The Pakistan Telecommunication Authority (PTA) has completed the draft framework for Mobile Virtual Network Operators (MVNOs), setting the stage for smaller companies to enter the telecommunications market. Following extensive consultations with industry stakeholders, the draft is now ready to be submitted to the federal government for approval.

The proposed framework introduces 15-year licenses for MVNOs, allowing these companies to operate under their own brand names and offer tailored services to consumers. In a bid to attract more investment, the PTA has significantly reduced the MVNO license fee from $5 million to $140,000.

According to the draft, MVNOs will be able to establish commercial agreements with one or more Mobile Network Operators (MNOs) and provide services through revenue-sharing models. However, MVNOs will not be permitted to install any radio or core network equipment. Ensuring high-quality service and uninterrupted connectivity will be a primary responsibility for MVNOs.

The draft also details the financial arrangements between MVNOs and MNOs. Parent MNOs will be responsible for paying all regulatory fees and contributions based on their combined revenues, while MVNOs will cover annual numbering charges through their parent MNOs. The initial license term for MVNOs is set at 15 years, with an option for renewal.

The PTA developed the revised draft after soliciting feedback from industry stakeholders and has made it available on its website. The initial draft was published in June, inviting comments from stakeholders, which have been incorporated into the final framework.