ISLAMABAD: In the middle of withdrawal of proposals by three main players in the telecommunications sector, Ufone has acquired 9MHz range in 1800-megahertz band for $279 million, permitting the business to boost its high quality of service as well as expand penetration in different underserved locations.
The Pakistan Telecommunication Authority ( PTA) on Friday stated Ufone as the single victor in the public auction of extra spectrum 2021. Orienting the media on the results of the auction, PTA Chairman retired Maj Gen Amir Azeem Bajwa said Ufone would have to down payment 50 percent (Rs23.44 billion) of the proposal amount in the federal government treasury within 15 days.
The firm had actually already paid 20pc (Rs9.38 bn) of the amount on Thursday and also will pay the continuing to be 50pc in five equal yearly installments. Overall spectrum won by Ufone is 9MHz in 1800MHz band, which is 70.3 computer of the total provided range in this band throughout the public auction. With this addition, the range holdings of Ufone will certainly raise from 6MHz to 15MHz in 1800MHz band.
Mr Bajwa stated the public auction could not be described a failure or a flop program due to the fact that it was an open as well as free enterprise, adding that all the gamers were invited to take part in the auction and also just those that needed spectrum bought it.
Responding criticism of the public auction process, he stated: “It is clear that Jazz has a substantial massive base and also the business has even announced that they do not require fresh spectrum for the time being; comparable statement has actually been issued by Telenor. Zong has some range under lawsuits and also they have to be intending to have it one way or another.”
The PTA chairman claimed it was a marketing choice by these business and the first need of the industry in 1800MHz band was 6.4 MHz, whereas 9MHz spectrum was sold and that also was an advertising and marketing choice by Ufone. He said mobile firms used to say that the government was hoarding range by not using it, and now they had actually stayed away from it.
Mr Bajwa claimed the base rate of range was not high; it was most inexpensive in the area contrasted to India and Bangladesh. Replying to an inquiry, he claimed PPRA rules allowed single bidders to win the auction as entry of others was not restricted in the process.