Pakistan is on the verge of a major telecommunications transformation with the introduction of 5G in Pakistan. Promising lightning-fast internet speeds, lower latency, and enhanced connectivity, 5G in Pakistan is set to revolutionize various sectors, including healthcare, education, agriculture, and more. This blog explores the current state of 5G trials in Pakistan and how local telecom operators are gearing up for this next-generation network.
Current State of 5G Trials in Pakistan
PTA’s 5G Spectrum Auction Proposals
The Pakistan Telecommunication Authority (PTA) has recently received five proposals from international consulting firms to manage the 5G spectrum auction. These proposals come from reputable firms such as Aetha Consulting Limited, Detecon Consulting FZ-LLC, Frontier Economics Limited, KomKonsult (Private) Limited, and National Economic Research Associates Inc. The PTA plans to evaluate these bids following the guidelines set by the Public Procurement Regulatory Authority (PPRA) and aims to complete the auction process within the current fiscal year.
Despite these developments, there are concerns among industry players about the timing of the auction. Many question whether now is the right moment to push forward with the 5G rollout in Pakistan, given the existing challenges in the telecom sector.
Government’s Timeline for 5G Launch
Caretaker Federal Minister for Information Technology and Telecommunication, Dr. Umar Saif, announced that 5G in Pakistan is expected to launch by July-August 2024. Speaking at the Pakistan Mobile Summit, Dr. Saif highlighted that a 300MHz spectrum will be made available for auction to facilitate this rollout. However, he also emphasized the need to enhance the optic fiber network, noting that only about 6,000 out of 56,000 mobile towers are currently connected to fiber optic cables.
Operators Leading the 5G Trials
All major telecom operators in Pakistan, including Zong, Jazz, Telenor, and Ufone, have successfully conducted 5G trials in Pakistan using 274 MHz of spectrum. These trials are crucial steps towards introducing commercial 5G in Pakistan, which will require an additional 300 MHz of spectrum.
Challenges Faced by Operators
- Financial Constraints: The high costs associated with upgrading infrastructure and acquiring spectrum licenses pose significant financial challenges for telecom operators preparing for 5G in Pakistan.
- Regulatory Hurdles: The auction process has faced disagreements within the government. While the IT ministry supports releasing additional spectrum at lower rates to promote growth, the finance ministry advocates for higher rates to maximize auction revenue, leading to delays and uncertainties in the 5G rollout in Pakistan.
- Technical Challenges: Expanding 5G coverage in Pakistan, especially in rural areas, remains a daunting task. Additionally, ensuring that consumers upgrade to 5G-compatible devices is essential for the network’s success.
- Digital Load-Shedding: Pakistan faces the issue of “digital load-shedding,” where internet and mobile data services are disrupted during electricity outages. This problem, along with recent internet and mobile data restrictions, raises concerns about the reliability of digital services in the country, impacting the effectiveness of 5G in Pakistan.
Strategies of Pakistani Operators
Collaborations and Partnerships
Telecom operators are partnering with global technology firms to develop the necessary infrastructure for 5G in Pakistan. Collaborations with companies like Huawei, Ericsson, and Nokia are pivotal in building a robust 5G network in Pakistan.
Investment in Local Talent
Operators are investing in training local engineers and technicians to build expertise in 5G technologies in Pakistan. This focus on developing local talent is crucial for sustaining the growth and maintenance of the 5G network in Pakistan.
Phased Rollout Plans
A strategic approach is being adopted, starting with urban centers before expanding to other regions. This phased rollout ensures that major cities receive 5G services in Pakistan first, providing a foundation for broader national coverage in the future.
Government Initiatives Supporting 5G
To support the 5G rollout in Pakistan, the government is taking several measures:
- Enhancing Optic Fiber Network: Increasing the number of mobile towers connected to fiber optic cables is essential for the efficient functioning of 5G in Pakistan.
- Research and Development (R&D) Incentives: The government has introduced a 3% R&D allowance for mobile manufacturers, which will increase to 8% in the coming years. This initiative aims to encourage local production and innovation in the mobile industry, supporting the broader goals of 5G in Pakistan.
- Promoting Local Manufacturing: With Pakistan being the 7th largest market for cellular users globally, the government is pushing for increased local manufacturing of mobile phones to reduce imports and boost exports, aligning with the advancements in 5G in Pakistan.
Potential Impact of 5G on Pakistan
Economic Growth
5G in Pakistan is expected to drive significant economic growth by enabling new business opportunities and enhancing productivity across various sectors.
Enhancement in Various Sectors
- Healthcare: 5G in Pakistan can facilitate remote surgeries, telemedicine, and improved healthcare services.
- Education: Enhanced connectivity through 5G in Pakistan will support e-learning platforms and virtual classrooms.
- Agriculture: Precision farming and IoT applications enabled by 5G in Pakistan will revolutionize agricultural practices and supply chain management.
Digital Inclusion
5G in Pakistan has the potential to bridge the digital divide by providing better internet access to underserved and rural communities, promoting digital inclusion across the country.
Future Outlook for 5G in Pakistan
The full deployment of 5G in Pakistan is anticipated by mid-2025. With continued investments and strategic planning, 5G in Pakistan will pave the way for smart cities and the Internet of Things (IoT), further integrating technology into everyday life and driving innovation.