Until recently, Maxis was the only major telco in Malaysia to opt out of the 5G Access Digital agreement with DNB (Digital Nasional Berhad). However, this changed last Friday when the company announced on Bursa Malaysia that it is finally seeking its shareholders' approval on this deal.
According to the company, Maxis is ready to sign the access agreement in the company’s best interest, as there are no other 5G options. In addition, the government’s approval of the eventual shift to a dual 5G Network has possibly changed the company's stance on the Single Wholesale Network (SWN). This shift will happen once the existing infrastructure achieves 80% 5G coverage of populated areas.
Maxis also claimed that the 10-year agreement will cost around RM360 million annually. Unless there is a change in the regulatory environment on the SWN position, it will take effect until 31 December 2027. When the transition to the dual model happens, a new entity will develop a second 5G network.
Once the government achieves its target coverage, it will dispose of its stake in DNB (Digital Nasional Berhad) and turn it into a private company. A new task force comprised of the government, DNB, and local service providers will implement the shift.
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