2013 may turn bad for telecom industry

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BlackBerry_GettyImages_optSTAFF REPORT IBD: Pakistans telecommunication industry is expected to face bad times in the year 2013; the callings rates go up and the industry as a whole will be focusing on regulatory side of the market to affect growth while the third generation mobile spectrum auction will further get delayed, predicted the IT and Telecom market experts.

The year 2012 had been a very active one for the telecom industry with the sector reaching the mark of 120 million subscribers. Mobilink and Zong entered into mobile banking. However, as the mobile service sector did well for themselves, the government did not perform up to their expectations to help develop proper regulatory governance. PTA failed in major ways and the Prevention of Electronic Crimes Bill could not be passed.

Besides, the government also imposed censorship on YouTube, the sale of SIMs through retail outlets was banned which caused 85 per cent decrease in sales. This has also decreased their sales centres from around 200,000 outlets to just 2,000 official sales centres.

The mobile services remained intermittently suspended on multiple times due to security threats causing billions of rupees financial loss to the cellular companies.

Since the current governments measures will still be around till the first of the year 2013, there is no expectation for a change in the telecommunication sectors situation.

According to experts, if these negative trends continue this year it will post darker picture of this sector.


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Published in: Volume 04 Issue 04

Short Link: http://www.technologytimes.pk/?p=9972