Malaysian telecom operator U Mobile has secured financial backing for its upcoming role as the country’s second 5G network provider. The company signed a Memorandum of Understanding (MoU) with CIMB Bank Berhad to facilitate the rollout. This strategic partnership aims to support U Mobile’s expansion in alignment with Malaysia’s digitalization goals and aspirations for high-income status.
The CEO of U Mobile, Wong Heang Tuck, expressed enthusiasm about the collaboration. “We believe CIMB’s financial backing will strengthen U Mobile’s ability to ensure a rapid and cost-efficient second 5G network rollout,” said Wong. “This rollout will benefit enterprises, consumers, and the public sector,” he added. Similarly, CIMB’s Chu Kok Wei affirmed the bank’s commitment to support digital innovation through 5G.
Last November, the Malaysian Communications and Multimedia Commission gave U Mobile the green light to operate as the second 5G provider in the country. This follows a government decision to move away from a single-operator model to a dual-network setup after achieving extensive 5G coverage through Digital Nasional Berhad (DNB).
Previously, DNB was the sole entity tasked with 5G deployment in Malaysia, operating as a neutral, state-owned player. Established in 2021, DNB initially contracted Ericsson to build the network’s infrastructure. However, changes to this arrangement align with recent government steps toward diversifying network providers.
Reports indicate that U Mobile plans to establish between 5,000 and 7,000 new 5G sites. Although no official deployment strategy has been announced, the company aims to enhance existing 4G infrastructure and establish new sites. U Mobile is also expected to partner with other operators to facilitate this expansive rollout.
