PRIME Minister Anwar Ibrahim today gave the assurance that the transition of the 5G implementation model from a single wholesale network to a dual network will drastically reduce the financial implications for the government. 

Anwar, who is also finance minister, told the Dewan Rakyat the financial implications can be reduced through the transition because it involves working with several telcos, which was one of the terms set by the government. 

“We set the terms for all telcos to use the DNB (Digital Nasional Bhd) network and existing structures until 80% of the network is complete, and to ensure the coverage includes rural areas.

“If (the terms are) agreed upon, then after using the same facilities, telcos with good profits are required to invest to ensure security,” he said in response to a question from Rodziah Ismail (Ampang-PH).

Rodziah had wanted to know if the government’s decision to move away from the single wholesale network model would result in losses and increase 5G consumer prices.

Anwar said the decision on the transition was a difficult one as the government faced intense pressure from various parties that want to retain the single wholesale network.

He said the cabinet’s decision is in the interest of national security and the country’s freedom to choose under strict conditions.

Anwar said the telcos should fully finance the dual network, and the price offered to users must be low.

He said the transition will strengthen the role of the Malaysian Communications and Multimedia Commission (MCMC), where regulations and laws would be streamlined so the agency can effectively regulate the telcos.

The prime minister said the government on May 3 agreed to transition to a dual wholesale 5G network to promote competition and end DNB’s monopoly, among others. 

Anwar said Malaysian telcos’ track records are not encouraging, especially with network issues and package prices. 

He said MCMC will attend to these issues through a strict regulatory framework. 

“Any violation of the terms will automatically lead to contract termination,” he said. 

The prime minister said competition should be encouraged in all fields to guarantee comfort and lower costs for consumers. – Bernama, May 23, 2023.