Maxis Bhd, the largest mobile operator in Malaysia, has agreed to utilize the country’s state-run 5G network. This decision marks the final major carrier to join the ongoing 5G rollout in Malaysia. The announcement of the agreement between Maxis and Digital Nasional Berhad (DNB), the operator of the 5G network, was made on July 12, 2023.
As part of the deal, Maxis will pay a licensing fee of RM1.6 billion (US$370 million) over a period of 10 years to access the network. Maxis’ decision to sign the agreement is a significant boost for DNB, as it has faced challenges in securing participation from other carriers.
The other four major carriers in Malaysia, namely Celcom Axiata, Digi Telecommunications, Telekom Malaysia, and U Mobile, had already committed to utilizing the state-run 5G network.
The Malaysian government believes that establishing a single state-run 5G network will lead to cost reductions, improved efficiency, and faster infrastructure development.
Some carriers have expressed concerns about the pricing and transparency of the agreement. Nevertheless, Maxis joining the initiative will accelerate the implementation of 5G in Malaysia. By the end of 2024, the government aims to achieve 80% 5G coverage for the population.
