SMART CITIESHow 5G Can Help Become Vibrant Smart Cities

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SMARTCITIESHow 5G Can HelpMunicipalitiesBecome VibrantSmart Cities

How 5G Can Help MunicipalitiesBecome Vibrant Smart CitiesExecutive SummaryFor decades, the evolution of communicationstechnology has laid the foundation for broad economicgrowth across the United States benefitting towns andcities large and small. The next generation of wirelessnetwork infrastructure will be built using small-cellnetworks employing 5G wireless technology. Theconnectivity and computing capacity unleashed bythese high-speed wireless networks will bring thepower of Smart City solutions to municipalities acrossthe country.This can transform local economies. Research hassuggested that Smart City solutions applied to themanagement of vehicle traffic and electrical gridscould produce 160 billion in benefits and savingsthrough reductions in energy usage, traffic congestionand fuel costs. These 5G attributes will enable citiesto reduce commute times, improve public safety andgenerate significant smart grid efficiencies.Beyond the benefits of pervasive Smart City technology,the potential gains from the deployment process forsuch technology are also significant since telecomoperators are expected to invest approximately 275 billion in infrastructure, which could createup to 3 million jobs and boost GDP by 500 billion.Full realization of the economic growth and costsavings from leveraging Smart City solutions builton 5G infrastructure will, however, depend on howrobustly 5G networks are deployed locally, andwill require different approaches from those used inthe past. The network deployment build of 5G willinvolve 10 to 100 times more antenna locations than4G or 3G. These cells are small – the size of a shoebox – and are critical not only for delivering the speedand capacity promised by this next generation ofwireless, but also for supporting the increased numberof devices that will be connected to the network inthe future.5G Economic ImpactsInvestment 275BillionJobs Created3MillionGDP Growth 500BillionPage 1

Smart City Technology & 5G Are Expected toBenefit All Community SizesSaratoga, CA29,900 Pop.Beaumont, TX118,000 Pop.Metro Chicago, IL9,472,000 Pop.Jobs Created3001,00090,000GDP Growth 50M 180M 14BNetworkInvestment 20M 100M 8BSmart Grid TransportationBenefits 10M 70M 5BTo support the increased density of small cells that willbe required to obtain both the economic and SmartCity benefits enabled by 5G wireless networks, thereare a number of steps municipal leaders should taketo encourage telecom operators to invest in deployingnext-generation infrastructure in their municipalities.Today, many municipalities require approvals andfees based on the historical deployment of largetowers that can be more than 250 feet tall. The shiftfrom traditional large wireless towers to small-cellsites – affixed on locations from lamp posts to utilitypoles – will require a streamlining of the permittingprocess governing wireless infrastructure deploymentand an appropriate adjustment in permit areas.If municipal and regulatory leaders wish to reapeconomic benefits, including jobs and GDP growth,and accelerate their journey to becoming a Smart City,they should strive to be among the first to streamlinepermitting, change their fee structures, and reduceregulatory hurdles to support the new small-celldeployment model required for this next generationof wireless technology.Page 2

The Next Generation ofWireless Technology WillFuel Economic GrowthThe full potential of Smart Citieswill be unlocked by 5G networksand small cells, creating jobsas well as entire new industries.Communities that support5G wireless technology willsee significant economic andcommunity benefits. Thisnext generation of wirelesstechnology is expected tocreate 3 million new jobs andboost annual GDP by 500billion, driven by a projected 275 billion investment fromtelecom operators.Direct Economic BenefitsAs telecom operators build out their networks,they are expected to invest across the country. Ouranalysis indicates that U.S. telecom operators couldinvest approximately 275 billion over seven yearsto deploy next-generation wireless technology, withtrials beginning as early as 2017 in select cities.1 Ofthat 275 billion, 93 billion is expected to be spenton construction, with the remainder being allocatedfor network equipment, engineering, and planning.5G Economic ImpactsInvestment 275BillionJobs Created3MillionGDP Growth 500BillionPage 3

