The anticipated launch of 5G services in Pakistan by April 2025 faces potential delays due to unresolved regulatory and legal challenges. A significant factor is the pending approval from the Competition Commission of Pakistan (CCP) regarding the acquisition of Telenor Pakistan by Pakistan Telecommunication Company Limited (PTCL).
Read More: CCP Concludes Phase-II Review of PTCL’s $400M Acquisition of Telenor Pakistan
Regulatory Hurdles: The CCP’s decision on the PTCL-Telenor merger remains pending, creating uncertainty in the telecommunications sector. This uncertainty hampers strategic planning and resource allocation essential for the timely deployment of 5G infrastructure. The National Economic Research Associates Inc. (NERA), a U.S.-based consultancy firm engaged by the Pakistan Telecommunication Authority (PTA) for spectrum auction advisement, has emphasized the urgency of resolving the number of Cellular Mobile Operators (CMOs) involved, particularly concerning the proposed merger.
Spectrum Litigation Issues: Compounding the delay is ongoing litigation over 140 MHz of the 2.6 GHz spectrum band, a critical frequency range for both 4G and 5G services. With this portion under legal dispute, only 54 MHz is currently available, which is insufficient to meet the requirements of even a single operator. This limitation poses a significant bottleneck in the rollout of 5G technology.
Implications for 5G Deployment: The convergence of regulatory indecision and spectrum availability issues threatens to derail the government’s 5G deployment schedule. The process involves multiple steps, including regulatory approvals from bodies such as the PTA, Securities and Exchange Commission of Pakistan (SECP), and the State Bank of Pakistan (SBP), followed by cabinet endorsements and the publication of auction guidelines. Each phase requires careful deliberation and time, making the initial target of April 2025 increasingly ambitious.
Conclusion: To adhere to the planned 5G launch timeline, it is imperative for the CCP to expedite its decision on the PTCL-Telenor merger and for the resolution of spectrum-related litigations. Prompt action will facilitate the necessary preparations and investments by telecom operators, ensuring that Pakistan can embrace the benefits of 5G technology without undue delay.
