The Pakistan Telecommunication Authority will hold the second and final phase of the 5G spectrum auction on March 12, where telecom operators will compete to determine the precise positioning of the frequency blocks they secured during Tuesday’s historic first stage.
Speaking at a Senate Standing Committee on Information Technology meeting on Wednesday, PTA Chairman Hafeez Ur Rehman confirmed that the first phase of the 5G auction has been completed and that all three telecom companies have purchased 5G spectrum. He told the committee that bidding for spectrum positioning will take place tomorrow, but added a detail that signals 5G deployment may move faster than expected: the telecom companies have already imported 5G equipment into the country, and all three operators are ready for immediate 5G testing.
Unlike the first phase, which determined how much spectrum each operator would receive, the assignment stage covers only the 2600 MHz and 3500 MHz bands and focuses on where within those frequency ranges each company’s allocation will sit. Operators will bid for top, mid, or low positions within each band, a technical distinction that can affect network performance, equipment compatibility, and the ease of future spectrum expansion. If the three operators reach a mutual agreement on positioning, the PTA will finalise the allocation without competitive bidding. If no consensus is reached, the process moves to a formal auction.
The PTA has set the initial positioning fee at $100,000, which could rise to $1 million if the bidding extends to a second round. The regulator expects the assignment stage to generate an additional $1 to $2 million in revenue on top of the $507 million raised in the first phase.
The first stage concluded on Tuesday after three rounds of bidding that saw 480 MHz of spectrum sold out of 597 MHz offered. Jazz was the largest buyer at 190 MHz across the 700, 2300, 2600 and 3500 MHz bands, followed by Ufone with 180 MHz concentrated heavily in the 3500 MHz band at 120 MHz, and Zong with 110 MHz in the 2600 and 3500 MHz ranges. All lots in the 2300 and 2600 MHz bands were sold entirely, with the 2600 MHz band attracting particularly fierce competition. That band received 30 bids for its 19 available lots during the allocation rounds, forcing the PTA to raise the base price by 5 percent as demand exceeded supply.
Unlike the 3500 MHz band, which is dedicated to 5G and requires dense site networks due to limited building penetration, the 2600 MHz range can be deployed for both 4G and 5G services, making it immediately useful for operators looking to relieve network congestion across their existing subscriber base.
The revelation that operators have already imported 5G hardware suggests that the companies were preparing for deployment well in advance of the auction, and that commercial testing could begin shortly after the assignment stage concludes. IT Minister Shaza Fatima Khawaja said during Tuesday’s ceremony that consumers could expect noticeable improvements in 4G quality within four to five months, with 5G services expected to launch in Islamabad and provincial capitals within five to six months. Under the government’s nine-year rollout plan, operators are required to deploy 1,000 new network sites annually, expand fibre-to-the-site ratios progressively, and extend 5G coverage to 40 or more cities by 2035.
