Pakistan raises $507 million from 5G spectrum auction

The federal government on Tuesday completed its 5G spectrum auction in Islamabad with 480 megahertz sold for $507 million at the end of the third round of bidding, reported 24NewsHD TV channel.

The three telecom operator — Zong, Jazz and Ufone — competed heavily at 2600 megahertz for the key frequency band needed for the 5G service. Zong acquired 110MHz, Ufone 180MHz and Jazz 190MHz during the auction.

Pakistan offered 700 MHz for $32.5 million, 1800 MHz for $16.8m, 2100 MHz for $70m, 2300 MHz for $10m, 2600 MHz for $12.50m and 3500 MHz for $6.5m per lot.

Finance Minister Muhammad Aurangzeb, IT Minister Shaza Fatima Khawaja and Information Minister Attaullah Tarar jointly inaugurated the auction alongside Pakistan Telecommunication Authority (PTA) Chairman Major General (retd) Hafeez Ur Rehman.

The auction was concluded after three rounds, with the results announced by Hafeez Ur Rehman, who was flanked by IT Minister Shaza Fatima Khawaja and Information Minister Attaullah Tarar.

According to the PTA, the auction saw the sale of two lots in the 700 MHz band, all five lots in the 2300 MHz band, all 19 lots in the 2600 MHz band, and 22 out of 28 lots in the 3500 MHz band, taking the total spectrum sold to 480 MHz.

In mobile spectrum, lots refer to specific, divisible blocks of radio frequency spectrum that regulators, i.e. PTA, divide and auction off to mobile network operators for providing 3G, 4G, or 5G services.

In terms of allocation, Jazz emerged as the largest buyer, securing 190 MHz of spectrum, including 50 MHz in the 3500 MHz band, 70 MHz in the 2600 MHz, 50 MHz in the 2300 MHz and 20 MHz in the 700 MHz.

Ufone acquired 180 MHz, including 120 MHz in the 3500 MHz band and 60 MHz in the 2600 MHz band, while Zong secured 110 MHz in the auction, including 50 MHz in the 3500 MHz band and 60 MHz in the 2600 MHz band.

Speaking on the occasion, IT Minister Shaza Fatima Khawaja said the government had made around 600 MHz spectrum available for the auction, which was conducted live in line with the directives of Prime Minister Shehbaz Sharif to ensure transparency.
She said Pakistan had reached a “choking point” in terms of spectrum availability, and the additional spectrum would significantly improve internet quality across the country.

Earlier, the launch ceremony of the next-generation internet service auction was inaugurated by Finance Minister Muhammad Aurangzeb and Federal Minister for IT and Telecommunication Shaza Fatima Khawaja.

Addressing the ceremony, Federal Finance Minister Aurangzeb said significant work was being carried out in Pakistan’s information technology sector. 

He said the government was taking steps to stabilise the national economy and had also introduced energy-saving measures in view of the evolving regional and Middle Eastern situation.

Aurangzeb described the auction as an important milestone for the IT sector, expressing confidence that it will contribute positively to the national economy.

The Finance Minister said as the country moves toward new economy encompassing technologies such as AI, blockchain, and Web 3.0, the availability of spectrum will play a crucial role in supporting these advancements.

براہِ راست : فائیو جی ٹیکنالوجی کی لانچنگ اور 600میگا ہرٹز اسپیکڑم کی نیلامی https://t.co/VY9WIqHQse

— Government of Pakistan (@GovtofPakistan) March 10, 2026

Highlighting the importance of the IT and IT-enabled services sector, the Finance Minister said enhanced digital infrastructure would strengthen one of Pakistan’s most promising areas of growth, particularly in boosting exports and creating employment opportunities. He stressed that the government’s role is to provide the enabling ecosystem that allows the private sector to lead economic growth.

Speaking at the event, Shaza Fatima Khawaja described the day as a milestone for Pakistan’s IT sector, stressing that information technology has become increasingly vital in the modern era. 

She said high-speed internet is now a basic necessity and that the introduction of 5G would accelerate the country’s economic and technological development.

Shaza Fatima said this is the country’s largest spectrum auction and expressed confidence that it would double spectrum availability. She emphasized that it is one of the most important days in Pakistan’s history and highlighted that Pakistan is set to join the ranks of countries that have introduced 5G services.

Shaza Fatima said 4G services will significantly improve in the country in the next four to five months. She said 5G services will also be available in five major cities in the next five to six months.

Alluding to the conducive auction conditions, the Minister for Information Technology was confident that this auction will be successful.

Minister for Information and Broadcasting Attaullah Tarar was also present on the occasion.

Earlier, the government has clarified that the 5G spectrum auction will proceed as scheduled on Tuesday (today), and mock exercises with all three participants — Jazz, Zong, and Ufone — have been completed.

During a background briefing held on Monday, Shaza Fatima, the Minister of IT and Telecom, stated that efforts have been made to ensure that all three stakeholders benefit from the spectrum auction.

Currently, only 274 megahertz (MHz) spectrum is running the whole system in the country, leading to network issues, she said, adding that the priority of the government is to enhance the quality as well as the coverage area of 4G in the country. At the same time, the 5G coverage will also commence after the auction.

The government was offering approximately 600 MHz of spectrum, and four new bands have been introduced in the current auction process, while the telcos are required to acquire at least 100 MHz each.

With a minimum of 300 MHz to be acquired by the telecom companies, the availability of spectrum in the system will be doubled, and as a result, current issues faced by consumers will largely be resolved, Ms Fatima added.

In order to ensure that all three telecom operators enter the 5G service, the spectrum auction policy has made it mandatory for the participants to acquire the 3500 MHz and 2600 MHz bands, as these are essential to operate the 5G service.

The 700 MHz band has also been offered for the first time. It is essential for long-distance coverage and will help provide basic telephony services in populated areas.

The government is expected to generate approximately $300 million to $700 million through the spectrum auction.

There will be different rounds of bidding, which may continue for several rounds.

The Pakistan Telecommunication Authority is conducting the auction for Next Generation Mobile Services (NGMS)/5G spectrum. The initiative is considered a major step in upgrading Pakistan’s digital infrastructure and expanding the country’s mobile data capacity from its current 274 MHz to nearly 600 MHz.

Three major telecom operators are participating in the bidding process: Jazz (PMCL), Zong (CMPak), and Ufone (PTML). No new international telecom companies entered the auction.

Approximately 597.2 MHz of spectrum is being offered across 11 frequency bands, including 700 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2600 MHz and 3500 MHz bands. 

Each participating operator submitted $15 million as pre-bid earnest money, while the government has set a minimum revenue target of around $630 million to $634 million from the auction.

The bidding process is being conducted through specialised software provided by NERA Economic Consulting and is being live-streamed for public viewing.

According to officials, the government has planned a two-phase rollout for commercial 5G services. The first phase is expected to begin around June or July 2026, focusing on major urban centres including Islamabad, Karachi, Lahore, Peshawar and Quetta.

In the second phase, planned for 2027, the service will expand to secondary cities such as Multan, Faisalabad, Sialkot and Rawalpindi.

Officials said a long-term rollout plan spanning 2026 to 2035 aims to add around 3,000 new network sites annually and deliver average internet speeds of 50 to 100 Mbps. Initial speeds are expected to start at around 50 Mbps with targets of reaching up to 100 Mbps by 2030.

The PTA has assured consumers that the introduction of 5G technology will not lead to an increase in mobile package prices. Authorities also noted that between 500,000 and 600,000 5G-enabled smartphones have already been locally manufactured in Pakistan to support the transition to the next generation of mobile connectivity.