Paktel is CM’s Guinea Pig

Cellular News has a great update on the cellular market in Pakistan today. Among other interesting figures and observations, the article argues that China Mobile’s Paktel might remain where it is right now further into the future and that China Mobile major interest in buying and running Paktel is gaining experience not dollars for its future international adventures.

Whilst these are undoubtedly issues which China Mobile’s management must at least give thought to, they are perhaps not concerns which have the same gravity as they might if we were talking about almost any other international investor. The China Mobile chairman was reported this week as saying that the company hopes to gain valuable “experience” from the Pakistani market which it could use to its benefit in other overseas ventures. We can’t think of many developing markets in the world where it could gain better experience, but whether the experience will ultimately be a postive one is far from certain. Then again, one could argue that in China Mobile’s position, and with the ambition it must undoubtedly have, all experience is good experience. With the kind of resources at its disposal which many international players can only dream of, China Mobile as a multi-national operator is likely to prove a law unto itself. Whilst it is certainly not a sustainable strategy, in the case of Pakistan the potential for valuable experience may well prove much more important than the potential for profitability, or indeed any other conventional benchmark for success…

The article also mentions Telenor Pakistan’s capital intensity for 2004-2006 at 400%!


3 Responses to “Paktel is CM’s Guinea Pig”

  1. Nasir Iqbal Says:

    just i want to say that dont chang Paktel name if u will change da name u will face soo many hardships to capture good market.bcz peaople are aware of the name of PAKTEL. CM PAK is not suitable i think.
    Nasir Iqbal
    CRO in Telenor pakistan

  2. CMPak’s Investements - Insomania for Mobilink? « Tee Emm on Pakistan Next Gen Issues Says:

    […] read along with the statement from the China Mobile Chairman that China Mobile sees their Pakistan operations as a valuable experience for its subsequent international ventures, will surely put the existing big boys of cellular […]


    it is the very darefull,combined custom and very drammatic change in the coomunication history,and I’m very happy to hear this new and modern name and hope that on the behalf of this new name company will go ahead and earn a good share from market.
    ARD UFONE Pakistan

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