By Staff Reporter
ISLAMABAD: Pakistan is on the cusp of a high-speed internet revolution as the Pakistan Telecommunication Authority (PTA) finalizes preparations to introduce satellite-based internet services, with at least five global players eyeing entry into the South Asian market, Dawn newspaper reported on Thursday.
Yet, regulatory bottlenecks and legal challenges threaten to delay the rollout, potentially stalling significant foreign investment and the promise of enhanced connectivity in a nation of over 240 million. The PTA’s groundwork for launching low earth orbit (LEO) satellite internet services is nearly complete, but a critical hurdle remains: registration with the Pakistan Space Activities Regulatory Board (PSARB).
Until the board finalizes its licensing regime, companies like Elon Musk’s Starlink, Shanghai Spacecom Satellite Technology Limited (SSST), Eutelsat OneWeb, Amazon’s Project Kuiper, and Canada’s Telesat are unable to move forward, despite having completed their preparatory work.
A senior PSARB official, speaking to local outlet Dawn, said consultations with stakeholders were ongoing but offered no clear timeline for finalizing the registration process for LEO providers. “The draft registration process is still under discussion,” the official said, signaling further delays. The PTA’s draft policy for satellite internet providers, which was expected to be approved by the end of September, is also at risk of being derailed.
A recent court order declaring the appointment of the PTA chairman illegal has cast uncertainty over the policy’s formal notification, which requires sign-off from the chairman and two other board members. The legal wrangle could push back the timeline for a service that IT Minister Shaza Fatima Khawaja had previously said would launch by November or December.
Pakistan’s push for satellite internet comes as global demand for high-speed, low-latency connectivity surges, particularly in underserved regions. LEO satellites, orbiting below 2,000 kilometers, promise faster data transmission compared with traditional geostationary orbit (GSO) satellites, which operate at around 35,000 kilometers. The technology is seen as a game-changer for bridging Pakistan’s digital divide, particularly in remote areas where terrestrial infrastructure is limited. The five companies eyeing the market have expressed strong interest, with sources indicating they’ve completed initial groundwork.
However, a senior executive from one of the aspiring providers told Dawn that while PSARB registration is a critical first step, building the necessary administrative and network infrastructure to serve end-users will take additional time. “It’s not just about registration,” the executive said. “Establishing the operational framework is a significant undertaking.”
The PTA’s draft policy, titled “Fixed Satellite Service — Licence,” lays out a stringent framework for LEO providers. Companies will be required to comply promptly with requests to block websites, web content, or other services as directed by the PTA. Additionally, all user data must be stored locally, and providers are barred from granting remote operational control or network access to any foreign entity, government, or individual.
To enforce these requirements, LEO providers must install Fixed Gateway Earth Stations within Pakistan to route all internet traffic. This infrastructure will serve as the backbone for data control and content monitoring, though the PTA’s track record of struggling to regulate content on platforms like X and YouTube raises questions about its ability to oversee satellite-based services.
A senior PTA official described the technology to Dawn: “The LEO companies provide internet directly to customers at a fixed point through satellites, like any Wi-Fi system — but this is fiberless.” The policy also allows LEO providers to offer “Backhaul Services” to cellular mobile operators, enabling data transmission from cell towers to core networks, particularly in remote areas.
“This will allow telcos to provide data services in very remote areas also, to their customers, and the LEO companies will not sell mobile-based data to the customers,” the official added.
Security clearance remains a key prerequisite for market entry, according to officials from the IT ministry. The emphasis on national security underscores Pakistan’s cautious approach to foreign operators, particularly in light of past controversies over data privacy and content regulation.
Financially, the policy imposes significant costs on providers. Companies will face an initial license fee of $500,000 and an ongoing obligation to contribute 1.5% of their annual gross revenue to the Universal Service Fund (USF), which supports telecom development in underserved areas.
To address concerns about potential interference with GSO satellites and other wireless networks, the policy establishes a “Satellite Interference Reporting and Resolution System” (SIRRS). The Frequency Allocation Board (FAB), Pakistan’s representative at the International Telecommunication Union (ITU), will handle complaints and reporting related to international interference affecting space services.
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