Telecom operators, Grameenphone, and Robi Axiata commercially launched pursuit of next-generation (5G) technology while the current generation (4G) network remains incomplete and unreliable.
On September 1, as telecom operators Robi Axiata and Grameenphone (GP) commercially launched 5G services in select areas. Robi became the first to switch on 5G, activating services in Dhaka's Fakirapul, Moghbazar Chowrasta, parts of Dhaka University, Khulshi in Chattogram, and Sagor Dighir Par in Sylhet. Grameenphone announced through its official Facebook page that it had rolled out 5G across all eight divisional headquarters.
A Telecom experts told The Daily Observer that the vast majority of users across the country continue to experience poor call quality, slow data speeds, and dropped connections on the 4G network.
Despite the apparent contradiction, there are several strategic reasons why telecom operators like Grameenphone and Robi Axiata would commercially launch 5G now, he added.
Grameenphone, and Robi Axiata the 'first' to launch 5G is a powerful marketing tool. It projects an image of being a technological leader and innovator, which can attract high-value customers and improve brand perception.
The 'officials' mentioned likely refer to government regulators or critics within the industry. Their concern would be that national connectivity goals are not being met. A country's digital economy foundation is built on widespread and reliable 4G coverage. Launching 5G before achieving this is like building a fancy rooftop terrace before fixing the leaky foundation of the house.
The commercial launch of 5G by Grameenphone and Robi Axiata is a strategically rational move from a business competition standpoint. However, from a public welfare and national development perspective, it highlights a critical imbalance.
Bangladesh Telecommunication Regulatory Commission (BTRC) survey over a number of years found that the operators failed to maintain the standard 4G speed of 7 mbps. Complaints have also piled up with the regulator over call drops, voice breaking up and delays in connecting calls.
The four mobile phone operators bought 190 megahertz (MHz) of spectrum for $1.23 billion or Tk 10,645 crore on March 31 in 2022, without ensuring 4G networks across the country.
The fallen Awami League government offered a comparatively very lower price and a big amount of radio spectrum, which is pivotal for the operators to deliver a better user experience.
Up for sale was a total of 220 MHz spectrum in 2,300 MHz and 2,600 MHz bands at a base rate of $6 million per MHz. The remaining 30 MHz spectrum in 2,300 band remained unsold.
The previous record was the sale of 27.4 MHz for $885.35 million in an auction last year, when the base rates were $27 million and $31 per MHz for 2100 band and 1800 band respectively. Alongside spectrum fees, the operators will have to pay a 15 per cent VAT.
Now the operators will have to deposit 10 per cent of the spectrum price within 60 days and the remaining can be paid off in equal installments over nine years. The spectrum was sold for 15 years.
The new acquisition took Grameenphone's total spectrum from 47.4 MHz to 107.40, Robi's 44 MHz to 104 MHz, Banglalink's 40 MHz to 80 MHz and Teletalk's 25.2 MHz to 55.2 MHz.
Mobile operators Grameenphone Ltd, Robi Axiata Ltd, Banglalink Digital Communications Ltd and Teletalk Bangladesh Ltd performed poorly in the telecom regulator's drive test to assess service quality, reinforcing users' claims of experiencing substandard service.
The BTRC's acquired system for drive tests of maintaining the quality of service (QoS) of the mobile operators on 2024.
"Since 2011, licencees have negotiated these standards through consultation and negotiation and the recent report, if accurate, highlights a significant failure to uphold the commitments made upon accepting these licences," according to sources.
According to the BTRC, in the fiscal year 2022-23, more than one-third of the 15,335 customer complaints were about telecom operators' service quality, with less than 20 per cent regarding data speed. At the public hearing hosted by the BTRC, he criticised the mobile operators for delaying the deployment of their existing spectrum resources adequately.
