Islamabad, July 08, 2024 – In a significant move to promote fair competition in the digital media landscape, the Pakistan Electronic Media Regulatory Authority (PEMRA) has formally invited M/s Smart Sky (Pvt.) Ltd. to match the highest bid price for a Direct-to-Home (DTH) Distribution Service license. This development follows Smart Sky’s active participation in the DTH license bidding process held on November 23-24, 2016.
Regulatory Framework and Intent
PEMRA’s decision is rooted in the provisions of Section 23 of the PEMRA Ordinance, 2002, as amended by the PEMRA (Amendment) Act, 2023. This legislation mandates the authority to prevent monopolistic practices and ensure a diverse and competitive media environment. In adherence to this mandate, PEMRA has already issued one DTH Distribution Service license to M/s Shahzad Sky (Pvt.) Ltd. To further discourage monopolies and undue concentration in the media sector, PEMRA has now initiated the process to grant the remaining two DTH licenses under clause 11.5 of the PEMRA (Eligibility Criteria and Bidding Procedure for Direct-To-Home (DTH) Licensing) Regulations, 2016.
Offer to Smart Sky
Given Smart Sky’s position as the next highest bidder in the 2016 bidding process, PEMRA has offered the company a chance to secure one of the two remaining DTH licenses by matching the highest bid amount of Rs. 4.898 billion. This opportunity is contingent on Smart Sky completing all necessary legal requirements and providing their unconditional written consent within seven days from the date of the notice.
Timeline and Conditions
Smart Sky must submit their acceptance by July 15, 2024. Failure to respond within this timeframe or refusal to meet the specified conditions will result in the forfeiture of their right to be considered for the DTH license. It is important to note that this offer does not guarantee the immediate grant of the license but is a crucial step in the licensing process.
Strategic Implications
This move by PEMRA highlights its commitment to fostering a competitive media market in Pakistan. By opening the field to multiple players, PEMRA aims to enhance the quality of DTH services available to consumers and encourage innovation within the industry.
Conclusion
PEMRA’s invitation to Smart Sky marks a pivotal moment in the ongoing efforts to diversify Pakistan’s digital media landscape. The outcome of this offer will have significant implications for the future of DTH services in the country, potentially setting new standards for competition and service delivery in the sector.
For further details or to provide the necessary consent, M/s Smart Sky (Pvt.) Ltd. is advised to contact the DTH Wing of PEMRA at their headquarters in Islamabad.
