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June 24, 2024

Malaysia is Ready to Implement Dual 5G Network

5g network
June 24, 2024

Minister of Communication, Fahmi Fadzil, announced that Malaysia is ready to roll out its dual 5G network. Telecommunication companies involved in the program will complete the equity holding process in State-run Digital Nasional Bhd (BNB) on June 21. They will then identify the companies that will develop the second 5G network. In 2023,  Five companies, namely Telekom Malaysia, Maxis, U Mobile, YTL and CelcomDigi, signed their share subscription agreements to acquire a total of 70% equity stake in DNB  with each company investing $50 million.

Rapidly starting the groundwork, the Communication Ministry works with three other ministries to develop action plans for the second 5G implementation. Digital Minister Gobind Singh Deo, Finance Minister II Datuk Seri Amir Hamzah Azizan and Minister of Investment, Trade and Industry Datuk Seri Tengku Zafrul Abdul Aziz met with Communication Minister Fahmi Fadzil last Saturday and discussed the functions and roles of the four ministries in the 5G rollout. Relevantly, On June 18, Minister Fahmi also received a visit from China's Minister of Industry and Information Technology, Jin Zhuanglong, to discuss the second 5G network implementation. DNB’s 5G network was deployed by Ericsson.

The establishment of a second 5G network is subject to the condition that DNB covers at least 80% of the populated areas, which was achieved in December 2023. As of April 2024, DNB has reached 81.5% coverage, representing an overall 35.4% penetration. DNB was set up in 2021 to develop 5G network, in line with the National Digital Network Plan 2023-2025, and is now on track to achieve its targets. In ASEAN, Singapore leads the region, with more than 99% 5G coverage in 2023 followed by Thailand. Meanwhile, Indonesia, Malaysia, Philippines and Vietnam are still expanding 5G beyond major cities.

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