Telecommunications operators Celcom Axiata Berhad, Digi Telecommunications Sdn Bhd, Maxis Berhad, U Mobile Sdn Bhd, Telekom Malaysia Berhad and TIME dotCom Berhad (collectively 'the Industry'), are fully committed to partner with the Government and make connectivity a basic utility to fast-track Malaysia's transition into a high-income digital society. The Jalinan Digital Negara (JENDELA) action plan announced recently by the Prime Minister of Malaysia, YAB Tan Sri Muhyiddin bin Yassin, will be the platform to achieve these aspirations by accelerating the country's digital connectivity through widespread deployment of mobile, fibre and fixed wireless access, and paving the way to 5G, under the 12th Malaysia Plan (2021–2025).
The National Digital Infrastructure Lab: A collaborative effort aspiring to deliver connectivity for all
The Covid-19 pandemic has triggered an urgency for Malaysia to address the 'new normal' and cater for future demands of connectivity as an enabler for all facets of life: The economy and people's livelihoods, education, business opportunities and building and connecting communities amongst others. To prepare for the future and to fulfill our Digital Malaysia aspirations, it is clear the Industry must aspire to enable everyone in this journey through quality and reliable connectivity.
To this end, the Industry was a strong participant alongside the Malaysian Communications and Multimedia Commission (MCMC) in the National Digital Infrastructure Lab (NDIL), with the aim to collaboratively address how to deliver quality connectivity to all Malaysians. The outcome of the NDIL was a comprehensive digital infrastructure plan that accelerates improvements to coverage and quality of experience nationwide, optimises fixed, mobile and fit-for-purpose technologies; and paves the way for the eventual adoption of 5G technologies to enable the country's digital ambitions.
JENDELA: Strengthening Malaysia's Digital Communications Infrastructure to Deliver Seamless Connectivity for all Malaysians
The Industry will work closely with the Government to fast-track the nation's progress towards becoming a globally competitive, resilient and enriched digital society and economy through JENDELA.
Phase 1 (now to 2022): An accelerated improvement plan for nationwide 4G coverage and 7.5mil fixed broadband premises; with consistent quality of experience for everyone
As announced by the Prime Minister, JENDELA will be implemented in phases. Phase 1, which starts now until 2022, will optimise existing resources and infrastructure for both mobile and fixed connectivity to:
- Expand 4G mobile broadband coverage from 91.8% to 96.9% in populated areas;
- Increase mobile broadband speeds from 25Mbps to 35Mbps; and
- Enable as many as 7.5 million premises to access gigabit speeds with fixed broadband services.
JENDELA will firstly prioritise strengthening the nation's existing fixed and mobile networks and building a strong foundation for the eventual adoption of 5G. This will also involve the gradual retirement of 3G networks at the end of 2021. To achieve the targets in Phase 1, the Industry will look at providing wider coverage and enhanced quality of experience by upgrading and building new 4G sites, and fiberising more premises.
This will be driven by extending 4G mobile coverage in rural and remote areas, improving in-door coverage for urban and suburban areas, connecting more homes with fixed broadband via fibre and other fit-for-purpose technologies (e.g. Fixed Wireless Access (FWA) and satellite) to ensure widespread nationwide coverage and connectivity for all.
Meanwhile, fibre providers will continue to support the industry with fibre backhaul for capacity to serve higher traffic demands expected on 4G and to ensure the fibre foundation essential for future technologies such as 5G.
Phase 2 (Beyond 2022): Address the Digital Divide via Fixed Wireless Access (FWA) and pave the way for 5G
Phase 2 of JENDELA involves utilising FWA and other fit-for-purpose technologies to address further gaps in the digital divide, as well as priming for the nation's eventual adoption of 5G technologies; which will take place once action plans under Phase 1 are achieved.
The Industry will continue to educate the public on the potential of 5G and its capabilities, through use cases applied across verticals such as manufacturing, agriculture, education, healthcare, security transportation, consumer experience, environment and smart city development. These use cases will continue to be explored under the 5G Demonstration Projects (5GDP).
