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Tuesday, February 23, 2021

Govt SPV to spearhead 5G infrastructure over 10 years

 


The provision of 5G infrastructure in the country will be led by a government-owned entity or Government of Malaysia Special Purpose Vehicle (GOMSPV) regulated by the Malaysian Communications and Multimedia Commission (MCMC).

In a statement today, Communications and Multimedia Minister Saifuddin Abdullah (above) said the provision and management of 5G infrastructure by GOMSPV involving an investment of RM15 billion over a period of 10 years would enable the distribution of 5G capacity to telecommunications companies (telcos) in a fair and transparent manner.

He said the model would also allow telcos to save on capital expenditure and avoid infrastructure duplication if they built them on their own.

"The effect of the savings and organised implementation will be enjoyed by consumers in the form of more affordable 5G services," he said.

According to him, the infrastructure sharing model under GOMSPV will enable telcos to provide wider 5G coverage at competitive costs to consumers, while generating higher returns.

Saifuddin said this would also accelerate the use of 5G in the country and, in turn, increase the economic capability to produce more innovative products and services.

In addition, he said telcos could focus on efforts to expand their fiberoptic network and strengthen 4G coverage throughout the country, especially in rural areas.

"Strong 4G coverage provides network support and a solid foundation for 5G use," he said.

According to Saifuddin, good coverage, high digital literacy, affordable costs, and dynamic innovation will contribute to the competitive digital economy ecosystem as intended under MyDigital launched by Prime Minister Muhyiddin Yassin on Friday (Feb 19).

He said MCMC as the regulator of the 5G rollout would provide the operating licence in accordance with the agreed terms and allocation of spectrum bands to GOMSPV.

In line with the effort, he said the government was also committed to creating a National Digital Experience Centre to increase people's awareness of the use of 5G as well as assist in the transition and innovation process.

"I am confident that with a comprehensive understanding and best efforts, we will be able to accelerate the growth of Malaysia's digital economy through an efficient 5G implementation agenda towards achieving the MyDigital aspiration by 2030.

"Together we strive for Malaysia to become a global digital economy leader, where prosperity is shared by all members of the community," he said.

While launching MyDigital, the Prime Minister said Malaysians would begin enjoying 5G services in stages by the end of this year, making the country one of the first in the Asea region to build a 5G ecosystem.

Bernama

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