KARACHI: Pakistan Telecommunication Company Limited (PTCL) and World Call have lost 109,853 and 2,360 subscribers, respectively, in basic telephony services during the fiscal year 2009-10. Annual report of the Pakistan Telecommunication Authority (PTA) for FY09-10 disclosed that local loop segment underwent a dip of one percent in local loop subscribers.
However, PTCL still retains the virtual monopoly in both fixed and wireless local loop services as the company has maximum presence across the country in both the networks.
PTCL, with 100 percent coverage across the country, is the sole operator in Pakistan; however, the issue of quality service still persists. PTA has issued a show-cause notice to PTCL for the first time in the country’s history subject to its poor quality service. Furthermore, the report stated that PTCL could not expand fixed line users as per expectations, even though huge opportunities were still available. The company currently holds 74 percent of the market share; however it has dwindled two percent in a year.
Fresh operators – Telecard and World Call hold a 10 percent market share. A glance on the annual growth shows that Wateen grabbed maximum subscribers as it held a two percent market share in 2009-10 compared to one percent share in the previous year. Small operators – World Call, Nayatell, Telecard, Link Direct and Brain – also added new subscribers to their networks.
Currently, total basic teledensity including fixed and wireless stands at 3.68 percent. The annual growth has slightly declined in the FY 2009-10 as fixed teledensity has reduced at a faster pace since 2007 and stands at 2.08 percent. Wireless teledensity exhibits a growing trend and stands at 1.6 percent. Fixed local loop has a total market share of 56 percent, whereas wireless local loop’s share stands at 44 percent at the end of reported year.
Comparison of current figures with those of 2006-07 depicts a completely different picture as fixed local loop held a market share of 85 percent and wireless local loop had a meager 15 percent.
It is pertinent to note that local loop service generated revenue of Rs 61.46 billion, while wireless local loop generated Rs 2.8 billion in 2009-10.
Out of 6.08 million local loop subscribers, 3.42 million use wireless local loop services. The number of local loop subscribers including fixed and wireless stood at 6.14 million in 2008-09.
Wireless local loop services are swiftly making inroads alongside fixed networks and are expected to outgrow the fixed local loop service, as in just three years average growth rate has boosted over 160 percent. A province wise break-up shows that Punjab, with 3.3 million subscribers, has the highest local loop subscribers followed by Sindh with 1.9 million subscribers.
Balochistan and Khyber Pakhtunkhwa have 0.19 million and 0.7 million subscribers, respectively.
