850MHz/1800MHz Spectrum Valuation for PTA in Pakistan

Client’s Objective

Consultancy Services for a Market Assessment for Auction of Spectrum for Next Generation Mobile Services (NGMS) in Pakistan.

Approach

Through a comprehensive assessment of Pakistan’s telecom market in terms of uptake, profitability, competitiveness and consumer choice determine value of 2x10MHz blocks at 850 and 1800MHz.

Results

Evaluated the telecom market in Pakistan to determine market demands for spectrum and most suitable release/auction timeline through a detailed technical modelling;

Determined spectrum values based on international benchmarking adjusted to economic and market conditions of Pakistan while also considering Pakistan past auction outcomes;

Finalised base price range and potential market values for the two blocks under consideration based on a detailed economic/commercial modelling whilst also considering the values determined through benchmarking and past auctions;

Identified regulatory issues and recommended solutions to ensure a successful auction process.

Conclusion

Based on the recommendations, PTA successfully conducted the auction in 2017 with the outcome closely matching the projected spectrum values suggested.

Top-Level Activities

Valuation Methodology