Islamabad: The Pakistan Telecommunication Authority (PTA) has received five proposals from international consultants to manage the upcoming 5G spectrum auction, which is expected to be completed within the current fiscal year. However, industry leaders have raised concerns about the timing of the auction, questioning whether it is the right time to proceed with the rollout of 5G services.
The PTA announced on Monday that it had received technical and financial bids from five international consultants: Aetha Consulting Limited, Detecon Consulting FZ-LLC, Frontier Economics Limited, KomKonsult (Private) Limited, and the National Economic Research Associates Inc. These bids will be thoroughly evaluated in line with the Public Procurement Regulatory Authority (PPRA) rules.
PTA Chairman Hafeezur Rehman, a retired major general, informed the National Assembly Standing Committee on Information Technology and Telecommunications that the 5G spectrum auction is under consideration and is likely to take place by March 2025. However, the process has been complicated by disagreements within the government. While the IT ministry supports releasing additional spectrum at lower rates to encourage growth, the finance ministry advocates for strong competition among telecom operators to maximize the auction’s value. The advisory committee overseeing the process is headed by the finance minister.
Industry leaders, however, remain skeptical. They argue that Pakistan has not yet fully capitalized on existing 4G services and that the country’s telecom infrastructure, plagued by issues like “digital load-shedding” during power outages, is not yet ready for 5G. Recent disruptions in internet and mobile services, along with restrictions on social media platforms, have further fueled doubts about the country’s readiness for digital advancement.
Jazz CEO Amir Ibrahim has been particularly vocal in his criticism of launching 5G in Pakistan, arguing that while consumers view it as faster internet and the government sees it as a revenue opportunity, telecom operators question its practicality and benefits given the current infrastructure challenges.
All major mobile operators in Pakistan, including Zong, Jazz, Telenor, and Ufone, have successfully conducted 5G trials and are currently using 274 MHz of spectrum. However, to commercially launch 5G services, an additional 300 MHz of spectrum will need to be auctioned.
A further complication is the potential reduction in market competition, as Telenor has announced its intention to exit Pakistan. The Pakistan Telecommunication Company Limited (PTCL) is currently in the process of acquiring Telenor Pakistan’s stakes, a deal that is under review by the Competition Commission of Pakistan (CCP).
