There is merit in reconsidering model for 5G roll-out: Annuar

KUALA LUMPUR – Communications and Multimedia Minister Tan Sri Annuar Musa said despite objections from various quarters, there is a rationale to the government’s decision to adopt a single wholesale network system for the country’s 5G roll-out.

This includes avoiding duplication of infrastructure providers and delays in the roll-out process as evident in the case with 3G and 4G networks, which took about eight years to cover 80% of the country. 

Nevertheless, the government believes there is merit to the opposition raised by various quarters against its plan, Annuar said, explaining the government’s decision to reconsider the single wholesale model under Digital Nasional Berhad (DNB). 

Speaking in the Dewan Rakyat, Annuar said while there are advantages to the model currently adopted by the government, there are also other concerning issues in the matter. 

“Honestly, we found that there is merit (for us to reconsider our approach). For example, there is the question of whether we want a monopolistic system or to encourage competition. 

“And we have anti-monopoly laws. As such, the government took an open stance to revisit the matter,” he said in his ministry’s winding up speech for Budget 2022 today. 

“The Communications and Multimedia Ministry and Finance Ministry have been asked to produce a joint paper to be tabled in cabinet, and the cabinet will review the matter, including the views raised in Parliament.” 

Annuar was responding to multiple questions from MPs pertaining to the appointment of DNB as the sole provider of infrastructure for the 5G network, which will then be offered to telcos and retailers in a single wholesale model. 

Among issues raised were the transparency over the selection of Ericsson as the exclusive partner to deploy the 5G network, and the government’s reconsideration of adopting a single wholesale network. 

Annuar yesterday announced that the government is reconsidering its model for the 5G roll-out after receiving feedback from telcos and industry players. 

However, he said the government decided to listen to the opinions of all quarters and stressed that the prior decision to adopt a single wholesale network is not final, although this approach will be used until the review is completed. – The Vibes, December 8, 2021