Following the termination of the share subscription agreement (SSA) between Digital Nasional Bhd (DNB) and Telekom Malaysia Bhd (TM), the Malaysian government stated that it will not jeapordise 5G access for TM customers.
Digital Minister Gobind Singh Deo said that the 5G access agreement that DNB and TM signed on 30 October 2022 is still in effect. Hence, TM’s customers can continue to enjoy 5G services.
“Regarding TM’s equity ownership in DNB, TM had applied for an extension on the equity acquisition from 21 June to 21 August 2024, to obtain shareholder agreement. However, TM could not fulfil the condition of obtaining shareholders’ agreement before 21 August and applied for another extension until 31 December 2024.
“Furthermore), DNB’s board did not approve the (second) application from TM,” he explained.
The minister stressed that the involvement of telecommunications companies through equity ownership in DNB is among the main steps for Malaysia to transition from a single wholesale model to the 5G dual-network model.
“Under the SSA’s terms, four telecommunications companies will collectively own 65.1% equity in DNB, each holding a 16.3% share. The government, through the Ministry of Finance Incorporated, will retain 34.9% equity and a special share in DNB for a designed period,” he added.
Meanwhile, telecommunications tower infrastructure company EdgePoint Towers Sdn Bhd expects to record growth of between 20% and 30% for new telecommunications tower sites in Malaysia as the company secured new partnerships with mobile network providers.
As part of its organic growth approach, EdgePoint signed a memorandum of understanding (MOU) with CelcomDigi Bhd to collaborate on achieving network synergies, expand CelcomDigi’s connectivity reach and optimise cost to benefit the mobile network operator’s customers with seamless connectivity.
“We see inorganic growth, where we acquire assets and organic growth. The arrangement we signed with CelcomDigi falls under what we refer to as organic growth.
“This partnership also lays the foundation for advanced, future-ready connectivity solutions opportunities such as in-building solutions and small cells for improved indoor coverage, ensuring that CelcomDigi is prepared for growth and increased data demand,” he said.
Additionally, CelcomDigi chief executive officer Datuk Idham Nawawi said Malaysia is in prime position to be a regional leader in 5G and artificial intelligence (AI) development and the telco is committed to building a state-of-the-art network for the customers and advance the nation into a 5G-AI powered digital society.
“Through partnerships like this, we will be able to optimise our newly modernised network to better serve our customers in more areas across the country and accelerate Malaysia’s digital transformation,” Nawawi said.
Currently, EdgePoint owns 1,800 towers in the Malaysian market and 15,000 towers across its three key markets of Malaysia, Indonesia and the Philippines.
