30 Oct 2023
TM Global Expands Network Infrastructure To Boost High-Speed Connectivity For Sabah And Sarawak
KUALA LUMPUR, 30 October 2023 – TM Global, the wholesale domestic and international business arm of TM, today announced the successful deployment of two additional International Internet Gateways (IGW) in Sabah and Sarawak.
These IGWs will serve as crucial hubs for international Internet traffic exchange, reflecting the business’ commitment to continuously expand its local network infrastructure and offer high-speed Internet connectivity in East Malaysia.
This network expansion will enable TM’s customers in East Malaysia and the neighbouring region to access global internet traffic via the most efficient route. By reducing the need to route traffic back to West Malaysia, these IGWs will significantly enhance connectivity speed and reliability for businesses, service providers and their end-customers.
The two IGWs are located in Penampang (Sabah) and Stampin (Sarawak), strengthening TM Global’s existing Internet Exchange (IX) nodes across Sabah and Sarawak. The existing nodes in Sabah are in Kota Kinabalu, Inanam, Elopura, Menggatal and Putatan. Meanwhile, in Sarawak the nodes are in Kuching, Bintulu, Miri, Petra Jaya, Kuala Baram and Tabuan Jaya.
Commenting on the initiative, Khairul Liza Ibrahim, TM Global’s Executive Vice President said, “As a strategic partner to enable Malaysia’s digital agenda, the deployment of these new IGWs reinforces our mission to connect Malaysia globally.
“More importantly, these IGWs help bridge the digital divide between urban and rural areas in Sabah and Sarawak, benefitting densely populated areas and enhancing Internet coverage for communities in smaller towns and remote locations. This will help drive digital opportunities for education, job prospects and entrepreneurship that will uplift these communities into the digital economy.
“This amplified network reach also empowers TM Global to curate a more enriched digital experience, facilitating the global dissemination of substantial content at faster speeds while minimising latency. This advancement aligns with the progressive trajectory of 5G technology, demonstrating our unwavering dedication to position Malaysia as a trusted digital hub within the ASEAN region,” she concluded.
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WARNER BROS. DISCOVERY AND UNIFI EXPAND PARTNERSHIP WITH LAUNCH OF HBO PACK & HBO GO ON UNIFI TV
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TM’s Edge Facilities Win W. Media’s Asia Pacific Cloud And Datacenter Award For The Southeast Asian Region
Kuala Lumpur, 5 December 2023 – TM Global, the wholesale domestic and international business arm of TM, secured a prestigious accolade at this year's W.Media Asia Pacific Cloud & Datacenter Awards, for its Edge Facilities project aptly titled 'Delivering the Edge'. Effectively meeting the global demand for decentralised data hosting via co-location, this achievement solidifies TM Global's commitment to enhance the country’s digital ecosystem and position Malaysia as a trusted digital hub for the Southeast Asian region. Functioning as a regional data hosting facility, the project involves transforming existing TM exchanges into Edge Facilities across seven states, including Seberang Jaya (Penang), Tasek Ipoh (Perak), Seremban (Negeri Sembilan), Kuantan (Pahang), Kuala Terengganu (Terengganu), Kota Kinabalu (Sabah) and Kuching (Sarawak). Strategically positioned close to the edge of TM’s network, TM’s Edge Facilities significantly reduce the distance between the content hosting location and end-users. This closeness supercharges the velocity of data transmission with ultra-low latency, leading to an enhanced digital experience for all users. Commenting on this regional recognition, Khairul Liza Ibrahim, TM Global’s Executive Vice President said, "We are pleased that our innovative ideas and meticulous execution have garnered regional acclaim, and will continue these efforts in other states to meet the ever-growing data co-location demand. TM’s Edge Facilities effectively bridge the gap and seamlessly complement our existing data hosting solutions. While our large-scale data centres excel in intensive computing and data storage, TM’s Edge Facilities specialise in rapid, real-time data processing for edge computing services.” The design of TM’s Edge Facilities replicate key features of a data centre, which includes a carrier-neutral network with service level availability of 99.7%, enabling service providers to capitalise on the flourishing landscape of real-time applications. TM’s Edge Facilities significantly enhance cost-efficiency, accelerates time-to-market and offers scalability to meet the growing demands for both domestic and international service providers. By winning this prestigious award, TM Global reinforces its commitment to elevate the digital landscape and shape the future of data and cloud technology in the Southeast Asian region. Now in its third year, the award encourages industry transformation and innovation. It recognises achievement and excellence in championing the 3P’s for the cloud and data centre industry: Planet, Project and People. Winners were presented with the awards during a ceremony held at the Kowloon Shangri-La, Hong Kong on 30 November 2023. Earlier this year, TM won another two awards at the Asian Telecom Awards via TM Global. These accolades, namely “Telecom Company of the Year” and “Wholesale Company Initiative of the Year” recognised TM’s exceptional performance in spearheading significant advancements within Malaysia and the region's telecommunications landscape. The accomplishments underpin the transformation of TM Global’s wholesale business into a new era, marked by the expansion of its Edge capabilities.
