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PTCL cuts bandwidth rates by 50% to attract investment

February 2, 2005. Daily Times

By Imran Ayub



KARACHI: Pakistan Telecommunication Company Limited (PTCL) has cut bandwidth rates by almost 50 percent for technology firms – a move believed to attract foreign investment particularly in call centres.

The state-owned telecom decided to revise bandwidth tariff structure after ministry of IT and telecom announced broadband policy last month to spread affordable high speed Internet access and create enabling environment for efficient business transactions, a senior official said.

“The PTCL has cut its bandwidth rates from $3,950 per 2 mega bites per month to $2,000,” the official said. “The new rates would be effective from January 1. The decision is in line with government plans to encourage investors and grow Internet subscriber base across the country.”

He said the PTCL has also cut monthly copper rental for digital subscriber linkage (DSL) to Rs 250 per month from Rs 771 and similarly monthly primary rate interface (PRI) has also been brought down by 50 percent and domestic bandwidth rates by 25 percent of the existing prices to facilitate peering services.

The federal cabinet last month approved a broadband policy in a bid to increase Internet subscriber base and provide high-speed connectivity across the country.

DSL based broadband is a modern technology that converts existing twisted pair telephone lines into access path for high-speed communication of various sorts. By using the technology regular telephone line can be converted into a high-speed broadband digital link.

The PTCL official said the recent cut in bandwidth rates would also attract investors to set up call centres – the fastest growing part of the IT industry in South Asia.

Significant growth: “Pakistan has witnessed over 50 percent growth in call centres during last one year,” said the official. “The enhanced bandwidth tariff was much demanded by the call centre operators and following new rates announcement the PTCL is expecting to register rapid growth in its bandwidth sales and services.”


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