5G Is Expected to Benefit All Community SizesSaratoga, CA29,900 Pop.Beaumont, TX118,000 Pop.Metro Chicago, IL9,472,000 Pop.Jobs Created3001,00090,000GDP Growth 50M 180M 14BDeploying the infrastructure required for 5G will alsocreate jobs. We estimate that approximately 50,000new construction jobs will be created each yearover the 7-year buildout period. When we considerthe effects on suppliers and other partners, andtheir spending in the economy, the full impact fromconstruction spending alone could be approximately120,000 jobs created each year during the first sevenyears of deployment.2Broader Economic BenefitsThough the direct jobs and investment to be expectedfrom deploying 5G are significant, the broadereconomic benefits associated with an improvedwireless communications network are even greater.Based on research into the benefits of adopting thenext generation of wireless technology,3 we expect 5Gcould help create 2.2 million jobs, and approximately 420 billion in annual GDP, spread across small,medium and large communities in the U.S.4Another of 5G’s contributions to generating jobs andeconomic growth will be providing the benefits ofhigh-speed broadband to the 5% of Americans whocurrently do not have access. Because faster Internetconnections allow users to utilize video applicationsfor telecommuting, or participate in e-learning coursesthat give them additional skill sets or certifications,their employability and earning power increases, thuscreating a more competitive workforce in differentlocalities – which would, in turn, attract higher-payingjobs to these communities. If localities embrace 5G, andcitizens who are not already online become adopters,we could see an additional 90 billion in GDP, and870,000 in job growth.Communities of all sizes are likely to see jobs created.Small to medium-sized cities with a population of30,000 to 100,000 could see 300 to 1,000 jobscreated. In larger cities like Chicago, we could seeas many as 90,000 jobs created.Page 4

On a state level, there will also be significant economicbenefits. Analyzing a sample of different-sized statesacross different regions, the number of jobs createdin the short-term as a result of network deploymentis expected to be significant for both large and smallstates, with California seeing more than 11,000 jobscreated.While the deployment of 5G wireless networks willbring near-term economic benefits, it will also helpto ensure that U.S. communities remain competitiveover the longer term by allowing them to fully leverageSmart City technology, and ensuring the latest wirelesscommunications technology is available to citizensand businesses. The job impact for larger states couldbe considerable; California could see as many as375,000 long-term jobs created.Expected Number of Jobs Created by sCalifornia11,000375,000Florida6,000195,000New York5,000190,000Oregon1,10039,000South Dakota2008,000Page 5

Smart City GrowthWill Be Accelerated byNext-Generation WirelessThe Smart City applicationscurrently leveraging today’swireless networks are alreadyshowing significant benefits tocommunities. Building on thefoundation of 4G LTE, 5G willaccelerate these Smart Citybenefits.The key attributes of 5G that will benefit Smart Citiesinclude higher speeds; more connections – thusenabling wireless connectivity in unprecedentedlocations, ranging from street lights to sewer holes;quicker, more adaptive response times that supporttime-sensitive applications, such as vehicle-to-vehiclecommunications; and ultra-low-power connections,such as sensors for leak detection in water mains,since, in many cases, the replacement cycle is directlyrelated to battery life.We have picked three areas – energy/utilities,transportation, and public safety – to showcase what ispossible when municipalities welcome next-generationwireless technology. These examples also illustratehow wireless connectivity is already creating jobs,generating municipal efficiencies, and increasinggovernment revenue.5G: Technology to Meet the GrowingDemands of Smart CitiesAbility to connectmany moresensors zation,greater reliabilityand redundancyUltra-low powerconsumptionPage 6

1.4*Energy & UtilitiesSmart Grid. 5G technology will help unleash the nextwave of Smart Grid features and efficiency. Across theU.S., Smart Grid benefits are estimated to be as highas 2 trillion dollars over 20 years.5By allowing many unconnected, energy-consumingdevices to be integrated into the grid through low-cost5G connections, 5G enables these devices to be moreaccurately monitored to support better forecasting ofenergy needs. By connecting these energy-consumingdevices using a smart grid, demand-side managementwill be further enhanced to support load balancing,helping reduce electricity peaks and ultimately reduceenergy costs.Capturing this data through 5G connections will furtherenable larger cities, or even state-level jurisdictions,to plan expensive energy infrastructure spending moreefficiently and reduce downtime. In the event of powerfailure, smart grid technology enables precise, real-timediagnosis, down to the specific pole or transformeraffected by an outage, which speeds up repairs andreduces downtime. For example, by installing smartgrid technology, Chattanooga, TN, a medium-sizedtown, reduced the duration of outages by over 50%during a severe windstorm and saved the utility 1.4million* in operational costs for just one storm.6SmartEnergyGridMillion SavingsCurrent SmartGrid sensorsNew 5G low-costsensors5G enables additional low-costconnections to providecomprehensive coverageof the energy grid.Last but not least, 5G is itself more cost effective andenergy efficient than past generations of wirelesstechnology, thus making its own contribution toenergy savings.Smart Lighting. By automatically dimming publiclighting when no pedestrians or vehicles are present,smart lighting can save power and reduce lightpollution while still keeping neighborhoods safe. Smartlighting has begun to be rolled out in cities such asSan Diego and Barcelona7 as part of a larger Smart Cityinitiative. Through its system, San Diego will save anestimated 1.9 million8 annually through the installationof these street lights. Across the U.S., the potentialsavings from this approach are estimated to be morethan 1 billion per year.Smart lighting connected to a city’s broadband networkcan also monitor local air quality. Adding this level ofconnectivity to smart LED lighting can also reduce thelighting system’s maintenance costs.Page 7