TM delivers double digit revenue, EBIT and PATAMI growth in Q2; on track to achieve its 2022 market guidance
2Q2022 Key Highlights (vs 2Q2021) Increased demand for Internet and Data translated to an 11.8% growth in Operating Revenue, at RM3.09 billion compared to RM2.76 billion Manpower and other OPEX cost optimisation contributed 81.3% EBIT growth, recorded at RM702.7 million PATAMI up 73.0% at RM378.0 million from RM218.5 million, as a result of higher operating profit and lower net finance cost Invested 15.7% of revenue in CAPEX or RM484.5 million in fibre expansion, network upgrades and support systems Free Cash Flow increased 36.4% at RM730.5 million, mainly attributed to increase in revenue and cost optimisation initiatives Interim Dividend of 9.0 sen per share declared with Dividend Reinvestment Scheme applicable (DRS) On track to achieve its 2022 market guidance, TM continues to strengthen core businesses while investing in new growth areas Telekom Malaysia Berhad (TM) has sustained its growth trajectory, delivering an excellent set of financial results across all key metrics for the second quarter ended 30 June 2022, offering converged services and solutions and demonstrating its resilience against increasing competition from other telco and technology players. The Group’s operating revenue grew by 11.8% to RM3.09 billion, compared to RM2.76 billion in the same quarter last year (YoY), on a foundation of strong performance across every customer segment and a sharp increase in revenue from all lines of service, particularly Internet and Data. Optimisation efforts enabled TM to record lower manpower and other OPEX costs, which led to higher Earnings Before Interest and Taxation (EBIT), up 81.3% at RM702.7 million compared to RM387.6 million YoY. Profit After Tax and Non-controlling Interest (PATAMI) was up 73.0% at RM378.0 million from RM218.5 million YoY, on the back of accelerated demand for connectivity, services and digital solutions. The Group applied the 33% Cukai Makmur statutory tax rate accordingly for the current quarter. In addition to Group-wide cost optimisation initiatives, the revenue jump helped drive an increase of Free Cash Flow by 36.4% to RM730.5 million YoY, putting TM in a solid position to make future investments and further reduce debt. TM also declared an Interim Dividend of 9.0 sen per share in line with its policy to distribute yearly dividends of 40% - 60% from its PATAMI. The DRS is applicable for this dividend tranche to provide flexibility to shareholders, enabling participation into the Group’s continuous growth momentum. unifi: Maintaining growth momentum As the leading convergence provider in Malaysia, unifi recorded a 10.3% revenue increase from RM1,272.0 million to RM1,402.6 million in the current quarter, driven primarily by continuous growth of fixed broadband subscribers, which recorded a 14.1% increase from the same quarter last year. unifi continues to innovate the home entertainment landscape, rapidly adapting to consumer consumption patterns through more attractive content that can be viewed both at home via high-speed broadband as well as on mobile devices via the playTV@unifi app. Its growing content ranges from Hollywood to Hallyu, offering variety for everyone. unifi's focus also extended to local SME businesses with the month-long #BelanjaDiSME campaign, as well as the SME Digitalisation Grant (SDG), which provides entrepreneurs with up to 50% savings for internet subscriptions and digital solutions. TM Wholesale (TMW): Leading the charge in positioning Malaysia as a digital hub TMW continues its march to be the nation’s preferred network infrastructure provider and to position Malaysia as a digital hub. Revenue for the current quarter increased by 26.4% from RM585.3 million YoY to RM739.9 million, contributed mainly by higher revenue from data and voice services. TMW’s compelling performance is underpinned by escalating domestic data demand and new deals secured on the international front. It recorded the highest installation for High-Speed Broadband (HSBB) Access in June 2022, driven by mobile network operators (MNOs) and content service provider under JENDELA. TMW also delivered more than 4,500 cumulative 4G and 5G backhaul sites in supporting the MyDIGITAL blueprint for