Could smarter spectrum policies could unlock billions for Europe’s 5G future?

A GSMA Intelligence study reveals that adopting smarter spectrum pricing and renewal practices could free up hundreds of billions of euros for network upgrades and accelerate Europe’s roll-out of standalone 5G, addressing current lagging deployment compared to global peers.

Europe’s mobile operators could free up billions for network build‑out and accelerate 5G standalone (5G SA) roll‑out if policymakers adopt smarter spectrum pricing and renewal practices, a GSMA Intelligence study concludes. The report argues that longstanding auction and pricing approaches have added pressure to operator finances at a moment when Europe is already trailing global peers on advanced 5G deployment. ^[1][2][3]

Industry analysis in the report shows total spectrum costs have climbed sharply over the past decade and now represent roughly 8% of recurring operator revenues in Europe , a level the GSMA says reflects reserve prices, annual fees and other non‑market factors that have driven prices higher than necessary. Global GSMA work also highlights wide international variation in spectrum burdens, underscoring how public policy choices shape operator costs. ^[1][2][7]

More than 500 spectrum licences used to support largely 3G and 4G services are due for renewal across Europe in the next ten years. Under current policies the study projects operators will face around €105 billion in spectrum costs through 2035; reforming renewals could reduce that burden by as much as €30 billion, while more moderate changes could still save about €20 billion. ^[1][2][3]

The report links those potential savings directly to Europe’s lagging 5G SA adoption. Europe’s share of users on 5G SA remains very low compared with China and other markets , independent industry studies show Europe’s 5G SA availability and uptake trail the US, China and India , a shortfall the GSMA attributes in part to inconsistent multi‑band strategies and underinvestment in 5G core networks. ^[1][5][4]

If even €20–€30 billion were redirected into network investment, operators could undertake the upgrades needed to migrate existing 5G deployments to 5G SA, delivering faster speeds and greater efficiencies. The GSMA estimates such a shift could raise European GDP by as much as €75 billion over the next decade, while materially improving consumer and business connectivity. ^[1][3]

To realise those gains the report sets out a package of policy recommendations for EU and national regulators: increase certainty and investment incentives in renewal assessments; simplify renewals through administrative extensions and earlier renewals; avoid setting aside spectrum solely for new entrants or localised use where it would disrupt investment; and engage industry on clear, achievable connectivity targets. The GSMA highlights next year’s implementation of the Digital Networks Act as a timely opportunity to enact many of these changes and urges coordinated action on mid‑band and upper‑6 GHz spectrum to support future generations of mobile technology. ^[1][2][6][7]

“Providing high‑quality connectivity to Europe’s citizens and improving the continent’s competitiveness requires a lot of investment that many operators are struggling to source or justify. Smart reform of Europe’s spectrum policy will have an immediate and enduring impact,” John Giusti, Chief Regulatory Officer at the GSMA, said in the report. The study also warns that spectrum choices made now will influence capacity needs into the 2030s, with at least 2 GHz of mid‑band spectrum likely required by 2030 and up to 3 GHz by 2035 if demand continues to grow. ^[1][6][7]

📌 Reference Map:

##Reference Map:

• ^[1] (Communications Today) – Paragraph 1, Paragraph 2, Paragraph 3, Paragraph 4, Paragraph 5, Paragraph 6, Paragraph 7
• ^[2] (GSMA: Spectrum resources page) – Paragraph 1, Paragraph 2, Paragraph 3, Paragraph 6
• ^[3] (GSMA press release) – Paragraph 1, Paragraph 3, Paragraph 5
• ^[4] (GSMA: European 5G performance) – Paragraph 4
• ^[5] (Telecom Review Europe / Ookla & Omdia summary) – Paragraph 4
• ^[6] (GSMA: call for upper 6 GHz) – Paragraph 6, Paragraph 7
• ^[7] (GSMA Global Spectrum Pricing report) – Paragraph 2, Paragraph 6, Paragraph 7

Source: Fuse Wire Services