[🇵🇰] Pakistan Telecom and IT Industries

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PTCL, Huawei conduct 50G-PON trial to pioneer next generation fiber optic broadband in Pakistan

Shafqat Ali | Gwadar Pro
Jan 23, 2024

ISLAMABAD - The country’s leading broadband service provider Pakistan Telecommunication Company Limited (PTCL) in partnership with Huawei, a global leader in information and communication technology, on Monday afternoon completed the country’s first successful trial of 50G-PON technology, marking a historic stride towards the introduction of next-generation fiber-optic broadband services in Pakistan.

This groundbreaking achievement is a result of PTCL’s strategic partnership with Huawei, said an official statement.

50G-PON, defined by ITU-T as a next-generation Passive Optical Network-based broadband technology, is set to revolutionize Pakistan’s digital landscape. With significantly higher capabilities than the existing GPON and XG(S)-GPON technologies, 50G-PON delivers an astounding 50 Gbps per PON port.

The technology is poised to reshape future requirements related to Industries, Enterprises, Campuses and Home Environments, as the advancement unlocks the infinite potential for bandwidth-intensive & low-latency next-generation services.

 

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Pakistan is the 7th largest market of cellular users in the world with 191 Million cellular connections.

However, we import most of our mobile phones. We need to manufacture them locally and develop an industry to export made-in-Pakistan phones.

Today in our first Mobile conference, we shared a comprehensive plan to develop the industry. Pakistan has 33 handset manufacturers with a capacity to meet all of our local demand (25 million phones annually). We announced 3% R&D incentive for the industry to make them globally competitive in terms of price. We will also be announcing a plan to manufacture components in Pakistan (local deletion policy) and make the locally manufactured phones cheaper than imported phones using a tariff deferential policy. Our cellphones exports can grow to a Billion dollar industry in the next few years.

Shortly, people will also be able to buy phones on instalments via cellphones financing schemes.

 

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IT exports ​

The country’s IT sector exports witnessed a growth of 16 percent month-on-month in October, touching $238 million. The rise in month-on-month IT exports was a respite after a decline witnessed in September over August.

Segment-wise, the growth on a month-on-month basis was led by the Telecom and Information Service exports that grew by 49 percent, and 50 percent, respectively. However, in absolute terms, Computer Services have the highest share in total IT export value and this segment witnessed a growth of 9 percent month-on-month. Within the Computer Services, Software Consultancy increased by 35 percent month-on-month.

A very often quoted reason for the month-on-month growth in remittances in the last few months has been the number of working days in the month, and the realization per day. On October 23, the MoM growth was due to a combination of a higher number of working days compared to Sep-23, and higher realization per day.

The growth in the tech sector exports was also witnessed on a year-on-year basis this time, which stood at 8 percent for October. IT export for Oct-23 increased primarily due to the improvement witnessed in the export of Software Consultancy and Computer Services which were up by 11 and 19 percent year-on-year, respectively. Overall, IT sector exports in 4MFY24 increased by 4 percent year-on-year.

The growth in the IT sector is definitely needed, but will the country achieve the ambitious targets of the government set for the year is another question. Initially, the (caretaker) government had announced that the country’s IT exports would grow to $15-20 billion in the next three years.

Recently the caretaker minister for Information Technology and Telecommunications unveiled Pakistan’s inaugural IT Export Strategy (ITeS)that aims to boost IT exports to $10-$18 billion by 2028. Also, the central bank has announced an increase in the permissible retention limit from 35 to 50 in the Exporters’ Specialized Foreign Currency Account to attract offshore-parked foreign currency from IT firms.

While this will help increase IT exports in the coming times, the growth in Annual IT exports from the current $2.5 billion will require not only structural and regulatory relief and incentives but also stability in the economic and political climate to revive business and investor confidence in the country.

 

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PTCL to acquire 100% of Telenor Pakistan​

• Enters into share-purchase agreement with Telenor Pakistan shareholders for acquisition of 100% shares based on enterprise value of Rs108bn on cash-free, debt-free basis

In a major consolidation of the telecom sector, Pakistan Telecommunication Company Limited (PTCL) has entered into a Share Purchase Agreement (SPA) with the shareholders of Telenor Pakistan (Private) Limited (TPL) for the acquisition of 100% shares for Rs108 billion ($385 million).

 

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Pakistan’s earns $892.972 million from IT services’ export in 4 months​

The Frontier Post

ISLAMABAD (APP): Pakistan earned US $892.972 million by providing different Information Technology (IT) services to various countries during the first four months of the current fiscal year 2023-24.