Fuel Savings ofSmart Car Convoys25%9Safe Distance without5G and V2VAir flow - dragconstitutes 50-75%of highway energySelf-Driving Cars - 2020Safe Distance with5G and V2VAir flow – car convoycan reduce drag by20-60%Autonomous Cars w/5G - Future5G vehicle-to-vehicle communications (V2V) could allow lead cars tocommunicate hazards to following cars, increasing reaction time andsafely allowing car convoys.TransportationBy leveraging next-generation wireless technology,communities can improve their transportation systems– enhancing public transportation, reducing trafficcongestion, and generating revenue from publicparking efficiencies.Public Transportation. With increased wirelessconnectivity, communities with a public transit systemcan reduce rider wait times while also optimizing businventory. Giving transit operators minute-by-minuteinformation on the number of users who are currentlyusing the system, or who intend to use the system ata specific time, will help increase system utilization,and allow for dynamic bus routing.Traffic/Commuting. Imagine being able to reducetraffic congestion in your community by 40%,saving drivers and operators in medium-sizedcities approximately 100 million annually.10 Trafficmanagement systems can help deliver these benefitsand, thanks to 5G’s ultra-fast speeds, cars will be ableto “convoy” or “platoon” in groups,11 increasing roadvehicle capacity, while providing substantial energysavings for vehicle owners. And if autonomous carsare supported by Smart Traffic Management systems,congestion could decrease and deliver additionalproductivity and quality-of-life improvements toresidents.Page 8

27%Smart Parking MeteringParkingRevenueAbility to identify openparking spaces throughlow-cost sensors andincrease parking revenueReduce time to find parking and congestion benefits allcommuters and encourages traffic to commercial areas,boosting economic activity.Public Parking. With real-time information availableabout empty on-street parking spaces, vehicles will nolonger need to circle the block, but instead go directlyto an open space, identified as such by a low-cost 5Gsensor on a street lamp.Combined with the smart metering systems that arealready deployed in some areas, advanced wirelessconnectivity could increase parking revenue by 27%12while also helping reduce congestion and idling.Page 9

Reducing GunCrime By Up ToGun Shot Detection50%*Real-time monitoring of gunshots provides police and first reponderswith exact location, speeding up response time.Public SafetySmart City innovations in public safety are justbeginning to take hold, and wireless connectivityis the driving force behind these innovations.Chicago currently uses its 4G network to provide realtime video which allows first responders to assess ascene before arriving.12 Deployment of 5G in a SmartCity will enable the integration of all video surveillance,with access to specific locations, pole by pole, in ultrahigh definition. This capability would allow respondersto use facial recognition to identify known criminals orspot missing persons before arriving on the scene.a gun is fired, the sensors can triangulate thelocation, and sometimes even identify the typeof gun. That information is sent to authorities tospeed up deployment of personnel to the location.In many communities, emergency warning systemsare already providing alerts about tornados and otherlife-threatening weather events. Building on suchwarning systems, 5G flood sensors could also providemotorists with route guidance, helping reduce one ofthe primary causes of death during flooding: peoplechoosing routes that pass through flooded areas.15Thanks to wireless sensors, San Francisco is alreadyable to generate detailed, real-time, location-basedinformation when a firearm is discharged. This allowsauthorities to be immediately alerted, and has helpedreduce gun crime by up to 50%* in neighborhoodswhere the technology has been deployed.14 WhenPage 10

