The Pakistan Telecommunication Authority (PTA) has directed Pak Telecom Mobile Limited (PTML), the operator of Ufone, to immediately halt ONIC operations in their existing form over non-compliance with the regulatory framework for Mobile Virtual Network Operators (MVNOs).
The decision could affect ONIC’s new customer acquisition and service expansion, although existing subscribers have been given time to transition.
PTA Flags MVNO Compliance Issues
According to the regulatory decision, the PTA determined that ONIC’s operational and commercial structure goes beyond a conventional branding arrangement and falls within the MVNO framework.
While PTML owns the ONIC brand and retains its network, spectrum and numbering resources, the service operates through separate systems and customer-facing arrangements.
These include customised packages, dedicated digital platforms, separate customer relationship management and billing systems, and distinct customer-care functions.
New Sales And Activations To Stop
PTML has been directed to discontinue ONIC’s operations in its current form, including new sales, activations, subscriptions and the issuance of SIMs and eSIMs.
The order also covers the marketing and customer-acquisition activities associated with the service.
The regulator’s position means PTML may need to restructure ONIC under its existing mobile network operator licence or obtain the relevant MVNO authorisation to continue with its present model.
Existing Customers Given Three Months
To avoid an abrupt disruption for subscribers, the PTA has allowed PTML three months from the receipt of the order to migrate or transfer existing ONIC customers to PTML.
The transition period is intended to protect users while the company addresses the regulatory concerns surrounding the service.
For ONIC customers, the immediate priority will be clarity on how their numbers, packages, balances and service arrangements will be handled during the migration process.
Regulatory Questions For Digital Telecom Services
The decision highlights the regulatory challenges emerging as telecom operators introduce digital-first brands with separate platforms, customer journeys and commercial structures.
For PTML, the next step will be to determine whether ONIC can be brought within the scope of its existing licence or whether a separate MVNO licence is required.
The case also underscores the importance of regulatory clarity for digital telecom services, particularly where branding, network ownership and operational independence overlap.