This shows a growth of 4.45 per cent as compared with the US $854.918 million earned through the provision of services during the corresponding months of the last fiscal year 2022-23, the Pakistan Bureau of Statistics (PBS) reported.

During the months under review, the export of computer services grew by 4.81 per cent as it surged from US $688.078 million last year to US $721.162 million during July-October 2023.

Among the computer services, the exports of software consultancy services witnessed an increase of 93.76 per cent, from US $1.009 million to US $1.955 million this year while the export of hardware consultancy services also surged by 1.13 per cent, from US $253.543 million to US $256.408 million.

The export of repair and maintenance services increased by 3.16 per cent from US $0.443 million to US $0.457 million whereas the export and imports of computer software services also surged by 4.01 per cent, from $190.228 million to $197.862 million.

Meanwhile, the export of information services during the months under review dipped by 25.18 per cent from US $1.390 million to US $1.040 million.

Among the information services, the exports of information-related services increased by 21.04 per cent, from US $0.366 million to US $0.443 million whereas the exports of news agency services however decreased by 41.70 per cent, from US $1.024 million to US $0.597 million.

The export of telecommunication services increased by 4.45 per cent as these went up from US $165.45 million to US $170.770 million, the data revealed.

Among the telecommunication services, the export of call centres services increased by 8.84 per cent during the months as its exports increased from US $69.641 million to US $75.800 million whereas the export of other telecommunication services witnessed a nominal decrease of 0.88 per cent, from US $95.809 million to US $94.790 million during this year, the PBS data revealed.

 

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Number of cellular subscribers falls to 189.74m: PTA​

ISLAMABAD: The number of cellular subscribers in Pakistan decreased from 190.44 million by end-August 2023 to 189.740 million by end-September 2023, the Pakistan Telecommuni-cation Authority (PTA) data revealed.

The cellular teledensity has declined from 79.87 percent by end-August 2023 to 79.44 percent by end-September. Total teledensity decreased from 80.95 percent by end-August to 80.52 percent by end-September.

The number of 3G and 4G users in Pakistan increased by 0.320 million from 126.610 million by end-August 2023 to 126.930 million by end-September.

The Monthly Next Generation Mobile Service (NGMS) penetration increased from 53.1 percent by end-August to 53.14 percent by end-September.

Jazz’s total count for 3G users declined from 4.148 million by end-August to 3.893 million by end-September. Jazz 4G users increased from 43.010 million by end-August to 43.162 million by end-September.

Zong 3G subscribers decreased from 2.425 million by end-August to 2.378 million by end-September while the number of 4G users increased from 33.269 million by end-August 33.494 million by end-September.

Telenor 3G subscribers decreased 2.720 million by end-August to 2.656 million by end-September while the number of 4G users of Telenor increased from 23.260 million by end-August to 23.320 million by end-September.

Ufone 3G users stood at 2.481 million by end-September compared to 2.676 million by end-August. The number of 4G users of Ufone increased from 13.616 million by end-August to 14.044 million by end-September.

The PTA received 13596 complaints from telecom consumers against different telecom operators and cellular operators in September 2023, out of which, 13459 (99 percent) were resolved.

Official data revealed that the complaints were received against various telecom operators, including cellular mobile operators (CMOs), Pakistan Telecommuni-cations Company Limited (PTCL), long-distance international (LDI) operators, wireless local loop (WLL) operators, and internet service providers (ISPs), during September.

Cellular mobile subscribers constitute a major part of the overall telecom subscriber base. Therefore, the maximum number of complaints belongs to this segment. The total number of complaints against CMOs by September stood at 13077, out of which, 12971 (99.2 percent) were addressed.

According to the PTA data, 6,117 complaints were received against Jazz, out of which, 6,072(99 percent) were resolved. Further, 2,241 complaints against Telenor were received, out of which, 2,224 (99.2 percent) were resolved. Likewise, 3,365 complaints were received against Zong, out of which, 3,342 (99.6 percent) were addressed. A total of 1357 complaints were received against Ufone, out of which 1,327 (97.8 percent) were resolved.

The PTA also received 125 complaints against basic telephony, out of which, 114 were addressed during September with a resolution rate of 91.2 percent. Furthermore, 388 complaints were received against ISPs, of which, 368 (94.8 percent) were addressed

 

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Pakistan assembles around 9mln mobile phones worth $1.5bln in two years :
Associated Press Of Pakistan
Jan 31, 2024

Caretaker Federal Minister for Information Technology and Telecommunication Dr Umar Saif on Monday said that the country had assembled approximately 9 million mobile phones worth around $1.5 billion during the last two years.

