ISLAMABAD: The GSMA has criticized Pakistan’s spectrum policy, stating that raising spectrum prices is unsustainable and poses a serious risk to the growth of mobile services in the future.
Mobile network infrastructure is essential for Pakistan’s digital transformation, serving as the foundation for widespread connectivity and socioeconomic growth, according to a paper released by GSMA, a global organization that represents mobile operators and entities across the mobile ecosystem and related industries. It also emphasizes that Pakistan lacks the diversity of nations like the Philippines, Vietnam, Thailand, Bangladesh, and Indonesia.
According to GSMA, the government’s flagship project, “Digital Pakistan,” which was introduced in 2018, is to improve digital infrastructure and speed up the provision of cutting-edge digital services. Nonetheless, the nation has a number of issues that jeopardize the expansion and sustainability of its mobile infrastructure.
According to GSMA Intelligence’s estimate, Pakistan might have reaped an extra $300 million, or Rs80 billion, in economic benefits if spectrum had been completely allocated in earlier auctions.
The GSMA report also mentioned previous auctions, including those held in 2014 and 2021, that left unsold airwaves, which decreased the amount of bandwidth available to cell operators. The report went on to say, “This has contributed to slower 4G rollout and adoption.”
The GSMA emphasized that improving the nation’s digital infrastructure should be the main goal of Pakistan’s next spectrum auction rather than boosting government coffers. In order to address the nation’s present shortage, it emphasized the 600MHz that will be up for auction, which includes more than 500MHz in core mid-bands like 2.3GHz, 2.6GHz, and 3.5GHz.
Citing a study by GSMA Intelligence and others that connected high spectrum prices to slower mobile data speeds, worse coverage, and slower rollout, the paper cautioned that excessive spectrum pricing had major repercussions for the sector and consumers. Pakistan has already lost economic progress as a result of unsold spectrum in previous auctions.