3G or 4G: With new policy directive, uncertainty about technology removed

Operator will have a choice to bring third or fourth generation technology.


Next-generation mobile services offer 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.

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)

Muhammad Hamza | 10 years ago | Reply

@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?

JK | 10 years ago | Reply

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.

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