ISLAMABAD:

The government on Thursday announced that 5G pilot projects will begin in major cities next week, following the completion of a spectrum auction that generated $510 million for the national exchequer and paved the way for faster internet services across the country.

Federal Minister for Information Technology and Telecommunication Shaza Fatima Khawaja said work for the launch of 5G had started and that 4G services would also improve after the allocation of new spectrum to telecom operators. She was speaking at a ceremony held at the Pakistan Telecommunication Authority (PTA) for the allocation of slots for frequencies purchased by three telecom companies.

The allocation of frequency slots was attended by the top management of Jazz, Ufone and Zong, with operators acknowledging the transparency and fairness of the spectrum auction process.

The telecom companies also said they had already started tests of 5G services in several areas. Khawaja said the completion of the auction marked a key stage in the digitisation of the country, adding that the total amount of spectrum available in Pakistan had increased to more than 7,500 MHz.

“Our capacity has now increased three times from today,” she said, adding that 5G pilot launches would start in major cities from next week. Pakistan generated $510 million, equivalent to about Rs142.6 billion, from the landmark auction of Next Generation Mobile Services (NGMS) spectrum.

PTA Chairman retired Major General Hafeezur Rehman said 480 MHz of spectrum was auctioned during bidding held on March 10, generating about $507 million in revenue. The position assignment stage held on Thursday generated an additional $3 million following multiple rounds of bidding, bringing the total proceeds to $510 million.

Describing the process as one of the largest spectrum sales globally in terms of volume, the PTA chief said the government had fulfilled its responsibility by conducting the auction and it was now the telecom operators’ turn to translate the spectrum into improved services for consumers. The position assignment stage allowed operators to determine the precise placement of spectrum blocks they had secured.

The process covered the 2600 MHz and 3500 MHz bands, with operators bidding for lower, middle and upper block positions to optimise network performance and minimise interference between networks. No assignment process was required for the 700 MHz band, which was secured solely by Jazz during the auction.

Commenting on the outcome of Pakistan’s latest spectrum auction, Jazz CEO Aamir Ibrahim said that expanding nationwide connectivity remained a critical priority even as the industry moved toward next-generation technologies. He said that mid- and high-band spectrum strengthens capacity and supports the rollout of 5G services, while low-band frequencies such as the 700 MHz band are critical for extending mobile broadband coverage over larger areas.

The minister said the government was also working to establish an Artificial Intelligence Council to bring experienced professionals on board to guide the country’s AI policy and development.

She said the council would help formulate policies and guide the responsible use and development of artificial intelligence in Pakistan as part of broader efforts to strengthen the digital economy and promote innovation in emerging technologies.

Khawaja also informed that the government was finalising a policy to allow smartphones to be purchased on instalments.

“This will help spread smartphones among all segments of society,” she said.

The minister also noted that a large number of mobile phones used in Pakistan are now being assembled or manufactured locally, reflecting growth in the country’s mobile device manufacturing sector.

She said the internet had become a basic necessity for Pakistan and noted that three new submarine cables had landed in the country, increasing the availability of internet connectivity. WITH ADDITIONAL INPUT FROM APP