3.5.1 Licensing and spectrum management Licensing and spectrum management are important issues for ensuring availability and capacity for IoT communications. IoT devices communicate using a range of different protocols, based on their connectivity requirements and resource constraints. The protocols include short-range radio protocols such as ZigBee, Bluetooth and Wi-Fi, and mobile phone data networks. In more specialized applications, such as traffic infrastructure, there are longer-range radio protocols such as Ultra-Narrow Band (UNB). To communicate with remote networks, IoT devices may send data via a gateway with a wired (PSTN, Ethernet, powerline or DSL) or wireless (2G, 3G, 4G/LTE or UNB) connection to the global Internet or a telephony network – or directly over one of these mediums76. For consumers, the gateway will often be a smart phone or home wireless router. Businesses will frequently use their existing corporate data networks. Devices communicating over many kilometres need access to the 300 MHz to 3GHz spectrum range, while centimetre or millimetre, “contactless” transactions may use near-field communications at 13 MHz or in the EHF bands (as shown in Figure 3.6). Some IoT applications may also make use of AM/FM bands in the VHF range. Telecommunication companies are experimenting with “white space” spectrum to make more use of often-unused spectrum bands, while a US presidential commission has recommended the development of shared-space technology that 84 Trends in Telecommunication Reform 2016 Table 3.3: Overview of policy and regulatory measures What?Why?What is done today/best practice Licensing and spectrum management To ensure spectrum is available for a wide range of IoT applications, at short and long range, in licensed and unlicensed bands.Monitor availability of spectrum for short- and long-range IoT communications and backhaul network capacity, and encourage 4G deployment and use of small-cell technology.Switching and roaming Standard mobile telephony network SIMs and accounts are unsuitable for large M2M users, mobile devices, and fixed devices in areas of poor reception. • Mobile network operators develop M2M-specific business units with appropriate billing and management.• Further development and deployment of embedded, remotely provisioned SIMs in M2M systems.Addressing and numbering A very large address space is needed for globally addressable things.• Deployment of IPv6 by ISPs, public and private-sector organizations.• Use of IMSI for M2M applications.Competition • Some market configurations of IoT services could strengthen the positions of large firms and increase potential for consumer lock-in.• Limited user access to raw IoT data reduces ability to switch providers (and to understand privacy implications).• Ensure competition regulators have capability to monitor IoT markets for abuses of dominant positions.• Provide institutional mechanisms for ongoing review of laws and regulations for impact on IoT competitiveness.