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Wednesday 30 April 2014

Zong doesn’t want Warid to launch 4G

Zong doesn’t want Warid to launch 4G




China Mobile (the parent company of ZonG) is not happy with the efforts Warid Telecom it is making to introduce 4G LTE services at a time when rest of the four telecom operators are preparing to launch 3G service.

An official privy to the matter has disclosed that high-ups at China Mobile have asked the government of Pakistan and the regulatory body PTA to delay the permission process of Warid 4G as it may harm ZonG’s new image of being the first and only 4G telecom operator.

Similar concerns have been communicated to PTA by other 3G license winners in various meetings.

An official of the leading telecom company said, “Warid had opportunity to participate in the bidding process and play fair. They opted to remain distant, so they must follow the rules now”.

In several communications, PTA has confirmed that it will entertain new license holders who have paid millions of dollars. The name of ZonG comes on top on the grounds that it has obtained 3G and a 4G license which had also relieved government of Pakistan on the day of auction (April 23).
Government is under immense pressure from China Mobile who is also happened to be the only telecom investor ready to pay 3G and 4G license fee lump sum in dollars.

In a press conference today, ZonG’s CEO responded to a question that PTA should decide on this matter. Another official from the company hoped that government of Pakistan should do justice with all the telecom operators.

Warid decided to remain away from the bidding process and opted to launch its own 4G LTE service, a move that may surprise all four 3G operators.

According to sources at Warid, the move is a part of plan to sustain its postpaid customers who have already started to leave the network in anticipation of 3G services from rival companies.

The Dawn also quotes PTA as, “Warid’s license is technology neutral but it is not service neutral. The telecom operator will need a formal permission from PTA for any new venture”.
A PTA official hinted that Warid would be given formal permission at least 2 months after ZonG has commercially launched its 4G services.

ZonG has disclosed today that it will take them a year to commercially launch 4G in Pakistan for the general public.

Does it mean that Warid will have to wait for another one and half year?



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