The TRE survey results indicate a gradual improvement in the regulation of anti-competitive practices in the telecom industry across all sectors of the industry in Pakistan. The Competition Commission of Pakistan and PTA have been actively engaged in promoting competition in the telecom industry and checking anti-competitive practices which curtail competition and restrain consumer welfare. The Commission enforced the Competition Act, 2010 prohibiting certain anti-competitive business practices.
In March 2011, the Commission looked into a cross-border merger application for the acquisition of Wind Telecom by Vimpelcom Limited. A No Objection Certificate was issued by the Commission for the said merger based on the parties’ commitment to alleviate competition concerns. The Commission has also taken action against Wateen Telecom Limited and Defense Housing Authority for entering into an agreement which has the effect of reducing competition in the relevant market.
Based on the data available for December 2010, HHI for Broadband was 3289 which indicates high concentration in the market.