Ericsson boasts 67 years of exceptional partnerships with customers and the industry's ecosystem. From pioneering the first crossbar switch to launching the first mobile network, we have strategically developed products and solutions for both operators and the defense industry. Today, our services in Pakistan range from network modernization to advancing digital money initiatives.
Enhancing connectivity, skills, and safety for a Digital-Ready future
Digital Pakistan is a government initiative to grow the knowledge-based economy and drive socioeconomic growth through digital technologies. It aims to enhance connectivity, improve infrastructure, invest in digital skills, and promote innovation. Various policies have been implemented to support these goals and guide Pakistan toward becoming a digital nation. In our recent meetings, we've discussed how Ericsson's expertise and knowledge can significantly contribute to the 5G readiness of Digital Pakistan. Beyond offering products and solutions, we can make a substantial impact by enhancing ICT skills and sharing best practices in health and safety, both of which are vital in the complex and dynamic telecommunications industry. Telecommunication infrastructure in urban areas must adhere to safety standards to prevent catastrophic public consequences.
Additionally, we are excited to further our collaborations and broaden our initiatives to enhance digital skills in society, focusing on both academic and professional development to build a digital-ready workforce. With limited formal sector jobs, focus should shift to skill development and entrepreneurship. Government initiatives can equip youth to launch small businesses, reducing unemployment. Expanding digital services in health and finance is vital for improving lives, especially with Pakistan's 170 million young people aged 18 to 30 offering a demographic advantage. This could transform the country into a financial powerhouse.
Transitioning Pakistan from 2G to 4G and preparing for 5G
In Pakistan, 4G is currently the leading technology, comprising two-thirds of all mobile connections, yet transitioning legacy 2G users to 4G is a key priority for the government and industry, according to the GSMA intelligence, the mobile economy Asia Pacific 2024, GSMA report. Another important part is to expand 4G networks for the underserved areas and to improve the affordability of 4G-enabled devices. This is critical to connecting more users. While advancing to 5G, it will require investments, improved services, clear regulations, and effective implementation of the right-of-way policy for fiber network deployment. The mobile industry is essential for driving Digital Pakistan's vision, but its financial sustainability is crucial. In the same report, it is underlining that with ARPU under $1—far below the global average of $8—urgent policy reforms are needed to ensure the sector's growth and stability.
Expanding coverage beyond the initial baseline footprint can lead to substantial economic growth, particularly through the adoption of mid-band spectrum technologies in various industries. This growth is evident in the findings of a study conducted by Ericsson and Analysys Mason, which examined the advantages of 5G roll-out*. The study focused on consumer surplus generated by 5G-based Mobile Broadband (MBB) and Fixed Wireless Access (FWA), alongside the GDP benefits for industries, as well as the associated environmental and social benefits. In the analysis we have seen a significant portion of the GDP gains is expected to stem from the smart rural clusters in Pakistan, driven by the substantial contributions of the agriculture and mining sectors to the country's overall economic landscape. These sectors stand to benefit greatly from enhanced connectivity and technological advancements provided by extended 5G coverage, which can improve operational efficiency, increase productivity, and foster innovation.
However, to fully harness the advantages of 5G, it's crucial to establish a supportive policy and regulatory framework. This framework should provide predictable, long-term access to sufficient harmonized spectrum across low, mid, and high bands at a cost that encourages operators to invest. Adopting a consultative approach—engaging industry stakeholders, especially licensees—in crafting a regulatory environment that incentivizes infrastructure investment, will be key to maximizing the value of 5G deployment in Pakistan
Therefore, immediate action is necessary to ensure future wealth growth for societies and businesses in the digital age. The Ericsson Mobility Report Business Review 2024 highlights that, amid inflation challenges, service providers must leverage 5G capabilities to achieve profitable growth. The report shows that global mobile service revenue has grown by 4.6% annually over the past three years, totaling about 15%. The deployment and adoption of 5G worldwide are driving positive momentum and opening new services and business opportunities. As Ericsson, we have our own secret recipe for service providers to drive profitable growth and keep exploring innovative ways to sell mobile data services, together with the wider ecosystem of application developers, device manufacturers and system integrators.
We are dedicated to supporting Digital Pakistan by delivering essential infrastructure and technological solutions at this pivotal time in its journey towards a future where safe, seamless connectivity is enabled by the limitless potential of 5G technology.
*by 5G roll-out scenario1 (2020–35) and by cluster2
1Sectorial (economic) benefits are expected to be less relevant to the deployment of an initial eMBB network, and are therefore not considered in the baseline scenario;
2 FWA and eMBB use cases are not assumed to generate any direct economic benefits
Read more:
Explore the Ericsson Mobility Report November 2024
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Ensuring zero footprint 5G with Ericsson
