KUALA LUMPUR – The Malaysian Communications and Multimedia Commission (MCMC) has selected U Mobile Sdn Bhd to roll out the country’s second 5G network, ending a years-long impasse over the issue.
In a statement today, MCMC announced that, pending approval, U Mobile will be permitted to collaborate with other mobile network operators on the project.
“MCMC will continue to oversee the progress of the implementation of Malaysia’s second 5G Network to ensure total compliance with all regulatory requirements as provided for in the Communications and Multimedia Act 1998 (Act 588),” the statement read.
Last year, five mobile network operators (MNOs) agreed to take equity holdings in Digital Nasional Berhad (DNB) to support the development of Malaysia’s 5G network.
These operators include CelcomDigi Bhd, Maxis Bhd, Telekom Malaysia Bhd, U Mobile Sdn Bhd, and YTL Communications Sdn Bhd.
However, in May, Communications Minister Fahmi Fadzil explained that Malaysia will transition from a single wholesale model to a dual network approach to prevent monopolies in the implementation of 5G across the nation.
On August 15, Fahmi said that CelcomDigi Bhd, Maxis Bhd, Telekom Malaysia Bhd, and U Mobile had submitted their respective bids to MCMC to participate in the second 5G network.
Proposals for the establishment of the second 5G network were initially submitted by Celcom, Digi, Maxis, and U Mobile at the end of 2021.
However, these proposals were rejected in March 2022, leading the government to offer a 70% stake in DNB to the telcos.
Despite this, Celcom, Digi, Telekom Malaysia, and U Mobile took until October 2023 to reach an agreement to provide 5G services from DNB to consumers. – November 1, 2024