Paktel

{{Short description|Defunct Pakistani cellular operator}} {{Infobox company | name = Paktel | predecessor = | logo = Paktel.jpg | logo_caption = {{urd|دل تو ایک ہے}} ''There's only one heart'' | type = Telecommunication operator | native_name = {{urd|پاکٹل}} | defunct = {{End date|2008|03|31}} | fate = Rebranded to [[Zong Pakistan|Zong]]<ref name="telecompaper.com">{{cite web|url=http://www.telecompaper.com/news/china-mobile-rebrands-paktel-as-zong--584747|title=China Mobile re-brands Paktel as Zong|work=telecompaper.com}}</ref> | genre = [[Subsidiary]] | foundation = 1989 | location_country = 68-E Jinnah Avenue, Blue Area, [[Islamabad]], [[Pakistan]] | successor = [[Zong Pakistan|Zong]] | industry = [[Telecommunications]] | products = Mobile telephony | key_people = | revenue = | operating_income = | net_income = | num_employees = | homepage = https://paktel.com }} '''Paktel''' ({{langx|ur|{{urd|پاکٹل}}}}) was a [[Cellular network|cellular network operator]] in Pakistan. It was granted a license to carry out [[cellular phone]] services in Pakistan and set up by [[Cable & Wireless plc|Cable & Wireless]]. It carried out [[Advanced Mobile Phone System|AMPS]] services until 2004 when the company switched to GSM technology.

Paktel offered only [[1G|mobile telephony service]] to its 2 million subscriber base. As of 2007, Paktel was ranked the fifth mobile player of Pakistani market owing to low subscriber base and market share.<ref name="gulfnews.com">{{cite web|url=http://gulfnews.com/business/telecoms/kuwait-s-mtc-considers-submitting-bid-for-paktel-1.270977|title=Kuwait's MTC considers submitting bid for Paktel|work=gulfnews.com|date=17 December 2006 }}</ref> After the completion of its acquisition by [[China Mobile]], Paktel was rebranded as [[Zong Pakistan]] on April 1, 2008.

==History== [[Cable & Wireless plc|Cable & Wireless]] and its local partner Hasan Associates (a major local team was consisting on Farooq Hasan, R A Zuberi, Shahid Mahmud, Syed Ahmed Ali, and Qazi Abdul Wahid & Dewan) launched the commercial service Paktel in 1990. Paktel was granted a license in early 1990 to operate a cellular telephone network throughout Pakistan. It was the first company granted a free license to carry out [[cellular phone]] services in Pakistan. It carried out [[Advanced Mobile Phone System|AMPS]] services until 2004.{{citation needed|date=September 2024}}

The Paktel Mediation and Billing System was developed by Syed Ahmed Ali, Nadeem Usmani, Wasay Farooqi, and Ali Korani. It was first mediation software in the region that had been developed locally, and also the first cellular billing system for the region. Millicom-owned [[Instaphon]]e merged as its competitor in the late 1990s and began to dominate the market. With the launch of [[Mobilink]] and its rapid success in 1998, both Instaphone and Paktel floundered and lost their dominant market share. It was followed by the acquisition of [[Cable & Wireless plc|Cable & Wireless]] owned Paktel by [[Millicom]], the majority owners of [[Instaphone]].{{citation needed|date=September 2024}}

In November 2000, [[Millicom]] acquired a 98.9% equity interest in Paktel. Millicom installed a new management team headed by John Tumelty, former CEO of Instaphone, and Chief financial officer David Ordman.{{citation needed|date=September 2024}}

In April 2001, Paktel launched prepaid services under the brand Tango. The manager of this brand was Amees Ahmad.<ref name="telecompaper.com1">{{cite web|url=http://www.telecompaper.com/news/valueadded-tango-from-paktel--454529|title=Value-added Tango from Paktel|work=telecompaper.com}}</ref>

In October 2002, Paktel was granted a modification to its license, allowing it to operate a GSM based network and the Frequency Allocation Board of Pakistan thereby awarded the necessary frequencies. Paktel was awarded additional 1800 MHz spectrum, increasing total spectrum for GSM network from 10 MHz to 13.6 MHz. After obtaining frequencies Paktel launched GSM network in October 2004.{{citation needed|date=September 2024}}

