Telenor’s planned exit from Pakistan, through the sale of its unit to Pakistan Telecommunication Company Limited (PTCL), is currently delayed by the Competition Commission of Pakistan (CCP), a hold-up that Telenor warns is impeding the country’s digital development.
Jon Omund Revhaug, head of Telenor Asia, highlighted that Telenor no longer has the capital or scale to invest heavily in Pakistan’s 5G infrastructure, instead focusing on markets where it can maintain leading positions such as Bangladesh, Malaysia, and Thailand. Revhaug emphasized that Pakistan’s low average revenue per user (ARPU), high spectrum costs, limited profitability, and lack of regulatory support for consolidation made continued investment unfeasible.
The group anticipates that a merger between Telenor and Ufone (PTCL’s mobile brand) would create a stronger competitor to market leader Jazz and attract the investments needed to modernize Pakistan’s telecom infrastructure. However, the CCP’s delay—now nine days overdue—is causing concern within Telenor, as further postponements risk halting the long-awaited 5G spectrum auction and stalling Pakistan’s digital progress.
Revhaug stated that Telenor will not participate in new spectrum licence processes under the current market structure and has no alternative plans. He called on regulators to expedite approval, warning that continued delays would limit Telenor’s ability to innovate and serve markets effectively.
The executive cited successful mergers in Malaysia and Thailand as models for generating synergies and strengthening competitive positioning, but noted Pakistan’s telecom sector remains in its early stages of 5G development.
Despite exiting Pakistan, Telenor’s restructuring in Asia has increased the group’s equity value significantly. Revhaug is refocusing resources on Bangladesh, Malaysia, and Thailand, with artificial intelligence identified as a key driver of future innovation—both in operational efficiency and in creating differentiated services that customers value.
