Plan to Make 5G Handsets ‘Affordable’ Hits Roadblock

ISLAMABAD: A policy proposal aimed at putting 5G-enabled handsets within reach of more Pakistanis appears to have encountered an obstacle, with the government still waiting for a response from certain industry stakeholders.

The proposal to make expensive smartphones available for purchase through installment plans has been under development for some time. The need for this policy has become more evident following the 5G spectrum auction conducted on March 10.

Stakeholders anticipate that once the new technology is rolled out, it will lead to an expansion of 4G mobile telecom services in remote and currently underserved areas, thereby increasing demand for smartphones in the coming months.

Insiders say Jazz has been advocating for the policy, as it would allow lower-income groups and non-earners such as students to acquire smartphones at affordable installments.

However, sources within the IT ministry and the Pakistan Telecommunication Authority (PTA) – the government bodies involved in the policy-making process and the institutions that will oversee its implementation – told Dawn that although all major telecom service providers have publicly committed to the initiative, certain parties have yet to formally submit their response to the government.

Just last month, Zong became the third major telco (after Jazz and Ufone) to sign up for the plan, with a company official arguing that with the rollout of 5G services, such a move would help meet the rising demand for high-end handsets.

Zong has forwarded its suggestions to the government regarding the sale of mobile phones on installments, Sajid Munir, head of marketing at Zong, said at a recent media workshop.

But sources told Dawn that both the IT ministry and PTA are still awaiting Zong’s official response.

When approached for comment, a company spokesperson said the company fully supports the industry-wide initiative to enhance access to 5G-enabled smartphones through handset financing solutions.

“We are working closely with the regulator and industry stakeholders to finalise a framework that is beneficial for customers and the broader industry alike,” the spokesperson said.

Separately, speaking to the media last week, Jazz President Kazim Mujtaba said that the policy was not only focused on low-income groups. “Several people want to get a 5G-compatible phone set but cannot afford to buy it on cash payment,” he noted.

He also suggested that after the rollout of 5G, the government should launch projects under the Universal Support Fund (USF) to ensure connectivity along motorways.

“There is no business case for individual companies to invest along the motorways, but the connectivity can be ensured through the USF financing,” he said.

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