Lack of 5G Devices Could Undermine Inclusive 5G Rollout, Industry Cautions

As Pakistan moves closer to its first 5G spectrum auction, telecom industry stakeholders are warning that severe device unavailability could significantly limit the technology’s real-world impact, risking a rollout that benefits only a narrow segment of users rather than the wider population.

Industry representatives argue that while spectrum allocation is an important milestone, 5G adoption will ultimately be determined by consumer access to compatible devices. Estimates suggest Pakistan currently has fewer than three million 5G-enabled smartphones in circulation, accounting for only a small fraction of the country’s mobile base. Without a rapid increase in affordable devices, analysts warn that 5G risks becoming an elite-only service, reinforcing digital inequality rather than reducing it.

The challenge is compounded by the absence of local assembly for 5G handsets. While domestic manufacturing has helped bring down the cost of 4G smartphones over time, 5G devices remain fully import-dependent. This keeps prices elevated due to customs duties, exchange-rate pressures, and global supply-chain costs, placing 5G smartphones beyond the reach of most consumers.

Industry experts caution that launching advanced networks in the absence of device readiness could repeat earlier policy misalignments, where infrastructure upgrades outpaced adoption. They stress that device affordability, local assembly incentives, and network rollout must move in tandem for 5G to deliver meaningful economic and social returns.

Spectrum Pricing and Currency Structure Remain Key Considerations

Beyond device availability, industry stakeholders have also raised concerns around the financial structure of the upcoming spectrum auction. They caution that spectrum priced at high levels and denominated in foreign currency could further slow deployment by diverting capital away from network rollout and coverage expansion.

Telecom operators earn predominantly in Pakistani Rupees and operate in a highly price-sensitive market. According to industry representatives, exposure to foreign-currency obligations increases financial risk and constrains the sector’s ability to invest at scale. They argue that aligning spectrum pricing and payment structures with domestic economic realities would help accelerate rollout and support affordability.

Drawing lessons from recent reform efforts, stakeholders point to the government’s handling of Pakistan International Airlines as an example of how economic realism and policy flexibility can unlock sustainable outcomes. In that case, prioritizing long-term viability over headline pricing helped revive a long-stagnant national asset—an approach industry voices say is equally relevant as Pakistan prepares for 5G.

“The lesson from recent reforms is clear,” an industry representative said. “Sustainable value comes from enabling growth, not extracting maximum short-term revenue. A sequenced approach—one that aligns device readiness, spectrum policy, and deployment objectives—will determine whether 5G serves the many or the few.”

As final decisions on the auction framework approach, industry voices continue to stress that the success of 5G should be measured not in immediate fiscal receipts, but in users connected, industries enabled, and long-term economic value created nationwide.

Also Read: Breaking News! Pakistan Targets February 2026 for 5G Spectrum Auction