The telecom sector in Pakistan is consolidating day by day giving no chance to the new entrants in the market. This trend has made Pakistan Telecommunication Authority (PTA) pessimist about new telecom operators. PTA has dropped the idea of hiring consultants to attract new investment in the auction for Next Generation Mobile Services (NGMS) spectrum 3G.
PTA Drops the Idea of Hiring a Consultant to Attract New Investment in the Auction for NGMS Spectrum
A senior PTA official on this issue said that;
“There is no chance of new telecom operator/entrant as the market is already consolidating,”
He further added that;
“Though PTA has sought applications through national and international media for the upcoming spectrum auction, however there is little likelihood of a new entrant,”
To acquire the efficient market response PTA has earlier decided to hire two types of consultancy services from internationally reputed firms. The aim to hire consultants was to get market assessment and marketing of spectrum auction. PTA planned to the role of two consulting firms for the convenience. The first consultant firm was required to conduct the market study/analysis to advise PTA on future auction of the spectrum (850MHz, 1800MHz) in accordance with the RFP.
The purpose of second consultant was required to attract new investments in the spectrum auction for NGMS to and thereby ensure participation of new entrants in the auction in accordance with the scope provided in the RfP.
Two consulted firms which involve Value Partners Management Consulting Limited UK (VMPCL) and C21 World were short listed by getting their complete technical evaluation. According to the conditions given by PTA, these consultants were required to work till the completion of auction process. The firm VMPCL also provided consultancy services for the previous 3G/4G auction to PTA held in April 2014. However, PTA has dropped the idea of hiring another consultant.