5G National Network Transition Pilot Project Launched... 18.2 Billion KRW Budget for 4 Ministries

Wired Network-Based Administrative Network → 5G Wireless Network Transition
All Three Major Telecom Companies Expected to Participate in Bidding

[Asia Economy Reporter Cha Min-young] The scale of the ‘5G National Network Transition’ pilot project, which replaces the wired administrative network with a 5G-based network, has been finalized at 18.2 billion KRW. With the main project estimated to exceed 300 billion KRW, the three major telecom companies are expected to form consortia with small and medium equipment manufacturers to compete for the contract.

According to industry sources on the 30th, the Ministry of the Interior and Safety and the National Information Society Agency (NIA) posted a public announcement on the Public Procurement Service’s Nara Marketplace on the 27th for the ‘2022 5G Government Network Construction Pilot Project.’ The construction targets are two groups: the Ministry of Science and ICT & the Korean Intellectual Property Office, and the Ministry of Foreign Affairs & the Ministry of Personnel Management. The budget for each group is 9.3 billion KRW and 8.9 billion KRW respectively, totaling 18.2 billion KRW.

According to the request for proposal, the bidding will be conducted through an open competitive bidding process (contract by negotiation), and it is expected that the three telecom companies will form consortia with small and medium equipment companies to compete. The equipment construction must be completed by December 15 of this year.

Applicants wishing to provide government network configuration and services must specifically present whether the 5G standalone mode (SA) will be applied, and if not, plans and schedules for providing non-standalone mode (NSA) first and then transitioning to SA mode. Detailed requirements related to coverage and quality assurance, network stability, and 5G government network interworking must also be included.

Regarding the construction of 5G government network equipment and systems, applicants must propose compatibility and stable linkage plans with equipment and systems currently in use. For institutions introducing the 28 GHz 5G government network, it is specified that dedicated 28 GHz base stations and small cell equipment must be installed within offices, along with plans to secure coverage and performance. This means both the existing 3.5 GHz band and the 28 GHz band must be considered.

The Ministry of the Interior and Safety plans to support public officials to work anytime and anywhere on a dedicated network using next-generation 5G technology. The dedicated network is separately isolated, which is advantageous for security. Once the 5G national network is transitioned, public officials will be able to perform official duties using mobile devices such as laptops and tablet PCs with personal 5G modems. This is one of the core projects of the current government’s Digital Platform Government initiative.

After completing the pilot project this year, the Ministry plans to fully establish a 5G-based work environment in four government complex buildings and 17 metropolitan cities and provinces by 2025. According to the initially established Information Strategy Plan (ISP), the main project is expected to cost 332.2 billion KRW. The specific budget will be finalized later after preliminary feasibility studies and other procedures.

An industry official said, "We need to look closely at the details once the bidding announcement is released, but from the perspective of gaining experience in technological advancement by participating in government projects (B2G), all three telecom companies are expected to bid," adding, "The project’s effectiveness will depend on its continuous expansion to nationwide administrative networks."