On October 23, 2004, Paktel agreed with [[Pakistan Telecommunication Authority]] to launch GSM network with immediate effect and renew their license for 15 years from October 23, 2004 for a license fee of $291,000,000.<ref>{{cite web |url=http://www.pta.gov.pk/index.php?cur_t=vtext&option=com_content&id=237&scid=146&Itemid=1 |title=Paktel Accepts $ 291 Million as Renewal Fee Company Permitted to Launch GSM Operation |website=www.pta.gov.pk |url-status=dead |archive-url=https://web.archive.org/web/20150418010611/http://www.pta.gov.pk/index.php?cur_t=vtext&option=com_content&id=237&scid=146&Itemid=1 |archive-date=2015-04-18}} </ref> This agreement was signed by the two parties on October 25, 2004. Paktel and the [[Pakistan Telecommunication Authority|PTA]] agreed delayed payment terms under which 50% of the license fee will be paid in installments over the first three years of the license. The second 50% of the license fee will be payable in ten yearly payments from 2008 to 2017.{{citation needed|date=September 2024}}

On March 31, 2005, Paktel held approximately 340,000 GSM subscribers and its network comprised 300 cell sites, covering about 45% of the population. By November 2005, Paktel had 1 million customer base and a market share of 9%, with subscriber count increasing at a rate of 100,000 per month.<ref name="zte.com.cn">{{cite web|url=http://wwwen.zte.com.cn/endata/magazine/ztetechnologies/2005year/no9/articles/200511/t20051129_161544.html|title=Pakistan: Major Mobile Network Deployment – ZTE Corporation|work=zte.com.cn}}</ref>

In November 2006, Millicom announced that it had decided to exit the Pakistani market. Pakistani authorities had refused to delay payment of a $29 million licence installment and had not given Paktel permanent access to part of the frequency spectrum. Announcing its pullout, Millicom said it decided against making significant investments in Pakistan because of tough market conditions. It had already sold [[Instaphone]] to a local telecom company ''Arfeen Group'' in October 2005 and was looking for potential buyers for Paktel.

Initially Kuwait based the then [[Zain Group|MTC]] showed an interest for buy-out.<ref name="gulfnews.com"/> But it was the [[China Mobile]] who won the bid.<ref>{{cite web|url=https://www.scmp.com/article/579218/china-mobile-makes-first-foray-abroad-paktel-deal|title=China Mobile makes first foray abroad with Paktel deal|work=South China Morning Post|date=23 January 2007 }}</ref><ref>{{cite news|url=https://www.reuters.com/article/paktel-chinamobile-idUSL2278866820070122|title=China Mobile to buy Paktel in first overseas deal|work=Reuters|date=22 January 2007 }}</ref>

[[File:Zong 4G1.jpg|Paktel was rebranded to [[Zong Pakistan|Zong]]|thumbnail]]

On January 22, 2007, Millicom International Cellular S.A. stated that it would sell its 88.86 percent stake in Paktel to [[China Mobile]] for $284 million, which includes the repayment of intercompany debt.<ref>{{cite web|url=https://www.telegeography.com/products/commsupdate/articles/2007/01/22/china-mobile-buys-millicoms-paktel/|title=China Mobile buys Millicom's Paktel|work=telegeography.com}}</ref> The sale implies an [[enterprise value]] for Paktel of $460 million, Millicom said in its press release. Merrill Lynch advised China Mobile on the transaction.

On 4 May 2007, Paktel Limited was renamed to China Mobile Pakistan.<ref>{{cite web | url = http://www.chinamobileltd.com/about.php?menu=6 | title = Paktel renamed CMPak | access-date = 2007-12-11 | publisher = China Mobile Limited | language = zh | archive-date = 2012-11-02 | archive-url = https://web.archive.org/web/20121102104939/http://www.chinamobileltd.com/about.php?menu=6 | url-status = dead }}</ref> On May 16, 2007 China Mobile announced that it had increased its stake in CMPak to 100%.<ref>{{cite web | url = http://www.ltcinternational.com/press-clippings/2007_05.php | title = May 2007 Archived Press Clippings : LTC International, Telecom Headlines and Industry News | access-date = 2007-12-11 | publisher = LTC International Inc. }}</ref>

China Mobile Pakistan continued to operator under Paktel brand until March 31, 2007. After acquisition, China Mobile Pakistan invested more than US$700 million in the telecom sector in Pakistan and US$800 million were further invested by the end of year 2008.

