum within 26 GHz frequencies has already been assigned in six Member States and six European countries (EU-countries and Norway, Switzerland): Croatia (October 2021), Denmark (April 2021), Italy (October 2018), Finland (June 2020), Greece (December 2020) and Slovenia (April 2021). In the UK and Germany, local licences are available on demand. Some Member States rescheduled 26 GHz auctions later in 2022 (Spain, Sweden) and in 2023 (Austria).

Almost 72% of the population is covered by 5G in EU-27 thanks to DSS.

Major US and Canadian mobile network operators launched 5G commercial services months ago. The US players were among the first to launch 5G services on mmWave frequencies. 5G is now expanding in South American countries through a relatively slow rollout (Argentina, Brazil, Chile, Dominican Republic, Guatemala, Mexico, Peru, Puerto Rico, Suriname, and Uruguay). Auctions in Brazil, Chile and the Dominican Republic led to new 5G roll-outs in 2022. More auctions are expected in the region (Canada mid-band and mmWave), Mexico (mid-band). Challengers launched 5G services in Canada (Eastlink, SaskTel, Videotron). New players are also expected in the USA (Comcast).

Asia-Pacific shows wide disparities in terms of 5G deployment. It enjoys various quality 5G experiences, particularly in mature markets like South Korea and Taiwan. In many less-advanced markets however, 5G has not yet been launched yet. In terms of subscriber numbers, the region will account for the lion’s share of 5G subscriptions between 2022 and 2027. The volume effect of China and India will push Asia-Pacific 5G subscriptions to exceed the 1 billion mark sometimes in 2023. Chinese players make up the top3 in subscriber numbers with 285 million 5G users for China Mobile at end-September 2022. using the 5G network (557 million 5G subscriptions in total).  Those numbers reflect in base stations numbers: late in October 2022, China had deployed 1.870 million 5G-enabled base stations all over the country.

India completed its much anticipated 5G auction in July 2022 which raised a total of 19 billion EUR across a series of spectrum bands. Country’s first 5G services were launched by Prime Minister Narendra Modi at the India Mobile Congress in early October. Bharti Airtel switched on its 5G network in eight cities: Delhi, Mumbai, Varanasi, Bangalore, Chennai, Hyderabad, Nagpur and Siliguri. In a speech at the conference, Airtel Chairman Sunil Mittal added that 5G would be extended to most cities by March 2023 and would be available across the country by March 2024.

Reliance Jio Infocomm inaugurated its 5G services in October 22. Jio’s 5G service will initially be available in Delhi, Mumbai, Kolkata and Chennai but will be extended nationwide by December 2023. Vodafone Idea offered little new information on its 5G deployment. The operator’s rollout is understood to be awaiting the completion of its various fundraising initiatives and negotiations with vendors and infrastructure operators.

State-owned operator Bharat Sanchar Nigam Limited (BSNL) is working towards the deployment of 5G in 200 cities within the next six months, with services to be launched as early as August 2023. BSNL is targeting 80% to 90% coverage within two years. Separately, the telecom minister disclosed that the government is planning to establish 100 5G labs across the country.