KUALA LUMPUR – The Malaysian Communications and Multimedia Commission (MCMC) has been instructed to initiate the process of appointing a mobile network operator (MNO) to develop the country’s second 5G network.
The process will see an applicant information package (AIP) issued on July 1, Communications Minister Fahmi Fadzil said in a statement today.
“The process will be conducted transparently based on powers and allocations provided under the Communications and Multimedia Act 1998.”
Fahmi, who is also the government’s spokesman, assured that the ministry is committed to implementing the government’s decision to form a dual 5G network model to prevent an industry monopoly.
“The implementation of the second 5G network will aid in expanding coverage, creating healthy competition in the telecommunications sector as well as ensuring fair plan prices and quality service for consumers.”
Yesterday, Digital Nasional Bhd said four MNOs met conditions for the share subscription agreement (SSA) allowing them a stake in the government’s special purpose vehicle set up to manage 5G deployment.
The SSAs with the four telcos – CelcomDigi Bhd through Infranation Sdn Bhd, Maxis Broadband Sdn Bhd, U Mobile Sdn Bhd and YTL Communications Sdn Bhd through YTL Power International Bhd – are expected to be completed by the end of this month, DNB said.
Telekom Malaysia Bhd has until August 21 to secure shareholder approval to complete the SSA.
The terms of the SSAs stipulate that the five telcos are to acquire a 70% equity stake in DNB while the government, represented by the Ministry of Finance Incorporated, will retain a 30% stake and a special share for a designated period.
The SSAs were established to pave the path for the government’s transition to a dual network model from a single wholesale network model. – June 21, 2024