ISPs Not Happy with PTCL’s 1 MB DSL for Rs. 299

PTCL_1MB_DSLInternet Service Providers’ Association of Pakistan has termed 1 MB DSL for Rs. 299 (in selected areas), as anti-competitive.

ISPAK in a communication with PTA has requested the authority to check such moves by the PTCL to save total collapse of the broadband industry. ISPAK said that such promotions by PTCL will lead industry to:

  1. All DSL operators eventually packing and closing shop
  2. Telecom operators who are investing in heavily in various broadband technologies will be forced to rethink about their investments, the end result of which could be a monopoly in the country in broadband, maybe that is what PTCL is trying to achieve with such promotions.

When we spoke with spoke with Mr Wahaj us Siraj, Chief Executive Officer, Micronet Broadband, he said that PTCL’s wholesale price of IP bandwidth to ISPs is not less than US$ 150/Mbit if an ISP purchases 1,000 Mbits of bandwidth. Keeping this in view, if ISP’s wholesale price for 2 Mbits is $300 (Rs. 24,000), how ISP can sell same at Rs. 2,000 to an end user.

“PTA is silent on this issue. They’re not supporting industry and leaning towards the large incumbent operator. PTCL is actually trying to kill competition by hook or by crook. If it succeeds in this, which they would if regulator remains silent, it would monopolize the market again and customers would be left with no choice but to use PTCL only” he added.

It merits mentioning here that PTCL has been offering I MB DSL link for PKR 299 (3.6 USD) per month, with subsidiary from USF.

However, it must be noted that PTCL is offering this package only in those cities where there is no other ISP providing broadband services and USF encourages ISPs to offer broadband services in un-served areas by subsidizing the services, through bidding.

In this regards, when we spoke with Mr. Pervaiz Iftikhar, Chief Executive Officer, USF, he said that USF’s aim is to take broadband in un-served and under-served areas of Pakistan. For the purpose, USF conducts a transparent bidding process, where everyone is invited to participate. He further told that USF will provide subsidiary for infrastructure for broadband to winning bidders, but only after reaching target, for instance in Faisalabad Telecom Region, target is 100,000 broadband customers.

Parvaiz Iftikhar further added that it’s PTA’s mandate to regulate the industry – and this particular issue is clearly between ISPAK, PTA and PTCL.

When we spoke with a broadband analyst regarding this, he said that it is true that PTCL’s package is provided only in those cities where there was no broadband before, however, ISPAK’s viewpoint of anti-competitiveness of this package can’t be ruled out. “Price cut in one area will impact countrywide broadband industry, sooner or later, moreover, it’s not that if today one company is not providing services in some cities, then they won’t go there for entire life” he concluded.

We could not get PTA’s viewpoint over the matter.

Tech reporter with over 10 years of experience, founder of ProPakistani.PK

  • AOA Dear All,

    I m still not aware of this happening in the industry.

    But if it happens then the rate of Bandwidth should be lower for other operators.

    They should then rather than getting E1s , go for E3 and STMs.

    Well still i m confused that when my company did this move . I m still unaware about it .


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  • Dear freinds,

    Wateen is offering the 2 Mps i think at 700 rupees on Wimax.

    So if now ptcl comes up with this move to sell 1mbps at about 300 rupees then it has the right to do so .

    When wateen was sellng at 700 rupees , no body or ISP came up with the concern at WI-Max and wateen Wimax customers are touching at about 100K now.

    Whereas ptcl , my company, when comes up with such an attractive package then the hues and cries are raised. So it is not just.

    Ptcl has the right to compete with wateen .

    In order to cope with this emerging situation , the other ISPs should face the situation with solutions for running their buisines rather than forcing the ptcl not to lower the rates.

    Being ptcl person, i shall appreciate it that it is good thinking with which my management has come up with .

    Also it is unfortunate to mention here that the agents of the other companies(ISP) are working in ptcl and it appears that those agents of other companies working in ptcl are anoyed with this move.

    Even the ptcl stallwards even in the top management are runnig their companies in partnership with the private people. On onehand they are running their own telecom buisines and also they are working in ptcl. so such concerns appear to the outcome of the thinking of those dual job doers.

    So i shall appreciate tht my company ptcl has come up with a good move.

    And ptcl is my home and i m happy to see it fit in the market delivering broadband services at such a competitive rates.

    May Allah give more development and growth to my company.


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  • Being a customer, i would love to get it at Rs.299.. Had a chat with Wimax wala, and they said that we don’t even care about PTCL in competition.. they have huge presence.. we only think about return on our own investment.. So, PTCL should stop this competition war…

  • It is a good offer by PTCL especially in under-served area. But I agree with this point that it will finish other competitors and who can guarantee that PTCL will not exploit customer in future. We have seen that Supreme Court has to intervene for quality of service when other companies are competing. So imagine what was & will be senario when PTCL have total monoply??

  • guys guys guys, this promotion is just only for hyderabad, faisalabad and some other small cities, i’ve confirmed from 1236 helpline of ptcl. and its just for the promotion of DSL in those areas, so if some company wants to have a comptetive edge in DSL they should plunge with ptcl to grab the customers from that area instead of weeping.

    if mobile companies are also providing the service of 24 hrs as 3.5 rupees per hour, so how can you imagine that they are earning from 3.5 rupees, definitly they will put some extra daily charges and then they will drop your call twice or thrice in an hour that is how they cheat the people.

