5G

U Mobile to Roll Out Malaysia’s Second 5G Network Without State Funding

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U Mobile is setting ambitious plans in motion to implement the country’s second 5G network, remarkably without state funding or new local partnerships. According to a report by The Edge Malaysia, the Malaysian telecommunications company is diligently working towards deploying the network within the next 15 to 18 months, an effort spearheaded by Chairman Tan Sri Vincent Tan Chee Yioun.

In a recent briefing, Tan addressed concerns regarding the company’s capability to independently create a 5G network infrastructure. “Let’s revisit this in 15 to 18 months and reassess what ‘struggle’ means,” he asserted, demonstrating confidence in U Mobile’s financial strategies.

The company plans to collaborate with Chinese vendors like Huawei and ZTE to supply the required 5G equipment and services, with the intention of providing financing as well. Tan emphasized that they would not require additional local partners for this endeavor. U Mobile is expected to align its capital investments and secure necessary financial backing independently.

In light of these efforts, U Mobile signed a Memorandum of Understanding with local bank CIMB Bank Berhad, securing potential financial support crucial for its 5G network development. The company also obtained the green light from the Malaysian Communications and Multimedia Commission (MCMC) to function as the nation’s second 5G provider.

This shift aligns with Malaysia’s recent policy transition towards a dual 5G network model, moving away from the earlier directive which appointed Digital Nasional Berhad (DNB) as the single network provider. DNB had deployed 5G infrastructure through Ericsson, operating as a Ministry of Finance-owned entity to ensure nationwide coverage.

With the change in policy, U Mobile anticipates launching between 5,000 and 7,000 5G sites, potentially fostering partnerships with other operators to ensure seamless deployment. This endeavor promises to bolster competition and potentially hasten the overall reach and quality of 5G services across Malaysia.

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