ISLAMABAD: Pakistan has successfully completed a spectrum auction for launch of long-awaited 5G technology, as the government on Tuesday sold 480 MHz of spectrum to three cellular operators through the country’s first-ever digital bidding process, generating $507 million for the national treasury.
Out of 480 MHz sold, Jazz acquired 190 MHz, Ufone 180 MHz and Zong 110 MHz, from a total 597 MHz spectrum offered during auction held on Tuesday. This development will help improve internet speeds, particularly for 4G services, and support the launch of 5G in five selected cities i.e. Islamabad and four provincial capitals. According to experts, these three firms will be required to spend $1 billion for rolling out 5G related infrastructure over the years.
Pakistan offered spectrum in different bands at the following base prices per lot:700 MHz for $32.5 million,1800 MHz for $16.8 million, 2100 MHz for $70 million, 2300 MHz $10 million, 2600 MHz for $12.5 million, 3500 MHz for $6.5 million.
Chairman of Pakistan Telecommunication Authority (PTA) Maj Gen (retd) Hafeez-ur-Rehman announced the allocation of spectrum blocks would take place on Thursday.
He explained three rounds of bidding were conducted. In 2300 MHz band, five lots were offered and all were sold. In 2600 MHz band, 19 lots were offered and all were sold. In 3500 MHz band, 28 lots were offered, of which 22 were sold. Overall, three operators secured 480 MHz out of 595 MHz available.
According to PTA chairman, Zong secured 60 MHz in the 2600 MHz band and 50 MHz in the 3500 MHz band. Ufone secured 60 MHz in the 2600 MHz band and 120 MHz in the 3500 MHz band. Jazz secured 190 MHz in total, including spectrum in 700 MHz band, aimed at improving internet speed in rural areas.
Aamir Ibrahim, CEO of Jazz, said on the occasion the company was ready to launch 5G from 180 sites as early as tomorrow.
The bidding process began in the presence of Finance Minister Muhammad Aurangzeb, Information Minister Atta Tarar, IT Minister Shaza Fatima, PTA Chairman Hafeez-ur-Rehman, and Syed Aminul Haque, Chairman of National Assembly’s Standing Committee on IT and Telecom.
Addressing the participants at the auction ceremony held at a local hotel, Finance Minister Senator Muhammad Aurangzeb described NGMS/5G Spectrum Auction conducted by PTA as a historic milestone that would accelerate Pakistan’s digital transformation and strengthen digital economy.
He said it was encouraging to witness the result of over a year and a half of efforts to finalise the auction framework. The Spectrum Committee, which he chaired, held detailed discussions to create a balanced framework aimed at maximising government revenue while also supporting the country’s digital development.
Aurangzeb noted the spectrum auction process had originally been initiated during the previous tenure of IT minister in 2021, praising continuity of policy across different governments. He said consistent policies help ensure progress even when administrations change.
The finance minister stressed digital development is not an end in itself but a tool to achieve broader economic and social progress. Improved digital connectivity, he said, would provide faster, cheaper and better services, creating opportunities across many sectors of the economy.
He highlighted the importance of IT and IT-enabled services sector, saying improved digital infrastructure would help boost exports and create employment opportunities. He emphasized that the government’s role is to create enabling environment for private sector to drive economic growth.
Aurangzeb also referred to several initiatives supporting Pakistan’s digital agenda, including support for freelancers, Prime Minister’s Digital Pakistan vision, expansion of digital infrastructure, improvements in payment systems and digitisation of government payments.
He said greater spectrum availability and rollout of 5G services would support emerging technologies such as artificial intelligence, blockchain and Web 3.0, helping Pakistan transition towards a modern digital economy.
The finance minister noted strong digital infrastructure becomes particularly important during crises, saying improved connectivity would allow smooth transitions to online education, remote work and digital services when needed.
Speaking at the event, IT and Telecom Minister Shaza Fatima said there were no court cases or legal disputes related to the spectrum offered in the auction, ensuring a smooth process.
She said besides spectrum auction, the government was working on three other major digital initiatives i.e. satellite-based internet to provide coverage in remote and inaccessible areas, connecting Pakistan with international cable systems with the goal of making Pakistan an internet transit country linking Central Asian landlocked states and western China to global networks.
She said the government has abolished right-of-way charges for fibre deployment. This measure is expected to improve connectivity quality nationwide and reduce internet costs over the long term.
