Tuesday, November 12, 2024

Supreme Court Urges Zong and Government to Negotiate in License Dispute

Islamabad,Zubair kasuri: The Supreme Court of Pakistan has directed China Mobile Pakistan Limited (CMPak), operating as Zong, and the Pakistani government to engage in “constructive negotiations” to resolve their ongoing dispute over the renewal of Zong’s cellular license.

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The court, comprising Justices Yahya Afridi, Syed Hasan Azhar Rizvi, and Shahid Waheed, heard arguments from both sides on September 25th, 2024. Zong, represented by Mr. Salman Akram Raja, is contesting the terms of the license renewal offered by the Pakistan Telecommunication Authority (PTA).

In an effort to maintain stability while encouraging a resolution, the court ordered a status quo, preventing any immediate changes to Zong’s operating situation. This is conditional upon Zong signing the offered license within seven days.
The court has directed both parties to submit a report on the progress of their settlement negotiations by October 22nd, 2024, when the case will be heard again. This indicates the court’s preference for an amicable solution rather than a protracted legal battle.

The dispute centers around the terms of Zong’s license renewal, with the company likely seeking more favorable conditions. The outcome of the negotiations will have significant implications for Pakistan’s telecommunications sector and could potentially impact millions of Zong subscribers.
This case highlights the ongoing tension between telecom operators and regulators in Pakistan, as the industry navigates rapid technological advancements and evolving market dynamics.

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