Pakistan’s telecom market is changing. The Pakistan Telecommunication Authority (PTA) has set new rules for Mobile Virtual Network Operators (MVNOs). Companies will pay a $140,000 license fee to start, and the move is meant to encourage more competition and better services.
PTA Sets $140,000 MVNO License Fee Under New Telecom Framework
MVNOs can offer mobile services across Pakistan, but not in Azad Jammu & Kashmir (AJ&K) or Gilgit-Baltistan (GB). The rules explain how services should be provided, how partnerships work, and the compliance and financial responsibilities of MVNOs.
How MVNOs Will Operate
MVNOs will partner with one or more Mobile Network Operators (MNOs). PTA must approve these agreements before services start. They don’t need to build their own networks or own spectrum and will use the networks of their MNO partners.
MVNOs must provide access to emergency help, operator support, and national and international calls. These services are offered through MNOs and LDI operators. PTA may ask for more services later.
MVNOs can create their own brand, design service plans, and manage customer care and billing. However, they cannot build their own network, hold spectrum, or make independent roaming or interconnection deals. The license is valid for 15 years and can be renewed after checking the company’s performance and compliance.
The rules make sure competition is fair. MVNOs with a lot of market power will follow extra regulations to avoid unfair practices. Users can also keep their phone numbers when switching operators through Mobile Number Portability (MNP). MVNOs and their partner MNOs will work together to make switching smooth.
In addition to the USD 140,000 license fee, MVNOs must pay an Annual License Fee (0.5% of gross revenue), a Universal Service Fund contribution (1.5%), and a Research & Development fee (0.5%). Numbering charges will apply through MNOs. Payments must be made within 120 days after the financial year. Late payments incur a 2% monthly surcharge. Persistent non-compliance may lead to penalties or license termination.
Local Growth, Limits, and Data Rules
The draft encourages local technology, manufacturing, and research initiatives. MVNOs must operate only in Pakistan and cannot directly connect internationally. All calls and internet traffic must go through licensed MNOs. The PTA continues to regulate other digital services as well. For example, it recently licensed nine local VPN providers as registrations surpassed 30,000 users in Pakistan. MVNOs are also required to keep detailed records for at least one year, including caller and receiver information, date, time, duration, IMEI, location, internet session logs, and IP addresses, which must be shared with PTA when requested.
MVNOs are required to keep detailed records for at least one year. This includes caller and receiver information, date, time, duration, IMEI, location, internet session logs, and IP addresses. Records must be shared with PTA when requested.
