Is Licensed Outdoor Wireless Worth the Investment Over Unlicensed Frequencies?

In the world of outdoor wireless communication, choosing the right frequency spectrum can make or break the efficiency of your network. The debate often boils down to licensed versus unlicensed frequencies, each with its pros and cons. However, when reliability, scalability, and interference management are key, licensed outdoor wireless frequencies have a distinct edge. Here’s why:

1. Reduced Interference

One of the most significant advantages of licensed frequencies is their controlled and regulated nature. In licensed spectrum, users are assigned a specific frequency band by regulatory authorities, such as the FCC in the United States. This exclusivity minimizes the risk of interference from other networks, ensuring more consistent performance.

In contrast, unlicensed frequencies—such as those in the 902-928 MHz,  2.4 GHz, or 5 GHz bands—are open for use by anyone. This open access often leads to overcrowding, especially in urban areas, resulting in interference, slower speeds, and dropped connections.

2. Superior Reliability

Licensed frequencies are ideal for applications that demand high reliability, such as fiber replacement, primary WAN connectivity, public safety communications, industrial IoT, and critical infrastructure monitoring. Since the spectrum is allocated specifically to the license holder, external disruptions are rare. This makes licensed wireless particularly attractive for mission-critical systems where downtime is not an option.

Unlicensed wireless, while useful for non-critical or smaller-scale applications, is more susceptible to disruptions from other users and environmental factors. For businesses or organizations that rely on uninterrupted connectivity, this can be a dealbreaker.

3. Greater Range and Coverage

Licensed frequencies often allow for higher power outputs and the use of advanced technologies that extend range and coverage. This is especially important in outdoor settings where long-distance communication is required, such as in rural broadband networks, oil fields, or remote weather stations.

Unlicensed frequencies, due to power restrictions and crowded channels, are typically limited in their effective range. While they work well in localized environments, they struggle to maintain performance over long distances.

4. Increased Throughput Capacity

Licensed point to point ("PtP") wireless microwave systems operate in full duplex communications. They have a separate transceiver and receiver, operating on separate licensed channels providing true full duplex connectivity. Licensed outdoor microwave can operate in speeds exceeding 10Gbps full duplex. Systems can be designed for up to 100Gbps!

Unlicensed wireless broadband radios tend to use 802.11ac chipsets and are limited to TDD (Time Division Duplexing) single channel communications. This creates a talk - listen -then talk communications. Max capacity on most unlicensed 5GHz radio systems is 900Mbps. Up to 2.5Gbps can be achieved on unlicensed 60GHz point to point wireless bridges but they are limited to short distance paths (usually under 1/2 mile). 

5. Enhanced Security

Licensed spectrum offers an inherent layer of security through exclusivity. Since no one else can legally operate on the same frequency in your area, the risk of unauthorized access or eavesdropping is significantly reduced. This is particularly valuable for government, military, and enterprise networks where sensitive data is transmitted.

Unlicensed wireless, by its nature, is more vulnerable to unauthorized access and interference. While encryption and secure protocols can mitigate risks, they can’t fully eliminate them in an open spectrum.

6. Customization and Scalability

With licensed frequencies, network operators can fine-tune their setups to specific needs without worrying about competing users. This level of control enables greater customization and scalability, which is essential for large-scale deployments like smart city initiatives or regional broadband projects.

Unlicensed wireless, though flexible and cost-effective for small-scale use, often struggles to scale effectively in dense environments or over wide areas due to spectrum congestion.

7. Professional Support and Regulation

Operating in the licensed spectrum often requires professional-grade equipment and adherence to regulatory standards, ensuring high-quality infrastructure. Additionally, licensed operators have access to dedicated support from spectrum authorities and equipment manufacturers, which can be invaluable in troubleshooting and optimizing network performance.

Unlicensed solutions, while more affordable and easier to deploy initially, lack the backing of dedicated regulatory oversight. This can lead to inconsistent performance and challenges in maintaining long-term network quality.

Conclusion: Licensed Wireless Backhaul is a Worthwhile Investment

While licensed outdoor wireless frequencies come with higher upfront costs due to licensing fees and equipment requirements, the benefits far outweigh these expenses in many scenarios. Reduced interference, superior reliability, increased throughput capacity, enhanced security, and scalability make licensed wireless the go-to choice for businesses and organizations with primary and critical communication needs.

Unlicensed frequencies remain a viable option for smaller, less critical networks, but as wireless communication becomes increasingly vital, investing in licensed spectrum ensures your network can meet the demands of today and tomorrow.

Are you considering a licensed wireless solution for your outdoor network? Let us help you navigate your options and build a robust communication system tailored to your needs.