[[Pakistan Telecommunication Authority]] said that it might resolve the frequency issue with China Mobile, as it was one of the main reason for pullout by Millicom International Cellular S.A. According to the statistics from the Pakistan Telecommunication Authority, Paktel had 2.145 million customers at the end of February 2008.<ref name="telecompaper.com"/>

On April 1, 2008, Paktel was rebranded to [[Zong Pakistan|Zong]]. China Mobile Pakistan organised a launch event on April 5.<ref name="telecompaper.com"/>

==Network== Paktel's entire network that included network base stations, GSM core, SMS, microwave links, IT support, and transmission towers was based on GSM network infrastructure from [[ZTE]].<ref name="zte.com.cn"/> ZTE also provided Paktel consumers with missed call and welcome messages features at that time.<ref name="zte.com.cn"/>

===Radio frequency=== {| class="wikitable sortable" |+Frequencies used by Paktel |- ! Frequency !! Protocol !! Class |- | {{center|900 MHz}} || {{center|[[GSM]]}} || {{center|[[2G]]}} |- | {{center|1800 MHz}} || {{center|GSM}} || {{center|[[2G]]}} |}

===Number scheming=== Paktel used the following numbering schemes: {| class="wikitable sortable" |- ! Technology!! Scheme |- |{{center|[[Advanced Mobile Phone System|APMS]] later switched to [[GSM]]}} ||style="text-align:center;"|+92 303 N1N2N3N4N5N6N7 |- |{{center|[[GSM]] only}} ||style="text-align:center;"|+92 304 N1N2N3N4N5N6N7 |}

Where, 92 is the [[International Subscriber Dialling|ISD]] code for Pakistan and is required when dialling outside the country, 303 and 304 were prefixes for Paktel once [[Advanced Mobile Phone System|AMPS]] and [[GSM]] customers respectively allocated by [[Pakistan Telecommunication Authority]]. Omitting +92 would require 0 instead to represent local call, hence 0303 and 0304 were the general prefixes and N1N2N3N4N5N6N7 was the subscriber number. After being rebranded as Zong, the code was changed to 031x whereas 0303 and 0304 were taken over by Mobilink.<ref>[[List of mobile network operators in Pakistan]]</ref>

==Marketing== [[File:Dil To Eik Hai.png|right|thumb|Paktel identity: Because there's only one heart – ''Dil to aik hai'']] Paktel offered prepaid and postpaid plans. It was initially offering only postpaid services with [[Pakistani rupee|Rs.]] 5000/- as initial security deposit. The call data was used to be stored on magnetic tapes, sent to the [[United Kingdom]] for printing and bills were then dispatched to the customers after a delay of 45 days. This ensued in non-payments from many defaulters who fled after receiving large bills. The call rate was charged to both the caller and the receiver alike. In April 2001, the prepaid brand ''Tango'' was launched under the management of Amees Ahmad.<ref name="telecompaper.com1"/>

Paktel had customer service centres in major cities and country-wide network of franchises further backed by retail channels.

Paktel was the first company to waive off national roaming and incoming calls charges to compete with the rival [[Mobilink]] and [[Ufone]]. Later it uncovered another offer, the country's first offer of its kind – free credit on receiving incoming calls per minute basis. It came up with the slogan ''Call Suno Balance Barhao; Baqi Sab Bhool Jao'' (''lit.'' Listen to the call increase your credit; forget the rest – {{langx|ur|{{urd|کال سنو بیلنس بڑھاؤ، باقی سب بھول جاؤ}}}}) {{cite AV media | people=RED Communication Arts | title=[[Paktel#External links|Paktel – Call Suno Balance Barhao]] | location=Karachi| publisher=Paktel}}

==See also== * [[Zong Pakistan|Zong]] * [[List of mobile network operators in Pakistan]]

==References== {{reflist|2}}

==External links== * Official site [https://web.archive.org/web/20081007092207/http://www.paktel.com/] * Millicom International Cellular S.A. Press Release for the sale of Paktel Ltd. [https://web.archive.org/web/20070128124706/http://micc.client.shareholder.com/downloads/070121Paktelsale.pdf] * {{Vimeo|id=86586392|title=Paktel – Call Suno Balance Barhao}}

[[Category:China Mobile]] [[Category:Defunct mobile phone companies of Pakistan]] [[Category:2008 mergers and acquisitions]] [[Category:Mergers and acquisitions of Pakistani companies]]