The Pakistan Telecommunication Authority (PTA) has ordered PTML to immediately stop new ONIC sales, SIM and eSIM activations, subscriptions, marketing and other new commercial operations.

In an eight-page order, PTA said ONIC’s current business model requires regulatory approval under the Mobile Virtual Network Operator (MVNO) framework.

The regulator said ONIC operates with separate branding, customised packages, a dedicated app, billing and customer management systems, and its own customer-facing operations. These features, according to PTA, give ONIC the characteristics of an MVNO.

PTA also noted that Digital Technology Management Services (DTMS) handles several key ONIC functions, including marketing, customer acquisition, Know Your Customer procedures, SIM distribution, sales and customer support.

Under its agreement with PTML, DTMS receives 55 percent of the relevant revenue during the first three years.

PTA has given PTML three months to transfer or migrate existing ONIC subscribers to PTML. The company has also been directed to protect customer data and records during the process.

PTML must submit a compliance report to PTA within seven working days confirming that new ONIC operations have been stopped and outlining the steps taken to comply with the order.

PTA said PTML can either bring ONIC fully under its existing mobile operator licence or obtain an MVNO licence to continue with its current business model.