Risk of Disruption to Mobile Networks, Internet, ATMs, and Satellite Services

A dispute between the government and LDI operators over license renewals and outstanding dues remains unresolved, leading to concerns about disruptions to telecommunications services in the country. The Pakistan Telecommunication Authority (PTA) has issued a written warning to the Ministry of IT regarding potential impacts.

According to PTA documents, failure to renew LDI licenses could affect 50% of mobile traffic, leading to mobile towers shutting down. Internet traffic might decrease by 10%, and there is a risk of 40% of bank ATMs going offline. Satellite services could also be impacted.

If LDI companies’ licenses are not renewed, services will need to be shifted to other operators, potentially affecting global mobile and internet connections. Communication links for government offices in remote areas might also be disrupted. The LDI companies collectively owe a total of 76 billion rupees, which they are required to pay to the APC and USF.

On the other hand, clarifying the potential impact on ATMs, the PTA stated that LDI networks have not been deactivated or shut down. The PTA assured that there are no significant indications of disruption to the IT or financial sectors, including ATM networks. The PTA also clarified that expired LDI licenses have not led to the suspension or shutdown of operations.

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