PUTRAJAYA: Malaysia will transition to a dual-network 5G model when the targeted 80 per cent coverage of populated areas (Copa) is reached through Digital Nasional Bhd (DNB).
Communications and Digital Minister Fahmi Fadzil said the 80 per cent Copa target was expected to be reached by year end.
"The current 5G coverage has reached 57.8 per cent which is an increase from 54.7 per cent at the end of February," he said, adding that another 2,000 sites would need to be covered to achieve 80 per cent Copa.
"As agreed by the government, the transition to a dual network model will be implemented based on conditions that are in line with practices at the global level.
"This offers network diversity not only for people but also for industrial sectors, which is one of the target groups for the use of 5G technology.
"The decision is made by shifting the focus to elements of integration and innovation based on 5G technology comprehensively.
"The dual network model also takes into account the sustainability of the telecommunications industry ecosystem in Malaysia, thus ending elements of monopoly that are often associated with DNB."
Fahmi gave an assurance that the transition to dual network would not affect existing 5G subscriptions available at a reasonable rate for the people, while also demonstrating inclusion through the participation of service providers.
He said the ministry would cooperate with the Finance Ministry, DNB and service providers to ensure a smooth transition to the dual network model without affecting the interests of the people and the confidence of investors.
"We will hold engagement sessions with groups involved to discuss several aspects, which includes the budget for this rollout."
Fahmi said after the 80 per cent Copa is reached, separate entities would be involved in Malaysia's 5G rollout.
"The composition of service providers in Entity A and Entity B will be decided soon.
"Entity A will continue to develop and operate the DNB networks and Entity B will build a second network as early as January 2024."