Two additional local businesses, HG Telecommunications (Pvt.) Ltd. and Zeta Technologies (Pvt.) Ltd. has recently been awarded a Long Distance International (LDI) license by the Pakistan Telecommunication Authority (PTA). For the installation of a 1,500-kilometer optical fiber cable, these businesses have satisfied all of the statutory requirements, paid the required license fee of $0.5 million, and provided bank guarantees in the amount of $10 million.
In order for businesses to be authorized to provide international long-distance telecommunication services within Pakistan, they must first obtain an LDI license, which stands for “Long Distance International.” This license is issued by the Pakistan Telecommunication Authority (PTA). Because of the company’s possession of the license, it is now able to perform the duties of an international gateway for the transmission of voice and data traffic between Pakistan and other countries. Additionally, international private leased circuits, also known as IPLCs, as well as international bandwidth services may be established and operated under the license. The PTA has established LDI license obligations and regulations linked to network infrastructure and service quality in order to guarantee that customers receive high-quality services. This is done in order to guarantee that customers receive high-quality services.
Two Local Companies Receive LDI License PTA
The country now has a total of 19 LDI operators, thanks to the addition of these two new companies, which brings the total number of existing companies like PTCL and NTC into the mix as well. Because HG Telecom and Zeta Technologies are already locally registered with the Securities and Exchange Commission of Pakistan (SECP), obtaining clearance for their registration was not necessary. However, approval from the Ministry of the Interior is required for any foreign companies or companies with directors located outside of the country.
According to the representatives of the PTA, the new license comes with increased Roll Out obligations in regard to the Quality-of-Service Standards and Optical Fiber Networks. This new development will help pave the way for the adoption of cutting-edge technology not only in Pakistan’s major cities but also in Pakistan’s smaller towns and cities all over the country.
It is important to keep in mind that in March 2006, the Cabinet Committee on Regulatory Bodies (CCRB) put a seven-year hold on the issuance of Mobile, Local Loop (LL), and LDI licenses by imposing a watch hold on the process. This watch hold was lifted on March 22, 2013, and as a consequence, China Mobile Pakistan was given a license to operate as an LDI (CMPak). However, the issuance of LDI licenses was halted after it was determined that a license had been issued to CMPak.
The PTA resumed issuing LDI licenses just the year before, following a hiatus of eight years, and Cyber Internet Service Private Limited became the first business to do so on June 14, 2022, making it the eighth anniversary of the PTA’s decision to resume issuing them. The expansion of the number of LDI operators in the country as a result of the granting of licenses to HG Telecom and Zeta Technologies is likely to have a positive impact on the expansion and development of the telecommunications industry in Pakistan.