Addressing the Pakistan Mobile Summit, the first-ever mobile conference in the country, he said currently about 35 different mobile phone brands were actively contributing to the local mobile phone manufacturing industry.

He said the country had exported nearly 250,000 mobile phones and earned around $ 200 million dollars foreign exchange.

The minister said local handset manufacturers in Pakistan had produced around 57 million phones, surpassing the annual domestic demand of 25 million units.

He also informed the audience about efforts being made at the local level to prepare some components, with the goal of eventually manufacturing fully assembled phones within the country.

He said that Pakistan was the 7th largest market of cellular users in the world with 191 Million cellular connections. However, “We import most of our mobile phones. We need to manufacture them locally and develop an industry to export made-in-Pakistan phones” he added.

He said : “The Pakistani government has played a pivotal role in supporting the growth of this industry by offering various incentives.”

Dr. Saif said : “Just the number of broadband users in Pakistan is more than the entire population of Canada. The number of social media users in Pakistan is more than the entire population of many countries in Europe.”

Dr Umar Saif expressed the optimism about the industry’s potential for growth and the positive impact on the country’s economy.

Highlighting the progress made in the IT and electronics industries over the last three years, he called for the formulation of policies in these domains.

He pointed out that the government had decided to grant a 3% Research and Development (R&D) allowance to mobile manufacturers, scheduled to be implemented starting from the next fiscal year. Furthermore, the R&D allowance will be increased from 3% to 8% in the upcoming years, he added.

He expressed the view that this decision was expected to encourage and support local mobile manufacturers in their research and development endeavors. “The move aligns with the government’s broader strategy to boost the technology sector and promote self-sufficiency in the production of electronic devices within Pakistan.”

He expressed confidence that 5G services in the country would be launched by July-August of the current year, and a 300MHz spectrum would be offered for auction.

Before the launch of 5G services, the optic fiber network had to be enhanced. Currently, only 6,000 mobile towers are related to optic fiber cables (OFC), out of around 56,000 towers across the country.

The minister also highlighted the steps taken by his ministry for the uplift of the IT industry, stating that during the five months, the government had established a Telecom Tribunal to fulfill a longstanding demand of the telecom sector.

“The effective implementation of the Right of Way Policy, the Special Investment Council has removed all departmental hurdles, and all decisions in the interest of the country and the nation have been approved without delay,” he added.

He said that under the nation’s first space policy approved by the federal cabinet, international companies would be allowed to provide communication services through low-orbit communication satellites.

Dr Saif mentioned that satellite communication technology was advancing rapidly, and many private companies worldwide wanted to provide communication services through low-orbit satellites.

“Satellites used to be geostationary, far away from the land. They are useful for broadcasting TV signals, but communicating is difficult because there is latency,” he said.

Dr Saif said that communication services and Internet services could be offered through low-orbit satellites, which were relatively closer.

He mentioned that there had been a lot of development in this regard in the private sector.

“Now it has become possible for communication services in Pakistan to be provided through satellites, and the private sector has this technology,” he said.

The Pakistan Mobile Summit, the first-ever mobile conference in Pakistan, had a distinguished guest list of top industry leaders and over 250 attendees. The event provided an excellent platform for engaging in insightful discussions, sharing innovative ideas, and building collaborative networking within the dynamic landscape of the ever-evolving mobile industry.

This momentous evening gathered some pivotal figures in the mobile phone ecosystem, ranging from government representatives, operators, regulators, manufacturers, and app developers to advocates for digital and financial inclusion (D&I) as well as sustainability.

Prominent names, including Muzzafar Hayat Piracha, CEO Airlink, Major General (R) Hafeez ur Rehman, Chairman PTA, Fatima Asad-Said, CEO ABACUS, Aamir Allawala, CEO Transsion TECNO Electronic, Muhammad Imran Saleem, Country GM, Careem Pakistan, Ehsan Saya, Managing Director, Daraz, Mr. Anwar Kabir, CEO Brand Spectrum, and others, attended the event.

Central to the discussions was the profound impact of 5G, exploring its transformative potential for digital advancements and B2B services, alongside other pertinent topics. Complementing the discussions, an exhibition area was set up to highlight the diverse contributions of organizations within the mobile industry.