JENDELA: A realistic, progressive digital connectivity plan to realise Digital Malaysia
JENDELA is an accelerated improvement plan where all public and private stakeholders are equally invested to deliver. This is a shared aspiration for the whole country, driven by the Ministry of Communications and Multimedia (KKMM) and MCMC in partnership with the telecommunications operators, and other agencies at the federal, state, and local council levels.
The industry believes that collaboration among all parties is crucial to facilitate infrastructure rollout in a coordinated manner, with minimal impact on civil works, the public, the environment, and all aspects of the ecosystem. We look forward to working together to fulfil the objectives of JENDELA and enabling widespread quality connectivity for Malaysians nationwide.
The Industry will provide periodical updates to the public on the progress of JENDELA, including initiatives undertaken as part of journey towards its aspirations.
YOU MAY ALSO LIKE
TM Records a Promising 1Q2023 Performance with 2.0% Revenue Growth; Continues to Strengthen its Core Business
1Q2023 Key Highlights (vs 1Q2022) · Operating Revenue grew 2.0% from RM2.89 billion to RM2.95 billion, with continuous growth across Unifi and TM Global · EBIT decreased 15.5% from RM560.4 million to RM473.3 million, following accelerated depreciation and impairment · PATAMI lower 2.9% from RM339.9 million to RM330.1 million, lower EBIT cushioned by lower net finance cost and effective tax rate · CAPEX investment stood at 14.0% of revenue or RM413.1 million, heavily attributed to fibre network expansion Amidst the challenges for the year, Telekom Malaysia Berhad (TM) achieved a steady and promising performance in the first quarter that ended on 31 March 2023, compared to the same period in the previous year (YoY). Operating revenue grew 2.0% to RM2.95 billion, from RM2.89 billion in 2022, driven by Unifi and TM Global. TM saw an increase in customers with Unifi now serving close to 3.5 million home and MSME customers, TM One catering to 8,800 businesses, and TM Global serving more than 700 local and regional customers. Its reported Earnings Before Interest and Tax (EBIT) is lower 15.5% to RM473.3 million, from RM560.4 million, following the Group’s decision to accelerate depreciation and impairment of IT assets, due to changes in market conditions. Profit After Tax and Minority Interest (PATAMI) decreased 2.9% to RM330.1 million from RM339.9 million. Lower net finance cost and lower effective tax rate from the recognition of deferred tax assets mitigated the impact of the lower EBIT on the Group’s overall profitability. Capital Expenditure (CAPEX) stood at 14.0% of overall revenue, or RM413.1 million. A significant portion of this investment was dedicated to fortifying its fibre infrastructure, delivering new customer acquisition, international subsea cables investment and 5G fibre network deployment to meet Government’s target of 80% coverage by year end. Unifi sustaining growth trajectory Unifi continues to deliver leadership in convergence service and solutions for both home and MSMEs customers. Unifi reported a 1Q2023 revenue growth of 4.3% from RM1.38 billion to RM1.44 billion contributed by both, growth in number of subscribers and average revenue per customer (ARPC). Unifi fixed broadband subscription increased by 8.1% to 3.08 million propelled by aggressive sales, and promotions such as the 6-months complimentary speed upgrade offered to existing Unifi Home users and 7-days free viewing of all Unifi TV channels during Chinese New Year. Unifi Mobile unveiled its latest offerings, the UNI5G prepaid and postpaid plans, which include complimentary 5G access for all current mobile subscribers. Additionally, Unifi introduced the Pakej Perpaduan Jalur Lebar Tetap (Home Internet) and Pakej Perpaduan Prabayar Mudah Alih (Prepaid Mobile) plans specifically designed for underserved communities, providing inclusive and ubiquitous connectivity for the community. Unifi Business’ collaborative efforts with local government agencies have been instrumental in supporting MSMEs to digitally grow their businesses. As part of this initiative, Unifi Business launched a programme in Sabah that has resulted in a significant participation of local entrepreneurs. TM One navigating challenging