enhanced digital inclusivity nationwide. On the international front, TMW has secured new deals with a US-based hyperscaler and a North Asian digital provider. Simultaneously, its collaborative agreement with Globe Telecom will enable its customers to enjoy superior gaming experiences, a strategic move to expand its business beyond its telco offerings. TM One: Stronger performance amidst market challenges The Group’s enterprise and public sector arm, TM One, recorded an increase in revenue of 4.1% YoY to RM854.6 million, with growth from recurring business across the enterprise and government sectors. Global supply chain challenges and delays, however, continued to impact its operations and subsequent delivery of several customer projects. As the sole local provider for the Government’s MyGovCloud initiative, TM through TM One, is the only hyperscale cloud provider to offer data residency, data locality and data sovereignty for the Malaysian Government and its citizens. This eliminates potential risks from international regulations, policy interventions, or risk of Malaysian data housed beyond Malaysia’s borders. Credence: Spearheading TM’s growth into the digital tech space Responding to the fast-growing market demand for the digitalisation of enterprises, Credence was recently launched to drive greater levels of digital capabilities and technology skills for the Group’s corporate customers. Established as a start-up, Credence is TM’s new cloud and digital services company, focusing on becoming a trusted technology partner to accelerate the digital transformation of large enterprises and the public sector. Leveraging TM’s existing technology partners and new ventures, Credence will also accelerate the Group’s transformation in the digital tech space. Commentary and Outlook from Imri Mokhtar, TM Group Chief Executive Officer “At the mid-point of 2022, our financial performance and results demonstrate TM’s ability to manage our businesses effectively despite the headwinds arising from a challenging and competitive business environment. These results are also a powerful testament of our transformation journey, and our commitment to deliver a sustainable and inclusive Digital Malaysia. “unifi will continue its trajectory to provide converged solutions to both residential and SME customers. unifi Business, specifically, will double down on its efforts to provide new propositions to engage SME customers including promotional campaigns and financing options. “TM One remains focused in enabling the digital transformation of the enterprise and public sectors. Complemented by its global partner ecosystem, TM One continues to make inroads on bespoke solutions engineered and supported by its in-house ICT capabilities. “TM Wholesale is on course to provide a comprehensive suite of advanced wholesale communication services and solutions for both domestic and global fronts. TMW is poised to position Malaysia as a digital hub for the ASEAN region. “As part of TM’s commitment to empower businesses on their digital transformational journey, the Group will also address the digital and tech skills gap through Credence. This new digital services subsidiary will deliver a differentiated advantage for enterprise digital solutions, providing greater and faster time-to-value with customised options for enterprises. “Looking ahead, 5G will level the playing field and move the industry away from network-based to service-based competition. TM welcomes the Government’s call for the industry to take up equity stakes in DNB. 5G will open up and expand the opportunities and growth areas for all of TM’s business segments – consumers, SMEs, enterprises, wholesale as well as digital services. We look forward to rolling out 5G-enabled products and solutions and unlocking value to meet customers’ demands. “As Malaysia’s convergence champion, we believe 5G will strengthen our convergence proposition, and our customers will be encouraged to transition to 5G in the near term. “Ultimately, TM’s growth and differentiation, whether in 5G, fixed broadband or digitalisation, will hinge on creating and offering exceptional customer experience, as we continue on our evolution towards becoming a human-centred technology company.”
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