Deploying Next-GenerationWireless InfrastructureSmart City benefits, alongwith the significant economicgrowth and job creationdescribed, depend on thedeployment of 5G. But thisnext generation of wirelessconnectivity will require awireless infrastructure thatis significantly denser thanthat required by 4G.The key to this new wireless infrastructure is the smallcell. Telecom operators are already using 4G small-celltechnology in limited deployments today to supportincreased capacity for new users and Smart Citysensors. But the full promise of Smart Cities and 5Grequires a robust deployment of small cells.That is because tomorrow’s wireless networks willrequire hundreds, or even thousands, of small cells,densely deployed across a city or town, instead oftraditional macro cell towers, which are hundredsof feet tall and transmit wireless signals for miles.Complementing the existing macro cell sites, thesesmall cells can be the size of a shoe box and discretelydeployed nearly anywhere – from street lamps andutility poles to the sides of buildings.The approach is similar to the supply-operationsconcept of distributing dispatch centers across ageographic area to serve customers more efficientlythan one main, central warehouse. The approacheshave similar benefits:1 Speed to deliver: Just as numerous small dispatchcenters can be located closer to the ultimatedestination, and thus provide faster delivery, widelydistributed small cells also deliver higher speed, andenable large amounts of data to be more readilydelivered to users.2 Capacity to serve: When a given dispatch centerdoes not have the capacity to serve a certain clientwithin the required timeframe due to the shortage ofavailable resources/products, other nearby centersare able to provide service. Likewise, if a small cellexperiences too much traffic demand due to a majorevent (e.g., an emergency situation in the area), othersmall cells can help meet demand, preventing thecommunication interruption that usually occurs withcurrent technology.Page 11

Macro and Small hborhoodsoodsSmall cellsLarge Macro Towers (current)OfficeBuildingsStorefrontsExisting towers will provide coverage for miles, while small cells willsupport the increased needs of a Smart City.Small cells could be discretely installed on lamp posts, utility polesor sides of buildings.3 Specialization and diversification of fulfillment:Just as small niche centers can provide specializedservice to a local area, a “small cell” can also providespecialization of service to a large, diversifiednumber of users. With the availability of sufficientnumbers of small cells, wireless networks will supportboth specialized transportation solutions (e.g.,vehicle-to-vehicle communication) and specializedpublic safety solutions (e.g., gunshot detectionsensor communication), all while ensuring the bestquality of service to other highly critical applications,such as a nearby hospital which requires highlyreliable communications (e.g., for remote surgery).Small cells are already beginning to supplement theoperations of existing 4G macro towers, and will initiallybe the central strategy by which telecom operators dealwith this ongoing growth in demand for mobile capacityand coverage ultimately leading to the full-scale 5Gdeployment that will be required by Smart Cities.While the benefits of pervasive small-cell 5G technologyare highly significant, the real-world logistics ofdeploying small cells on a large scale must also addressthe cost, complexity and time involved in deployment.Many municipalities continue to rely on regulationsand processes that were created to handle the rolloutof existing and previous wireless technologies, butwhich are likely to be inadequate for the rollout of5G technology.The challenges in this area are threefold: localpermitting and regulations; access to public rightsof way; and fee structures.Page 12

Local Permitting and RegulationsCurrently, applications for small-cell implementationscan take up to 18 to 24 months for approval, which issimilar to the time required to approve one large macrocell tower. Recognizing that the density of small cellsis up to 100 times greater than for macro towers, suchan approval cycle will pose a tremendous challenge toboth telecom operators and municipalities. In certaincases, slow turnaround/approval times have not onlycaused delay, but have resulted in approval of only partof the submitted plan. If approval for a full cluster ofsmall cells is not supported, and fewer small cells aredeployed as a result, the full benefits of this wirelesstechnology will not be realized.In many cities, the approval cycle requires severalseparate tribunals for approval. Committees such asa neighborhood association, a planning commission,a zoning commission, the county council and othersmay each require a separate decision-making proce

Smart Lighting. By automatically dimming public lighting when no pedestrians or vehicles are present, smart lighting can save power and reduce light pollution while still keeping neighborhoods safe. Smart lighting has begun to be rolled out in cities such as San Diego and Barcelona7 as part of a larger Smart City initiative.

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