3.

Wireless local loop sector:

Individual analysis:
Wireless local loop sector of telecom industry is also very important. This sector introduced
after deregulation of local loop sector. Wireless local loop sector shown rapid growth in 2003.
There is ten major companies (PTCL, Telecard, world card, NTC, wateen, sharp/qubee, wi tribe,
link Dot Net, naya tel) which comes under wireless local loop sector.

PTCL shows more progress in wireless local loop sector. In 2004, PTCL annual wireless local loop
subscribers are 163681. But in 2005 its growth was declining due to the competition in market
but after 2006 PTCL shows progress onward. But in 2012, its progress was declining again and
now PTCL have just 249000 annual wireless local loop subscribers in 2015.wateen is also comes
late in WLL sector but it shows consistent progress in it. In 2007, wateen have 20289 annual
wireless local loop subscribers. It shows consistently progress till now. In 2015, wateen have
wateen have 80597 subscribers. Another company is witribe which shows growth in wireless
local local sector. It also tries hard to compete with competitors. In 2015 witribe have 160880
annual wireless local loop subscribers. There are many others companies like telecard, mytel,
world card, qubee, link dot net, naya tel but they are still struggling.

Comparative analysis:

In comparative analysis, PTCL is the only leading company which shows still progress as
compare to the all other companies. From 2006-2012, ptcl growth increase but after 2012 it’s
complain from customers come because PTCL infrastructure going to be old and they not
provide best service to their customers so many people switch to other wireless local loop
networks(annual report 2015 PTA). Now PTCL is able to maintain its annual wireless local loop
subscribers at 249000 in 2015. The second fastest growing network is wateen which
consistently grow and main a second position in wireless local loop sector with 265313 annual
wireless local loop subscribers in 2015. Another company is witribe which also compete well
with their competitors and able to main its growth on 160880 annual wireless local loop
subscribers in 2015. The rest of other companies also try to compete with competitors but still
they don’t get more market share as PTCL, Wateen, witribe.

Relative Analysis:

In relative analysis, PTCL is the company which grows according to the industry growth. But in
2006-2012, PTCL was not able to maintain its growth because high competition comes into the
market. Another reason is that PTCL customer service decrease as the years goes on . PTCL have
no new infrastructure so its customers switch to another networks so now PTCL have 249000
annual wireless local loop subscribers in 2015. Another companies are wateen and witribe who
grow with the industry but far less. As wateen and witribe have 265313, 160880 annual
wireless local loop subscribers in 2015. The rest of other companies like telecard, mytel, world
card, qubee, link dot net, naya tel are still serviving and they not able to grow with the industry.

4. Internet service sector: (Broadband)

There is another sector in telecom industry which is broadband sector. Pakistan broadband
market growth is very slow. The main reason for low rate in growth is the cost of service which
provided by the broadband. There are many technologies come into that sector which try to
increase their market share.

Individual analysis:

Mobile BB is the company which growth increase consistently. In 2015, mobile BB have
26193291 broadband subscriber by technology. Mobile BB come late into the markt but its
provid best service for their customers. The DSL is the second fastest growing company in
broadband sector. In 2005-06, DSL have 26611 broadband subscriber technology. DSL
consistently grows until now. In feb 2016 DSL have 1516938 broadband subscribers. The
another technology is EvDo which consistently grow and compete well with other technologies.
EvDo have 1331976 broadband subscribers by technology. The rest of others technologies like
Wimax, HFC, FFTH and others technologies also try to increase their market growth but they
are still far behind to their competitors.

Comparative analysis:

In comparative analysis, Mobile BB is the market leader because it gain more market share as
compare to others and now they have more users. in 2015 mobile BB have 26193291
broadband subscriber by technology which shows that they have more user as compare to their
competitors. The second technology is DSl which have 1516938 annual broadband subscribers.
DSL also have good growth rate in market and as its customers switch to other technology so
they make new strategy to overcome it like PTCL has also dropped copper loop charges for DSL
service providers from Rs. 217 to Rs. 150 per month. This reduction in cost shows that they will
able to regain their market growth and subscribers(industry analysis 2007).the third technology
is EvDo which also compete well with DSL. EvDo have 1331976 broadbands subscribers in 2016.
The another technologies also come into market like Wimax, HFC, FFTH and others
technologies but they are far behind then from their competitior and need to make new
strategy to overcome gap between their compettors.
Relative analysis:

