The Pakistan Telecommunication Authority (PTA) is expecting a huge investment in terms of Long Distance International licenses as it received 12 license applications within one month.
Sources told ProPakistani that the PTA has started reviewing applications, and it may take more than one month to complete the process. During this process, the PTA evaluation committee will call applicants for discussion on their technical and business plans.
The committee will also review the company’s telecommunication experience, projected revenues, operating expenses, capital requirements, and initial five years business plan. Authority will also analyze the committed financial resources including amounts of equity and debt financing required to finance the business plan.
PTA issues a Long Distance and International (LDI) license for the provision of end-to-end communication between points that are located in Pakistan with points that are located outside of Pakistan. License holders can provide long-distance voice telephone and data services. The license fee for LDI is $500,000 and it shall be valid for a term of 20 (twenty) years. After the expiration, the license can be renewed for the next term.
PTA announced the opening of the LDI license on 05 January 2022 after a gap of 08 years. In 2013, the last LDI license was issued to CMPak LDI Ltd on court orders. Currently, there are 14 LDI operators in the country and if all these applicants fulfill PTA requirements, the number is expected to double in one and half months.
According to the new license term, it is mandatory for every LDI operator to put 1500km of cable to the towers in 6 years. It will help in Fiberization, which is the main requirement of 5G because at this time only 8-10 percent of towers are connected to fibers.
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