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The Pakistan Telecommunication Authority (PTA) has identified several obstacles hindering the country’s transition to 5G technology. Despite increasing broadband penetration, Pakistan’s shift to 5G faces significant hurdles. The PTA’s 2024 annual report highlights concerns over financial constraints, a lack of 5G-capable devices, and the urban-rural digital divide.
Financial Constraints and Investment Decline
The global transition to 5G and the market’s price sensitivity have both contributed to a significant decrease in investment in Pakistan’s telecommunications sector, which has decreased from approximately $1.6 billion in 2021–2022 to $765 million in 2023–2024.
Shahzad Arshad, Chairman of the Wireless and Internet Service Providers Association of Pakistan (Wispap), has observed that the market’s price sensitivity affects operators’ capacity to invest in large-scale projects such as 5G, which necessitate substantial capital.
Scarcity of 5G-Capable Devices
Aamir Ibrahim, CEO of Jazz, Pakistan’s largest mobile broadband provider, highlighted the scarcity and high cost of 5G-capable devices as a major barrier to widespread adoption. The devaluation of the Pakistani rupee has further increased operational costs for telecom companies.
The PTA report also identifies the urban-rural digital divide as a potential obstacle to the nation’s 5G rollout, with urban areas potentially benefitting from advanced infrastructure quickly while rural regions risk falling behind due to high costs and logistical challenges.
Government Incentives and Public-Private Partnerships
To address these challenges, the PTA suggests that government incentives and public-private partnerships may be crucial to ease the financial strain associated with 5G and promote the necessary investments in next-generation networks.
With the world heading towards 5G, this South Asian country has tremendous issues in embracing it. These are the four challenges that need to be met in order to make the 5G roll out a success in the country: financial limitations, affordable 5G devices, and closing the gap between rural and urban areas.
