PUTRAJAYA: Digital Nasional Bhd (DNB) will continue to roll out the 5G network infrastructure in Malaysia until 80% coverage is achieved by the end of this year, says Fahmi Fadzil.
“The shift to dual network (DN) will be done according to conditions which are in line with global standards, (offering) multiple networks for the people as well as industries that are target groups for the use of 5G,” the Communications and Digital Minister told a press conference here on Wednesday (May 3).
Fahmi said the DN model takes into account the sustainability of the telco ecosystem and at the same time will end the element of monopoly often linked to DNB.
He said the shift to DN will pave the way for the full participation of service providers, at the same time allowing services to be provided at an affordable rate to the people.
He said the rollout will be conducted in two phases.
“In early 2024, we will enter the second phase, that is the shift to the dual network. DNB will continue to function, and service providers will become a part of DNB. This is in line with the initial talks of equity participation in DNB,” he said.
He was referring to the equity stake of close to 70% taken up by mobile network operators (MNOs) such as Celcom Axiata Bhd, Digi Telecommunications Sdn Bhd, YTL Communications Sdn Bhd (YES), and Telekom Malaysia Bhd in DNB.
“The government had also decided that a new network can be established after we reach 80% coverage,” he said, adding that Putrajaya will work with service providers on the implementation of the 5G network by DNB.
He said the government is confident of achieving the 80% coverage target by the end of this year, and the rollout of 5G currently stood at 57.8%.
“The road to 80% is a further 22.2 percentage points. So I think it is doable. So it is roughly about 2,000 more sites,” he added.
Fahmi said a new entity, which he called entity B, will be created for the new network. The government will not determine the infrastructure provider for entity B.
“The wholesale price per gigabyte for DNB is about is 12 to 13 sen and this will also be the basis for Entity B,” he added.
He said having DN will avoid a “single point of failure” and increase capacity, adding that it will not have an impact on speed.
“We are ensuring interoperability. In case one network is affected for any reason, there is another one to fall back on,” he said.
Fahmi added that his ministry will work with the Finance Ministry, DNB and MNOs to ensure a smooth transition to DN, without affecting the people’s interest and investors confidence.
The 5G rollout was reviewed by Prime Minister Datuk Seri Anwar Ibrahim’s government.
