How will MCMC prevent an imbalance in the telco ecosystem?

Question

Accepted Answer

MCMC Has Authority to Set Conditions to Prevent Telco Ecosystem Imbalance

The Malaysian Communications and Multimedia Commission (MCMC) possesses the authority to impose conditions to avert an imbalance within the telecommunications ecosystem as Malaysia progresses with its second 5G network development. While the specifics of these potential conditions remain undetermined due to the early stage of the process, the commission can draw lessons from past situations to guide its regulatory approach. This regulatory power is crucial to ensure a stable and competitive market environment as new network infrastructure is established.
Learning from Past Market Adjustments

Past events, such as CelcomDigi's divestment of its subsidiary Yoodo and the subsequent return of spectrum, offer valuable insights for MCMC. These occurrences highlight the dynamic nature of the telco landscape and the need for regulatory oversight to manage market concentrations. By analysing such precedents, MCMC can better anticipate and address potential imbalances that might arise from the introduction of a second 5G network.
U Mobile's Selection Process

The selection of U Mobile for the development of the second 5G network was a unanimous decision by MCMC commission members, following an independent assessment of its business plan and technical proposals. This evaluation encompassed financial viability, technical capabilities for network construction, consumer satisfaction metrics, and the company's history in completing prior MCMC projects. The administration was not involved in this assessment, which was conducted by an independent team.
Criteria for Second 5G Network Development

To be considered for developing the second 5G network, companies needed to meet specific criteria, including having a comprehensive shareholding agreement and existing shares in Digital Nasional Berhad (DNB). Out of the major players, only CelcomDigi, Maxis, and U Mobile met these prerequisites. These companies possess significant infrastructure, with CelcomDigi having approximately 18,000 towers, Maxis around 12,000, and U Mobile possessing 10,000 towers, positioning them as key entities in the nation's mobile network landscape.

Reading history

Hide →

This history is cleared when the page is closed.

How will MCMC prevent an imbalance in the telco ecosystem?

Loading

Was this article helpful?

Helpful

Not helpful

Report an issue

1

0

0

Share with friends