market and shifting demand TM One recorded a 6.7% slowdown in revenue from RM773.7 million to RM721.9 million in the current quarter, largely due to the impact of price reduction and lower revenue from one-off customer projects. The delivery of key projects across several industries shall set the pace for TM One in the coming quarters. TM One delivered a Private 5G solution to enable Smart Industry solutions and completed a hybrid cloud project that is instrumental to the IT backbone transformation of its customer. TM is also the only telco with a 100% completion record for the Point of Presence (POP) Phase 1 Project, successfully delivering 233 sites across the northern states, Sabah and Sarawak. Building on the success of TM One 5G Sphere Partner Programme launched end of 2022 where more than 90 leading partners are registered today, TM One launched its Sandbox platform providing a secure and controlled environment for enterprise and Government customers with technology partners to co-create and commercialise innovative smart service solutions, which will propel their digitalisation and automation drive. TM Global catalysing digital inclusivity TM Global reported continuous growth in 1Q2023, with revenue increasing by 3.9% from RM625.1 million to RM649.2 million, contributed by higher data and data centre co-location services. As the leading partner for High-Speed Broadband Access (HSBA), TM Global achieved the highest number of new installations in March, supporting collective industry growth throughout Malaysia. Additionally, close to 8,000 4G and 5G fiberisation site were deployed to meet the growing demands of industry players and enhance nationwide edge capabilities, further propelling national digital initiatives. Internationally, TM Global secured deals from US-based hyperscaler and North Asia digital provider for its wholesale data centre solutions as well as a substantial deal from ASEAN telecommunication player for more than 10Tbps data requirement within this region. TM Global remains focused on positioning Malaysia as the preferred digital hub for the ASEAN region through its comprehensive and customised offerings for hyperscalers, global carriers and digital players. Commentary and Outlook from Dato’ Imri Mokhtar, TM Group Chief Executive Officer “2023 is expected to be a challenging year with changes in the regulatory landscape, heightened competition and other market structure changes. TM will continue strengthening its core business to be commercially sustainable as a Public Listed Company (PLC) whilst continuing to contribute to the nation’s growth via its role as a Government Linked Company (GLC). “As the national connectivity and digital infrastructure provider, TM will continue to execute the fiberisation plan to support the Government’s National Digital Network (JENDELA) programmes as well as the 5G rollout nationwide. TM looks forward to continue playing an active role in the 5G implementation, leveraging its nationwide fibre infrastructure, extensive digital platforms (data centres, edge nodes) and rollout experience. “We remain steadfast as we enter the final year of our 2021-2023 Transformation Programme, and pursue the next wave of growth beyond 2023. In line with our journey to become a human-centred TechCo, we announced the launch of TM’s new HQ and Campus, located in Cyberjaya. The campus will serve as a catalyst for a new way of working that drives agility and flexibility through digital collaboration and hybrid work environment, propelling innovation among our employees, customers and partners. “We will continue to advocate sustainability efforts and strive for progress. TM has released our first Task Force on Climate-related Financial Disclosures (TCFD) report, 2 years ahead of Bursa Malaysia’s 2025 requirement. The report focuses on increasing transparency around the financial implications of an organisations’ climate-related risks and opportunities. “Though cautious with the overall outlook, we remain optimistic with the prospects of increased hyperconnectivity, continuous growth investments in connectivity and digitalisation across all customer segments. TM will continue to enable a Digital Malaysia by offering comprehensive suite of communication services and digital solutions benefitting communities, businesses and Government.”
