Islamabad (Web News)
The auction for 5G spectrum licenses in Pakistan is expected to take place on March 10, in which three existing telecom companies in the country will compete. These companies have partnerships with China, the United Arab Emirates, and Russia, while no new company has submitted documents to participate in the pre-bidding stage.
According to the Pakistan Telecommunication Authority (PTA), only the existing operators will take part in the 5G spectrum auction. After the sale of Telenor, the administrative control of Ufone in Pakistan is now with the United Arab Emirates. Zong is owned by a Chinese company, while Jazz includes Russian investment.
Officials say that the three major operators in the country collectively operate an extensive network of around 18,000 towers on average, making it financially and technically very difficult for any new operator to compete in the market.
A new operator would have to install a large number of towers to start operations, which would require billions of dollars in investment and several years to complete. In addition, the company would have to provide 2G, 3G, 4G, and the latest 5G technology simultaneously.
Experts say that due to intense competition and heavy costs, it has become difficult for new operators to develop a profitable business model. This is why no new company has submitted documents to participate in the 5G spectrum auction.