As of today, all operators in Malaysia are offering 5G service via state-run 5G network DNB
The government of Malaysia has revoked a previous ministerial direction of 2021, which had designated Digital Nasional Berhad (DNB) as the sole entity responsible for Malaysia’s 5G deployment.
DNB was set up by the Malaysian government in 2021 as a special purpose vehicle to develop the country’s 5G network infrastructure, which private telecommunications firms are currently using to offer 5G services to their customers. DNB’s 5G network was deployed by Ericsson.
Under the ministerial direction, DNB was to operate as a neutral, Ministry of Finance-owned entity tasked with deploying 5G infrastructure and offering wholesale services nationwide. However, the revocation of this directive signals the government’s intent to transition to a dual-network model.
As of today, all operators in Malaysia are offering 5G service via the state-run 5G network Digital Nasional Berhad.
CelcomDigi, Maxis, YTL and U Mobile currently hold stakes in DNB, each with a 16.3% share. These four Malaysian operators had previously submitted bids to build the country’s second 5G network.
In November, the Malaysian Communications and Multimedia Commission (MCMC) gave the approval to deploy the second 5G network to U Mobile, the third-largest operator in the country.
U Mobile also noted that it will also be working with DNB to ensure the quality of 5G service is maintained. The operator also noted it will reduce its foreign majority shareholding to 20%, with the main aim of “ensuring greater Malaysian control and inviting participation from local investors”.
In May 2023, Malaysian authorities said that the country would shift to a dual 5G network once DNB achieved 80% coverage in populated areas, something that occurred in December 2023.
Although U Mobile was selected as the lead implementer for the second 5G network over two months ago, the MCMC has yet to finalize the spectrum assignment, rollout targets or operational conditions for this network.