  • Yar please comment accordingly please. Here’s the point of departure of investors. Coming down from 1199 directly to 300 is completely non sense. Though the package is limited time offer but still it’s a very discouraging step taken by ptcl. It’ll stop new investors from coming to pak . So think for pakistan not for your pocket. Thanx

  • Quite encouraging offer by PTCL to users of backward cities though others small ISP’s are not enjoying this :) ,What about LINKdotNET ? I thinks they have their own bandwidth their profit will probably cut off with this sort of competition but users will have benefit in the end of the game .

  • Guys the real scene is that ptcl introduce a 1 year agreement with customer in which 1st 3 months are @299 and remaining months will be charged 1199.thats the real story
    What PTCL get
    .Competitive advantage
    But they dont know pakistani customers they use their service and even not bother to default the bill.lagao lagao free do awam ko dokha awam bhi bewaquf nahi hy

  • I really don’t understand these industry talks.

    All I understand is that

    1) PTCL offers cheap rates to the customers (In all circumstances).
    2) They offer 1MB connection to students for price around 850 Rs with unlimited bandwidth
    3) and then in these “some areas” 1mb connection for 299.
    4) 3.1 MB Evdo for 2000 bucks.

    So, PTCL is the winner and if customers get things for cheap and they love it then how isn’t PTCL a good company :P?

  • Its offered only to those areas where internet users are very few so don’t expect it if you’r from big cities and towns

  • This is good move i think … in this way people in low income class have an equal opportunity like those in big cities.

    Private operators should not have objection on this since they are already earning so much from larger cities.

  • I live in Peshawar Badaber, on kohat road. here there is niether ptcl DSL nor Wateen WI-max. i’ve requested 2 both operators but still no reply.
    just using slow speed v-wireless which has onl one single boring package for internet.

  • Mrs. Nergis Sethi
    Principal Secretary to the Prime Minister
    Government of Pakistan

    Subject: Industry Representation to Resolve Serious Issues

    Dear Madam,

    We’re writing this to appraise the honourable Prime Minister, in his capacity as Minister (in-charge) for IT & Telecom (MOIT), through your good office regarding the non-responsiveness of MOIT to resolve the burning and long outstanding issues of the Internet industry.

    2. Internet industry representatives had a meeting with the Secretary MOIT on 25 June 2009 and the Secretary promised to resolve the issues immediately. Since then we’ve been following up with his office through reminders but nothing has been done so far. This shows the total lethargy and ineffectiveness of the Ministry in dealing with its stakeholders on policy issues strangling the IT and telecom industry of the country. Copies of our letters are enclosed.

    3. MOIT was established by the Government to act as fast paced Ministry to bring a fundamental change in the IT and telecom landscape of the country. The Ministry, unlike conventional Ministries, is manned by professionals in lucrative MP pay scales. But for the last few years, MOIT has done nothing to solve the problems of the industry for which it was actually created. If MOIT cannot resolve the issues and crises being faced by the IT and telecom industry, then it would be worthwhile to close this Ministry and divert tax payer’s money to some productive use.

    4. We hope that you’d kindly bring this to the notice of the Prime Minister and take action accordingly.

    With kind regards.

    Yours truly,
    Wahaj us Siraj

  • so….
    i think PTCL is making joke with customers and it is trick to make more customers..

    this offer is for limited time and when it ends, rates will be Rs.1199….

    so dont happy any more…….

  • Its a very good move. I live in Distt. jhang were PTCL has recently offered this package. we greatly appreciate this move because we were using dial-up connections up till now. its is very affordable. Thanks to PTCL.

  • One more thing. It is not 1 MB. it is 256K for Rs. 299 with 1GB Download limit. This package has been introduced recently in our city Shorkot City Distt. Jhang.

  • ptcl is upgrading 2mb,4mb but not upgrading 1mb
    it is unfair bcoz mostly peoples are using 1mb dsl

  • Dear sir;

    My ptcl no,7916251 i disconect this number
    since obout 3 years ago.
    but i want to conect this conection again.
    please send me a mail & advice me whay as
    jia moosa shahdara lahora
    near new poilet school
    muslim coloni

  • Sadat Want More Info Via Sms This 1 Mb Rates I Live In Lahore Many Friends Says This Is Wrong Links And frad But I Know Its Right Contect In This No 0300-8066100 Via Sms Or Call

  • how much charges 1mb ptcl student package plzzz send me this information at this number:03138842551 plzzzzzzzzzzzzzzzzz

  • As a student i am very thankful to PTCL for such package because the previous package was very expensive for us (1199).we can’t afford that.Now this package has the best price range for every student.

  • kisi ki b internet bill ki waja say band hojai tho ham say rojo karay ham ap k is problem ko hal kar day gay ( NOTE) with out paying bill , my name is WAQAR (software engeneer) dont take a tension it is pakistan every thing is posible . & every thing is fare in world in war……..

    send message to MY ID= [email protected]

    (IT IS REAL)

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