Pakistan Takes a Step Closer to 5G: Consultant Hired for Spectrum Auction

Pakistan takes a step closer to 5G as PTA hired consultant for spectrum auction. PTA has enlisted the services of National Economic Research Associates Inc. (NERA) for the release of the International Mobile Telecommunications (IMT) spectrum. This development marks a crucial milestone in Pakistan’s journey toward implementing 5G technology and improving next-generation mobile broadband services. The contract was officially signed on November 5, 2024.

Pakistan Takes a Step Closer to 5G: Consultant Hired for Spectrum Auction

NERA, a renowned U.S.-based consultancy firm, has been tasked with leading the spectrum auction process. Their responsibilities include conducting a detailed assessment and providing critical recommendations to the government on several key aspects of the spectrum release. These include:

• Designing reforms to streamline the auction process.
• Determining the valuation of the available spectrum.
• Developing a transparent and efficient auction framework.

Stakeholder consultations are already underway to ensure an inclusive approach. The process, which is expected to conclude by April 2025, will serve as a blueprint for the auction and guide Pakistan’s efforts to transition into the 5G era.

Selection Process and Cost of Consultancy

The selection of NERA as the consultant was made after a thorough evaluation of bids submitted by various international firms. NERA ranked among the top two companies in terms of technical expertise and offered the most competitive financial bid of $0.75 million. This blend of expertise and affordability made them the ideal choice for providing consultancy services for the 5G spectrum auction.

Last month, NERA accepted the Letter of Intent (LOI) from the government of Pakistan, formally agreeing to assist in the auction process. Their extensive experience in managing spectrum auctions globally positions them well to navigate the complexities of Pakistan’s telecom sector.

See Also: PTA Clarifies Stance on Internet Monitoring: DPI Services Ceased in 2023

Implications for Pakistan’s Telecom Industry

The successful execution of the 5G spectrum auction will also unlock new opportunities for Pakistan’s telecom industry. With 5G technology promising faster speeds, lower latency, and greater network efficiency, the country’s digital economy stands to benefit significantly. Key sectors such as e-commerce, telemedicine, education, and smart city infrastructure could see transformative improvements with the widespread adoption of 5G.

Furthermore, the auction is anticipated to generate substantial revenue for the government, which can be reinvested in digital infrastructure and other developmental projects.

Challenges and Future Outlook

While the hiring of a consultant is a significant step forward, challenges remain. These include ensuring fair competition among telecom operators, addressing affordability concerns for end-users, and establishing a robust regulatory framework for 5G deployment. Additionally, public awareness and infrastructure readiness will play crucial roles in the success of 5G technology in Pakistan.

The PTA’s partnership with NERA signals the government’s commitment to advancing the country’s digital landscape. With the auction process on track for completion by April 2025, Pakistan will surely join the global race for 5G, paving the way for a more connected and digitally empowered future.