Malaysia

TM and Maxis are set to lead the second rollout of Malaysia's 5G networks

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  • TM and Maxis are expected to lead the development of Malaysia's second 5G network, implementing a Dual Network Model to enhance competition and coverage.
  • The introduction of a second 5G network aims to accelerate digital transformation across various sectors of the economy, from smart cities to healthcare and industry.
  • Careful coordination and planning will be essential to ensure efficient spectrum allocation and a smooth transition to the new model, with potential benefits for businesses and consumers alike.

Industry leaders Telekom Malaysia Bhd (TM) and Maxis Bhd are positioned to take the helm in establishing the country's second 5G network. This move comes as part of the government's initiative to implement a Dual Network Model, aimed at fostering competition and accelerating the adoption of 5G technology across the nation.

The introduction of a second 5G network marks a pivotal moment in Malaysia's digital transformation journey. With the existing network operated by Digital Nasional Berhad (DNB), the entry of TM and Maxis into the 5G arena is expected to catalyze innovation, enhance network coverage, and ultimately benefit consumers through improved services and potentially competitive pricing.

Industry experts have long anticipated this development, recognizing the potential of a dual-network approach to drive progress in the telecommunications sector. As CGS-CIMB Research analyst Foong Choong Chen notes, "TM and Maxis are the most likely candidates to lead the second 5G network entity." This assessment is based on their strong financial positions and extensive experience in network infrastructure development.

The implementation of a second 5G network aligns with global trends in telecommunications, where countries are increasingly adopting multi-network models to ensure robust and widespread 5G coverage. For Malaysia, this approach is expected to accelerate the rollout of 5G services, particularly in rural and underserved areas, bridging the digital divide and promoting inclusive growth.

TM, with its extensive fiber optic network and established presence in the fixed-line market, brings a wealth of infrastructure expertise to the table. The company's CEO, Amar Huzaimi Md Deris, expressed enthusiasm about the potential of 5G, stating, "We are committed to leveraging our strengths to contribute to Malaysia's digital ecosystem and ensure that the benefits of 5G reach all corners of the country."

Maxis, on the other hand, boasts a strong mobile network and a track record of innovation in wireless technologies. The company's Chief Executive Officer, Gokhan Ogut, emphasized their readiness to participate in the 5G rollout, saying, "Maxis has been at the forefront of network technology, and we are excited about the possibilities that 5G brings to enhance connectivity and enable new digital experiences for our customers."

The introduction of a second 5G network is expected to have far-reaching implications for various sectors of the economy. From enabling smart cities and Industry 4.0 applications to revolutionizing healthcare through telemedicine, the enhanced 5G infrastructure will serve as a catalyst for innovation across industries.

However, the path forward is not without challenges. The implementation of a dual network model will require careful coordination to ensure efficient spectrum allocation and avoid duplication of infrastructure. Additionally, there are concerns about the potential impact on DNB's existing operations and the need for a smooth transition to the new model.

Addressing these concerns, Communications and Digital Minister Fahmi Fadzil reassured stakeholders, stating, "The government is committed to ensuring a fair and competitive landscape for all players in the 5G ecosystem. We believe that the Dual Network Model will ultimately benefit consumers and drive Malaysia's digital economy forward."

As TM and Maxis gear up to lead the second 5G network, industry observers are keenly watching for details on the implementation timeline, investment plans, and potential partnerships. The success of this initiative will be crucial in positioning Malaysia as a regional leader in 5G technology and digital innovation.

The rollout of the second 5G network is expected to create new opportunities for businesses, particularly in the areas of Internet of Things (IoT), artificial intelligence, and cloud computing. Small and medium enterprises (SMEs) stand to benefit from improved connectivity, enabling them to adopt digital solutions and compete more effectively in the global marketplace.

For consumers, the expansion of 5G coverage promises faster internet speeds, lower latency, and a host of new services and applications. From immersive augmented reality experiences to seamless video streaming and gaming, the enhanced network capacity will unlock new possibilities for digital entertainment and productivity.

As Malaysia embarks on this new chapter in its telecommunications journey, the collaboration between industry leaders like TM and Maxis, coupled with supportive government policies, will be crucial in realizing the full potential of 5G technology. The coming months will be critical as these companies work to translate their vision into reality, shaping the future of connectivity in Malaysia and setting a benchmark for the region.


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