In relative analysis, Mobile BB is the most profitable technology in internet service sector but
growth according to the industry growth seems low. The broad band service come since 5
6years but the main reson for broad band service low growth is to the cost which is quiet high
so its customer can switch to other substitute and use different services. Mobile BB have
26193291 broadband subscriber by technology in feb 2016. In 2016, the another technologies
are DSL(1516938) and EvDo(1331976) which have reasonable growth as compare to the
industry growth. The rest of ll other internet services are in surviving phase because they have
no many subscriber. This industry also not show fast progress because of price offer and
network is also slow so now they make new strategy to overcome this by DSL reduction in cost
strategy also affect growth.

Payphone service sector:

A Payphone service was introduced in Pakistan in 1990. There are three kinds of payphone
services like local line, wireless local loop and cellular PCOs. Telecard was the first leader who
introduced PCO service in Pakistan. PCOs growth was very good before 2005. In2005 PCOs
growth is 26.4% but when new technologies come so it faces many difficulties to make it
profitable. After 2006 payphone service growth was declining. In 2008 it growth was 9-7%.
Pakistan telecommunication authority allows mobile companies to establish their PCOs
(industry analysis 2007). Majority of population now uses wireless PCOs as trends changes.
Then mobilink also launch PCOs service and claim that it has 57936 PCOs. But still payphone
industry going to be declining and does not get any big success. As in 2014-2015, card
payphone in Pakistan growth have (62.78) % which is quiet less and needed to be progress
urgently.
Foreign Direct investment: (FDI)

Foreign direct investment plays an important role in the development of economic growth of
Pakistan. In telecom sector PTA make friendly environment for investors to invest in this sector
by awarding licenses in fair way. There are many fluctuations comes from 2004 to 2015. In
2005-06, telecom sector has received US$1905 billion FDI. It was the sector that has big
investment where telecom sector has 54% share in total FDI. The FDI in telecom sector increase
till 2007 but after 2008 FDI in telecom sector fluctuating. As the situation is change in Pakistan it
also affect the FDI in telecom sector. Mobilink also plan to invest US$ 500 million in 2007-08 for
improving and expanding its quality of service (industry analysis 2007). In 2011-12, FDI was
declining as it has received US$(361) billion FDI and telecom sector have just (27) % share which
was very low. After recover it now telecom sector receive US$121 billion FDI and it has 22 %
telecom share.

Telecom revenues:

Cellular sector gain more revenues as compare to the other sector.

The revenue in cellular sector was increase before 2014 but in 2014-15, cellular sector able to
maintain RS317016revenue. Local loop sector also generate revenue but it was not as
profitable as cellular sector. Local loop sector was fluctuating. In 2014-15, local loop sector gain
RS 80813 million revenue. LDI also declining and in 2015 LDI have 40765 million revenue.
Wireless local loop is also not able to generate more revenue as competition increase. Now
WLL have 3874 million.

Telecom Investment:

As the trends changes, cellular sector was going to be more successful and people prefer cell
phone as compare to Local loop, LDI, and WLL. In 2003-04 cellular sector have 666 investments
and it increase onward but in 2010 the investment in telecom sector was decrease and it affects
the all industry so in 2011 cellular sector investment was decrease by 358.6. After then cellular
sector make new technology and techniques to increase its investment. In 2014-15 cellular
sector able to maintain its investment on 977.6. but the other sectors like LDI, LL, WLL have 12-
2, 3.9 and 7.2 investment which is very low because people find it more easy to use cell phone
that is why it affect other sector investment.

Employment opportunity in Telecom Sector:

As the telecom industry grows the job opportunities also find in telecom industry. Now there
are large employment opportunity provides for people like civil work for installation of towers,
support service providers, SIM and handset retailers etc.
 Conclusion

Telecom industry is the fastest growing sector in the Pakistan. It shows many development and
benefit to their stakeholders. Pakistan telecommunication authority plays an important role in
developing new technology to make it easy for people to connect worldwide. Telecom sector is
contributing 2% in GDP. There is large level of growth seen in cellular sector while fixed line and
wireless sector shows slow growth and they take time to increase growth in telecom industry.
The more revenue and investment done form cellular sector as compare to LDI, LL, WLL sectors.
There is also employment opportunities provide in telecom industry sector which help people
to work better in telecom industry.