Companies sign three business agreements to drive greater internet access for Malaysians

SUBANG JAYA, 3 OCTOBER 2019 – Digi Telecommunications Sdn Bhd (Digi) and TM GLOBAL, the Global and Wholesale arm of Telekom Malaysia Berhad (TM) today marked another major milestone in the Nation's telecommunications industry when both companies formalised a collaboration to improve the internet reachability nationwide. This deal signifies the ongoing commitment to support the Government's National Fiberisation and Connectivity Plan (NFCP).​

The agreements were signed by Amar Huzaimi Md Deris, Executive Vice President, TM GLOBAL and Alex Foo, Head of Strategy and Transformation, Digi. Also present to witness the event were Al-Ishsal Ishak, Chairman, Malaysian Communications and Multimedia Commission (MCMC), Dato' Noor Kamarul Anuar Nuruddin, Group Chief Executive Officer, TM and Albern Murty, Chief Executive Officer, Digi.

Under this collaboration, TM GLOBAL and Digi will leverage each other's core expertise and capabilities for the benefit of Malaysians through three (3) major business arrangements.

Commenting on the collaboration, Dato' Noor Kamarul said, "We are excited to be working together with Digi as our strategic partner towards driving more high quality and affordable connectivity, in line with our higher purpose to connect all Malaysians. TM, as the enabler of Digital Malaysia with our solid network infrastructure and digital solutions is ready to propel the nation into Industrial Revolution 4.0 (IR4.0) and today, we continue to serve as the industry backbone connecting Malaysia to the world. We serve more than 100 licensed operators in Malaysia including all telcos leveraging on our extensive backhaul coverage. Today this collaboration is a further move towards enabling Malaysia's digital and socio economic aspirations."

Albern Murty, Chief Executive Officer of Digi said, "Industry partnerships play an important part in driving the nation's agenda to provide greater connectivity across the country. In our purpose to connect Malaysians to what matters most, we will actively work with strategic partners like TM to improve the quality and range of service offerings for Malaysians that will bring more socio-economic benefits for them."

One of the business arrangements consists of the utilisation of Sistem Kabel Rakyat Malaysia (SKRM), the inter-region submarine cable system that was jointly developed under a Public-Private Partnership (PPP) collaboration between TM and MCMC. The cable system uses 100Gbps technology at an initial capacity of 4 Terabit per second (Tbps) and upgradeable to a minimum of 12.8Tbps. Via SKRM, TM GLOBAL will facilitate Digi's high capacity transmission requirements making Digi the anchor service provider for this cable system to East Malaysia.

Digi will also optimise the use of more than 7,000 TM's hotspots nationwide providing WiFi connectivity to the public, complementing users' needs for internet access on the move. This initiative capitalises on the use of existing assets and network infrastructure, portraying the synergy between fixed and mobile operators in delivering cost-effective, alternative wireless solutions for the nation. In addition to benefiting end-users, the synergy may trigger more local players to produce content for these users.

TM GLOBAL and Digi are also in a pact for the last mile connectivity at Kampung Mat Daling, Pahang, another project under the Universal Service Provision (USP) initiative that involves network fiberisation by TM, extending internet reach to the underserved areas.

Such collaboration between two key industry players is in line with the Government's call for greater industry cooperation. Leveraging existing infrastructure allows service providers to avoid unnecessary duplication of network infrastructure and instead, focus on rolling out in areas where it matters, and improving access and customer experiences in these areas. This will ultimately benefit both consumers and businesses by enriching Malaysians with world-class, superfast connectivity, further improving broadband penetration throughout Malaysia.​