KARACHI:
With the federal government unable to roll out third-generation (3G) mobile services for years, cellular subscribers in Pakistan had been wondering as to why the government was hell-bent on introducing over a decade-old technology when the world was moving towards more advanced services – 4G and Long Term Evolution (LTE), for example.
The uncertainty is finally over. Pakistan, as per revised policy directive issued by the Ministry of IT and Telecommunication, has decided to allocate 30 megahertz (MHz) paired spectrum in the 1900-2100 MHz band for next-generation mobile networks. The spectrum will be technology neutral.
Technology neutral means that the operators can deploy the best technology now and can have the most modern technology afterwards, according to experts.
Next-generation mobile services offer high-speed mobile (portable) broadband connectivity to cellular consumers. In other words, the subscribers can take a wide range of data services, such as text-based mobile applications, video calling and live streaming at enormous pace, thanks to the high data transfer rates these services offer.
It is because of the high-speed mobile internet that data usage is increasing faster than voice in countries where 3G and 4G services are already in place.
The spectrum auction is considered to be the most preferred method to proliferate next-generation mobile technology.
By auctioning a spectrum, governments sell rights (licences) to telecommunication companies for transmitting signals over specific bands – 1900-2100 megahertz in the current case – of electromagnetic spectrum.
In other words, the spectrum auction means privatisation of public airways and a way for the government to allocate scarce resources of frequency spectrum and earn revenues in the process. The companies acquiring the rights get return on their investment by selling services to cellular subscribers while the latter benefits from the proliferation of technology by accessing services, such as e-education, e-governance, e-health to name a few.
While putting the spectrum for auction, the seller – the government in this case – sets a base or reserve price. The base price allows the seller to set a low starting price to generate interest and start bidding, and protects him from having to sell the spectrum at a very low price.
However, the government, in the current case, will determine the base price for the spectrum based on recommendations of consultants, who will be appointed in a couple of months. The consultants will also decide the number and size of the blocks in the proposed 30MHz spectrum.
As per the new policy directive, dated October 7, the allocation will be technology neutral and usable for technologies standardised for 3G and advanced-generation services. The auction is expected to be completed by March 2014 while the licence will be issued for 15 years.
“It is a good decision by the government to make it [spectrum auction] technology neutral,” said Parvez Iftikhar, former CEO of Universal Services Fund who also works as an information and communication technology consultant in various countries. “This will be up to the operator whether he wants to launch 3G or 4G,” he said.
Iftikhar, however, stated that 1900-2100 MHz band, the one to be auctioned, is most famous for 3G services – an indication that the country will initially receive 3G technology. The expert suggested that the next step should be to reform and put on auction 900-1800 MHz band – a famous band for 4G services.
Published in The Express Tribune, October 14th, 2013.
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COMMENTS (8)
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@JK:
You are correct in specifying the theoretical 2x2 MIMO DL. However, my reply was based on a more practical experience/case study. Because there are many other factors that need to be taken into account. Further, speeds can be quadrupled upto 299Mbps by 4x4 MIMO theorectically, But then the questino would be this: Will our operators spend enough on 1) new MRFUs or RFUs with built in MIMO capapbilities? 2) Will our operators simply buy additional MRFUs or RFUs to create MIMO capabilites with the pre-existing ones (using certain techniques)? And finally, when they do go with LTE (which is not classified by ITU-R and 3GPP as True 4G, but LTE-A is), will they spend enough on acquiring licenses for the active number of subscribers in one cell?. Either case the investment comes with a hefty price tag after the license since Pakistan is not a small country. This leads me to worry whether our operators will get a return in time before there credit radting is downgraded a notch or two?
Guys for your information correction theoretical limit for MIMO 2X2 System of LTE with 5 MHz band is 35 Mbps and with 10 Mhz is 70 Mbps approx. Operator could enhance MIMO system for increasing datarates in future with same frequency chunk. I think its better to switch over to LTE network directly because life of 3G is already over. 2G is from 1995 to 2005, 3G from 2005 to 2015 and 4G from 2015 to 2025. Operators should move to LTE for better return on investments and services.
Apart from this, 30 MHz will be additional spectrum for operators which are already in market and using already 5 Mhz chunk.
@MUHAMMAD Hamza: Then let them move on to the latest technology
@Khan: Mobile Operators can defintely move to LTE without having to invest in the 3G, HSPA, HSPA+ infrastructure, due to the fact that LTE/LTE-A is a completely new technology with a simplified architecture. therefore the infrasture of an operator will need minimum hardware investment from radio to the core and more software investment.
However, here is the kicker. If total bandwisth beign auctioned is 30Mhz, then that means blocks will be divided into 5Mhz each. Operators will need to bid for this. For an operator to provide LTE downlink speeds to 'upto' 100Mbps, then that operator needs at least 20MHz to 25Mhz bandwidth to do so. If an operator secures 15MHz or less, then the average dowblink speed that a user can experience (upto 50 Mbps) can also be provided by the operator by investing in HSPA+ technologies (new addition to hardware and software licenses in the newtork). Comparatively, LTE is still a more expensive technology compared to HSPA and HSPA+. The commercail rollout of LTE began in December 2009 in Norwary and Sweden with only a few sites, and more populated coverage began from the end of 2010.
Having said that bangladesh swicthed on it's 3G network this month, and If you heard of a country called Mongolia....they will acutioning LTE license later this month as well ;)
Mr. Khan, we can move directly to LTE as the infrastructure and architecture is different to both GSM and UMTS. We will need to add more hardware and software to the existing 2G network to move to HSPA or HSPA+.
But here is the kicker. They will get block from 30MHz. This much bandwidth is useless for LTE, if blocks are given to all six from this. In LTE, to experience downlink speeds of upto 100Mbps depends of the allocated band with in the spectrum is at least 20 to 25 MHz for one operator. If it's only 15MHz then the downlink speed of up to 50 Mbos can also be achieved in HSPA+ technologies (3G+).
The question is do we need 3G infrastructure to have 4G or we can straight away go to 4G, the answer is we can straight away go to 4G without having 3G.
By the time you implement 3G, it will be time for 4G
Make money with 3G then introduce 4G, thats pakistani politicians, as usual