Key Takeaways
- PTML has challenged the Pakistan Telecommunication Authority’s (PTA) order to suspend its digital telecom service ONIC.
- The PTA ruled that ONIC operates under the Mobile Virtual Network Operator (MVNO) framework and requires separate regulatory authorization.
- PTML contests the regulator’s determination and seeks to continue operations during a three-month transition period.
Pakistan Telecom Mobile Limited (PTML) has challenged the Pakistan Telecommunication Authority’s (PTA) order to suspend its digital telecom service ONIC, taking the dispute to court.
The PTA had ordered PTML to immediately stop new sales, activations, SIM/eSIM issuance, subscriptions, marketing, and commercial operations of ONIC, as the service was deemed to fall within the MVNO framework and required regulatory authorization.
PTML has contested the decision, arguing that ONIC is merely its own digital brand operating under its existing mobile network operator (MNO) license, not an MVNO-type proposition.
The regulatory order allows PTML three months exclusively to migrate existing ONIC subscribers to PTML to prevent service disruption, and requires the company to submit a comprehensive compliance report within seven working days.
The PTA’s decision was based on the commercial and operational arrangements of ONIC, which it noted exhibited the essential characteristics of an MVNO under the 2025 policy framework.
The Authority highlighted that while ONIC is a registered PTML brand and uses its network, spectrum, and numbering resources, it operates through customised packages, separate customer relationship management (CRM) and billing systems, dedicated digital platforms, and customer-care arrangements.
The PTA also pointed to the Build-Operate Services Agreement (BOSA), under which a separate entity, DTMS, receives 55 percent of relevant revenue during the initial three years, with its share declining subsequently.
The dispute dates back to June 2023, when PTML notified the PTA of its intention to introduce ONIC as an app-based digital telecom service targeting consumers in Karachi, Lahore, Islamabad, Rawalpindi, and Faisalabad.
In August 2023, the regulator directed PTML not to launch the service until complete information had been provided and evaluated, expressing concern that ONIC’s market presentation could create confusion about its relationship with a licensed cellular operator.
