Gobind Singh, Digital Minister, recently told the press that the rollout of Malaysia’s second 5G network is on pause until all Mobile Network Operators (MNOs) that are part of the DNB pays back the government for the initial loan for the first 5G network rollout.
“The second 5G network cannot roll out until the government’s funding is fully returned. This clearly shows that the government will not bear any losses,” Gobind said. The Ministry of Finance had previously provided Digital Nasional Bhd (DNB) with funds amounting to RM16.5 billion for the rollout of the first 5G network, over a 10-year period.
The rest of DNB’s expenditures were reportedly obtained via private loans, such as bank loans guaranteed by the government. To date, DNB has spent RM5 billion on the development and maintenance of the current 5G network.
The DNB is currently controlled by four MNOx: CelcomDigi, Maxis, UMobile, And YTL Communications. Each telco owns a 16.3% stake in the entire, while the Malaysian government retains a 34.9% equity and special shares in it. Of the four, UMobile was given the rights to build the second 5G rollout after it won the bid against the other telcos.
(Source: The Edge)
Follow us on Instagram, Facebook, Twitter or Telegram for more updates and breaking news.