Information in this article comes from third party providers. This website does not provide explicit or implied warranty for such information and is not liable for any losses directly or indirectly caused by using such information.

 

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Licence-exempt use: Designation of 6 GHz band on the cards​

Tahir Ami

ISLAMABAD: The potential designation of the 6 GHz band for licence-exempt use is on the card, which will provide ample bandwidth to support the advanced Wi-Fi 6E and upcoming Wi-Fi 7 generations.

The Pakistan Telecommunication Authority (PTA) has admitted that the existing frequency bands supporting Wi-Fi are often congested, hindering quality of service. The 6 GHz band, designated for licence-exempt use, offers ample bandwidth and cleaner channels for Wi-Fi 6E.

Its adoption by prominent manufacturers and the rise of concepts like Metaverse necessitate the deployment of the latest Wi-Fi standard for a superlative wireless experience. Wi-Fi 6E caters to data-intensive needs, making it vital for services like streaming and cloud-based applications.

Recognising the importance of Wi-Fi in the telecommunications infrastructure, PTA will take decisive actions to secure the future of Wi-Fi technology in Pakistan, aligning with international trends. One of the foremost steps on the horizon is the potential designation of the 6 GHz band for licence-exempt use. This move will provide ample bandwidth to support the advanced Wi-Fi 6E and upcoming Wi-Fi 7 generations.

It promises cleaner, non-overlapping channels with significant bandwidths.

PTA’s intention is to align Pakistan with global wireless innovations.

Additionally, PTA will continue to closely monitor the commercial availability of Wi-Fi 6E-enabled devices such as routers, laptops, access points, and more. This is a crucial step in determining the optimal spectrum band and associated parameters within the 6 GHz range. Field trials were done to ensure co-existence of other services operating in the 6 GHz band.

PTA is also considering future generations of Wi-Fi technology such as Wi-Fi 7. These advancements are expected to offer significantly faster speeds, lower latency, and support for a growing number of connected devices, which will be vital for the evolving digital landscape.

These proactive efforts are geared towards positioning Pakistan at the forefront of wireless connectivity, ensuring that its citizens and businesses can harness the full potential of cutting-edge wireless technologies in the years to come.

Copyright Business Recorder, 2024

 

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Special Technology Zones: deal signed to build 36-storey skyscraper in Lahore​

Bilal Hussain
February 29, 2024

An agreement has taken place to build a 36-storey technology tower worth around $70 million in Lahore with the Special Technology Zones Authority (STZA), Business Recorder learnt on Thursday.

The CODE Science and Technology Park (CODE STP), a Pakistani privately managed technology zone company, signed the zone development agreement for their flagship project, ‘The Mark’.

The project would facilitate export oriented technology firms in services, research and development (R&D), and product markets, Hamza Saeed Orakzai, Chief Market Development Officer, STZA, said.

“Pakistan is quickly becoming a supply side market to the global technology sector due to availability of highly competitive technical labour at a fraction of the cost elsewhere,” Orakzai told Business Recorder.

He added that the investment size for the project is Rs20 billion (around $70 million) and it would be functional by 2026. When built, it would be the tallest technology tower in Johar Town, Lahore, he claimed.

“There are foreign and local technology companies that need big spaces with specialised ecosystems, for instance for a 1000 people which can’t be accommodated at present. This project will facilitate those companies and also enable local companies to scale,” Orakzai said.

The mega project would be able to accommodate up to 7000-8000 people to work in a single shift, according to STZA official.

Orakzai said the tower would be designed on the Middle East level, with a height of 530 feet and double height ground floor.

He stated that the companies that be allowed to operate from the facility would be as per the STZA’s notified 48 segments of technology sector including, but not limited to, R&D, IT and ITeS, Internet of Things (IoT), artificial intelligence, agri-tech, biotech, semiconductor, robotics, blockchain, and other emerging technology segments.

The 36-story skyscraper aspires to be a hub for tech enterprises, academia, and industry pioneers, benefiting from STZA’s fiscal and monetary incentives programme aimed at fostering a climate of innovation and economic growth in Pakistan.

The STZA, led by the Honorable Prime Minister of Pakistan as President of the Board of Governors, serves as the federal regulator for Special Technology Zones (STZs) throughout the country.

STZA’s core mandate is to license Special Technology Zones and technology companies in alignment with the Triple Helix Model of Innovation, providing a framework that intertwines academia, industry, and government to propel the knowledge and technology sectors forward.

