[ad_1]
KUALA LUMPUR: Malaysia will build its own 5G infrastructure instead of relying on private telecom operators as it seeks to accelerate the deployment of high-speed services.
Companies such as Telekom Malaysia Bhd and Huawei Technologies Co are expected to play an important role once work begins “as soon as possible” to have the network available by the end of 2021, Communications and Multimedia Minister Saifuddin Abdullah said in a group interview today.
“We want to be among the first ASEAN member states to implement 5G implementation and not limit ourselves to 5G test labs,” Saifuddin said. “It is very important for investment, and this is where companies like Huawei will play a very, very important role.”
The government’s decision to build the network itself was made for a simple reason that it would be faster, he said. This was after the government considered options that included issuing tenders and asking the main operators to form a consortium, he added.
Prime Minister Muhyiddin Yassin announced last Friday that Malaysia would invest RM15 billion over 10 years in the 5G network. The government will establish a special purpose vehicle that will own the spectrum and manage the network, he said.
Malaysia is backing Huawei for its 5G development, something that has proven controversial in other nations after the previous US administration of President Donald Trump banned the telecommunications giant from using 5G, citing the risk of state-sponsored espionage, allegations. that the company has repeatedly denied.
Under the previous government, Malaysia said it would forego spectrum auction revenues and instead allocate radio waves to a consortium of operators who would be chosen through a bidding process.
But in June last year, Saifuddin reversed an order to split 5G airwaves among various operators, including Telekom Malaysia, citing transparency and technical and legal issues. (Bloomberg)
Government-owned company will own 5G infrastructure
The provision of 5G infrastructure in the country will be carried out by a government-owned entity or a special purpose vehicle of the Malaysian government regulated by the Malaysian Communications and Multimedia Commission.
In a statement today, Saifuddin said that the provision and management of the 5G infrastructure by the special vehicle would allow the distribution of 5G capacity to telcos in a fair and transparent manner.
He said the model would also allow for savings in capital expenditures and avoid duplication of infrastructure. “Consumers will enjoy the effect of the savings and organized deployment in the form of more affordable 5G services,” he said.
According to him, the infrastructure sharing model will allow telecommunications companies to provide broader 5G coverage at a competitive cost and accelerate the use of 5G in the country.
In addition, telecommunications companies could focus on efforts to expand their fiber optic network and strengthen 4G coverage, especially in rural areas. (Bernama)