Consolidation of TM’s business in Malaysia to strengthen fixed-mobile convergence leadership and improve operational efficiency
Telekom Malaysia Berhad ("TM" or "the Group") today announced an internal reorganisation which involves the transfer of its business in Malaysia to a single operating entity named TM Technology Services Sdn Bhd ("TM Tech"). The internal reorganisation is anticipated to complete by 31 December 2023. The reorganisation – which includes Unifi, TM One and TM Wholesale, among others – marks the next phase of the Group's transformation to be the enabler of a digital Malaysia, and to further improve its operational efficiencies, streamline processes and simplify customer touchpoints to provide a more seamless customer experience. Incorporating its diverse businesses under TM Tech will also reinforce TM's Fixed-Mobile Convergence leadership, offering integrated fixed broadband, mobile services, data services, digital content and innovative solutions to communities, businesses and the Government. Group CEO, Imri Mokhtar said, "As digital lifestyles, increasing competition and stakeholder expectations reshape the industry, consolidating these businesses into one operating entity will allow us to serve our diverse customer segments better and deliver their needs more quickly. "Consolidating our suite of connectivity and digital offerings will also enable us to easily tap into the right combination of solutions to meet the unique needs of individual lifestyles and businesses." "Furthermore, this reorganisation aligns us to industry best practices and will improve TM's competitive edge among Malaysian and international Telcos and digital players, as we continue to pursue our aspiration of becoming a leading human-centred TechCo," he added. Under TM Tech, consumers will continue to enjoy the fastest and widest all-in-one connectivity and digital content. Enterprises and the public sector will also benefit from TM's digital and smart solutions, including cloud and data centres, cybersecurity and smart industry offerings. The operating entity will also continue to champion TM's nation-building efforts in expanding and modernising the country's fibre network, data centres and submarine cable systems. TM Tech will be led by TM's existing senior management team and will bring together its diverse talents under a single company, encouraging greater agility and cross-functional collaboration to improve service quality. Imri explained, "Our Warga TM will remain the execution engine for TM and the country's digital transformation. While our workforce will be realigned to this single operating entity, employee functions, entitlements and benefits will remain unchanged." Similarly, all of TM's partnerships, vendor and service agreements will remain in effect. Telekom Malaysia Berhad will now serve as an investment holding company for this operating entity, with all other subsidiaries within the Group to remain status quo. "Beyond TM's own growth, this reorganisation strengthens our role in advancing the country's digital transformation and to serve our customers in a more cohesive manner. While it marks a new milestone in our continuous transformation, we remain anchored to our purpose of enabling digital inclusion, opportunities and progress for all," Imri concluded.
TM accelerates digital adoption amongst Pekan Rabu entrepreneurs
More than 300 local entrepreneurs at Pekan Rabu are set to move to the next level in digitalisation with the availability of 800Mbps unifi connectivity through collaboration with Koperasi Pekan Rabu. Telekom Malaysia Berhad (TM) continues to expand its unifi broadband connectivity to the Pekan Rabu entrepreneur community towards increasing digital adoption amongst them through a collaboration with Koperasi Pekan Rabu at Kompleks Pekan Rabu, Alor Setar, Kedah. The programme was launched by YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, Minister of Finance in a ceremony compliant with the Standard Operating Procedure (SOP). Also present were Dato' Asri Hamidon, Secretary-General of Treasury; Dato' Paduka Ammar Dato' Shaikh Mahmood Naim, State Secretary of Kedah; Imri Mokhtar, Group Chief Executive Officer, TM; Romani Wan Salin, Information, Communications and Multimedia, Domestic Trade and Consumer Affairs Committee Chairman and Azhar Abdul Rahman, State Director, Malaysian Communications and Multimedia Commission (MCMC). Commenting on the programme, Imri said: "The pandemic has changed our lifestyle and accelerated digital adoption among the communities and businesses. We are excited to join hands with Kedah State Government and Koperasi Pekan Rabu to provide one (1) year free high speed WiFi connection of 800Mbps at Pekan Rabu. We hope this can boost the digital journey of business communities there and enable the entrepreneurs to further enhance their businesses with digital solutions. We will also upskill the Pekan Rabu entrepreneurs with training sessions on digital applications such as our cari@unifi digital marketing platform and Instaweb for website building." "As the national connectivity and digital infrastructure provider, we remain committed to our unique role in supporting the Government's nation-building initiatives such as MyDIGITAL – Malaysia Digital Economy blueprint towards establishing a digital economy and empowering Digital Malaysia," he added. With the availability of the high speed connectivity, Pekan Rabu business operators are set to move to the next level with digital enhancement while maintaining its authenticity as an iconic, must go location in Kedah for its traditional, aesthetic and locally-produced products.