MCMC: Broadband Price Reduction Expected After September 2023

Back in March of this year, Communications and Digital Minister Fahmi Fadzil mentioned the reduction of prices for internet connectivity which was supposed to happen within the span of two or three months. Four months has passed since, and said price adjustments that were supposed to follow the Mandatory Standard on Access Pricing (MSAP) has yet to happen. The Malaysian Communications and Multimedia Commission (MCMC) has released a statement regarding this, as well as provided a loose time window as to when we can expect said price reduction.

In the statement, the MCMC said that the “reduction in retail fixed broadband prices following the implementation of the MSAP can only happen once the access agreements have been concluded between service providers”. The negotiations of access agreements are expected to be finalised by the end of September, so any price reductions in broadband services will only be taking place after that.

The statement also says that most access providers either already have or are in the process of publishing their reference access offer (RAO). And indeed, most internet providers have already provided theirs, with TM being one major exception.

This extended timeline in which high-speed broadband users can expect adjustments of prices in their favour is understandably vexing. With the time window provided, it would take six months at the very least before users can benefit from this change. This is a pretty stark contrast to when the first MSAP came into effect back in 2018, when users started seeing benefits from the adjusted prices within a month.