Techno-Economic Analysis of 5G Deployment Scenarios involving Massive MIMO HetNets over mmWave: A Case Study on the US State of Texas

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2018-01-03

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The fifth generation (5G) of mobile services envisages network heterogeneity, cell densification, and high spectral efficiency using Massive MIMO, operating at millimeter-wave frequencies. Accurately assessing the potential of financial returns for such a complex network poses to operators unique challenges including techno-economic analysis leading to the identification of decision variables most sensitive to the profitability parameters. Attempting to demystify their concerns, we evaluate the profitability potential for realistic 5G deployment scenarios over 28 GHz frequency in the State of Texas. Interestingly, we discover that the total cost of ownership for 5G network is about one-third of that for 4G LTE-Advanced (LTE-A) deployment, yielding estimated returns amounting to $482.14 million for the period 2020-2030. The sensitivity analyses predict profitability in 70% of the cases of 5G, against LTE-A. For operators, the crucial levers having the maximum impact on profitability are decisions pertaining to the spectrum acquisition and the pricing of services.

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Wireless Networks, 5G, mmWave, Massive MIMO, Techno-economic assessment, Total Cost of Ownership (TCO)

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10 pages

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Proceedings of the 51st Hawaii International Conference on System Sciences

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Attribution-NonCommercial-NoDerivatives 4.0 International

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