In its effort to cultivate a thriving technology ecosystem, STZA extends comprehensive fiscal and monetary incentives for 10-years to both public and private enterprises, encouraging significant financial, technical and intellectual capital influx for knowledge ecosystem development in Pakistan.

The licensed zones are designated for exclusive use by technology firms, which, in turn, benefit from a decade of fiscal and monetary advantages.

“The establishment of The Mark is a testament to our commitment to supporting visionary projects that can redefine the technological landscape of Pakistan. We stand ready to provide our full support to CODE STP in this transformative endeavor,” Aamer Saleemi, another STZA official, said.

Akbar Shaukat, Board Member at CODE STP, termed the Zone Developer license from STZA to the project a “momentous step towards elevating Pakistan’s Tech sector to new heights”.

Reflecting on the potential impact of the project, Abid Hussain of CODE STP, stated, “The development of The Mark is more than just a construction endeavour; it’s about establishing a dynamic interface that melds private sector dynamism with government initiatives to ignite sustainable economic revitalisation.”

 

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[H3]PIF, STC to form region's biggest telecom tower firm[/H3]
Will set up new company with 30k towers valued at $6.7b with annual revenues of $1.3b

REUTERS
April 23, 2024

Saudi Arabia's sovereign wealth fund PIF has agreed to buy a 51% stake in Telecommunication Towers Company Ltd (TAWAL) from STC Group, paving the way for the creation of the region's largest telecom tower company, PIF and STC said on Monday.

Under the agreement, PIF and STC will combine TAWAL and Golden Lattice Investment Company (GLIC) to set up a newly-formed company with around 30,000 mobile tower sites and estimated annual revenues of around $1.3 billion, they said in a joint statement.

The combined new entity will be owned 54% by PIF and 43.1% by STC, while GLIC minority shareholders will own the remaining share capital. The deals, including the 51% stake sale for an expected cash consideration of 8.7 billion riyals ($2.32 billion) are expected to be completed in the second half of the year.

"The deal marks a milestone in the establishment of the biggest Tower company in the region with 30k towers valued at $6.7billion," Ziad Itani, head of TMT equity research coverage at Arqaam Capital, told Reuters in an emailed statement.

"STC is a clear beneficiary from the deal of as the sale price of Tawal" is bigger than five times its book value and five times its revenues, Itani said, adding that the cash inflows of 8.7 billion riyals will allow the company "to pursue additional M&A and investment opportunities".

STC CEO Olayan Mohammed Alwetaid told Reuters that the transaction was "a step forward in STC Group's expansion, growth, and recycling the return on investment."

Published in The Express Tribune, April 23rd, 2024.

 

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[H3]Huawei to train 300,000 Young Pakistanis in ICT skills[/H3]
By ShaGwadar Pro
Sep 8, 2024

ISLAMABAD - Chairman of the Prime Minister’s Youth Programme (PMYP), Rana Mashhood Ahmed Khan, visited the Huawei office on Saturday afternoon to discuss the modalities of an extensive training program aimed at equipping 300,000 young Pakistanis with advanced skills in Information and Communication Technology (ICT).

The meeting, which followed crucial technical discussions held on September 4th and 5th, marked a pivotal step in integrating Huawei’s advanced training resources into Pakistan’s educational framework.

The initiative guided by the directives of Prime Minister Mian Muhammad Shehbaz Sharif, seeks to enhance technical education by leveraging Huawei’s global expertise and cutting-edge training materials.

This strategic partnership is expected to substantially elevate the quality and reach of technical education throughout Pakistan, fostering skill development and innovation.

The National Vocational and Technical Training Commission (NAVTTC) will act as the implementation partner under the Prime Minister’s Youth Skill Development Programme.

The collaboration builds upon the foundation established during Prime Minister Shehbaz Sharif’s visit to Huawei’s office in China, underscoring the commitment to advancing Pakistan’s technical education landscape.

 

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Pakistan's IT exports

In August 2024, Pakistan's IT exports reached $298 million, reflecting a 27% increase year-over-year and a 4% rise month-over-month. This figure surpasses the 12-month average of $275 million.

According to Topline Securities, the significant year-over-year growth is attributed to an expanding global client base for IT companies, particularly in the GCC region.

Additionally, a recent relaxation in the permissible retention limit by the State Bank of Pakistan—raising it from 35% to 50% in Exporters’ Specialized Foreign Currency Accounts—along with the stability of the Pakistani Rupee, has encouraged IT exporters to repatriate a greater share of their profits.